webull is a flash in the pan, consuming funds and making massive...

webull is a flash in the pan, consuming funds and making massive losses in the hope of growth. They are doing a SPAC merger currently which values them at around US$7b, which is rather ridiculous given the same announcement states they have only US$8.2b AUM. Selfwealth has A$10b AUM and is worth A$32m making the US$7b valuation just stupid. They say they have 4.3m funded accounts which means the average account size is a meagre US$2k.

They are another fintech company that is stuck in the 2021 world, like stake, of consume as much investor capital as possible in the hope of being the last broker standing. webull business model is flawed, just like stakes, and at some point these companies have to show a path to profitability or they will be a smoking ruin in a few years time, if not sooner, when they have consumed all the cash injected in to them and not had a single profit.

Me, personally, I am not willing to risk jumping on one of these companies to act as my broker given they could vanish in a blink when the cash runs out. Fine, you have chess sponsorship with both, but if they go under it will still take time to get your HIN transferred across to another broker, not something I would risk. If you have a $2k account it is probably not a bother to you as the unsustainable el-cheapo brokerage model is more important, but anyone with a vaguely serious portfolio size would be crazy to jump onto any of these brokers, and this is reflected in webulls pathetic $2k average portfolio size.

With Selfwealth you at least see what their underlying fundamentals are, and currently being profitable you are at no risk of them going under.