Webull launches ASX stocks – Is it Australia’s cheapest broker?
The trading platform is offering ASX stocks for $4.90 per trade. We look at how it stacks up on fees.
The arrival late last year of hugely popular US trading platform Webull to Australian shores came with little fanfare.
But that could soon change thanks to its recent launch of low-cost Australian (CHESS-sponsored) shares and ETFs, adding to its US stock and options offering.
Read more: What is CHESS-sponsorship?
With over 35 million users globally, Webull is by some estimates the worlds second most popular trading platform after Robinhood.
Up until now it has only offered Australian customers US stocks, options and ETFs. The addition of ASX shares not only positions Webull as a major challenger in Australia's trading space, it is also cements Webull as one of the cheapest ASX brokers on the market.
Here's a rundown of their brokerage fees:
- US stocks & ETFs: US$0.00025 X total trade amount
- ASX stocks & ETFs: $4.90 for trades up to $16,353, $0.0003 x trade amount for trades over that
- US options: US$0.50 / contract
How does it compare?
How it stacks up to other brokers depends on which markets you prefer to trade, how much you're investing and how often.
| Platform | Brokerage - ASX stocks | Brokerage - US stocks | CHESS sponsorship |
|---|---|---|---|
| Webull | $4.90 | US$0.00025 X total trade amount | Yes |
| IG | $5 (if you make 3 trades+ per month), otherwise $8 | $0 | No |
| Stake | $3 | US$3 | Yes |
| eToro | $0 | $0 | No |
| CMC Markets | $0 for trades up to $1,000 (1 per day), or $11 | $0 | Yes |
| Interactive Brokers | 0.08% of trade value (min. $6) | US$0.005 per share with a (min. US$1, max 1%) | No |
| Syfe | $4.99 | US$1.49 | No |
| Superhero | $5 | $0 | No |
For CHESS-sponsored Australian stocks, Webull is second only to Stake and CMC Markets Invest on brokerage fees.
Stake charges a flat fee of $3 per trade for both ASX and US stocks, while CMC Markets offers a $0 brokerage deal for ASX trades of up to $1,000 (limited to 1 trade per day).
For US and ASX (CHESS) trades of over $1,000, Webull arguably offers the most competitive deal out there.
If CHESS-sponsorship isn't a priority, eToro offers the cheapest deal by far at $0 commissions per trade for both Australian and US stocks.
Bearing in mind, zero brokerage doesn't mean it's free. Low or zero brokerage trading platforms instead typically charge fees on foreign exchange and other platform fees.
Webull's global expansion
Webull became a major name in the US thanks to its low costs and high quality trading and research tools.
Now it's looking to expand into new markets, including the latest additions Australia the United Kingdom.
Webull Australia CEO Rob Talevski says competition in the US market has meant major investment into tech that gives it an edge in Australia.
“The result is a platform that caters not just for beginner investors, but also for advanced traders in Australia that demand features like heat maps across multiple global markets and sectors, options screeners, live pricing, market depth, financial analysis and corporate actions," says Talevski.
"Up until now, these features have generally been available in Australia through third-party software vendors that can’t match the Webull user experience – it’s an extremely exciting product for premium clients.”
As Webull expands beyond the US, including in the United Kingdom, Webull also plans to make other global stock markets available via the app, including Hong Kong and China A-shares.
Looking for a low-cost online broker to invest in the stock market? Compare share trading platforms to start investing in stocks and ETFs.