E*Trade vs Webull (2026): Best Broker for Options Traders?
E*Trade and Webull both appeal to active traders, but they solve different problems. E*Trade leans on Power E*Trade, Morgan Stanley research, and a more established brokerage stack, while Webull wins on zero-cost options trading and sleek technical charting for mobile-first traders.
Sponsored Placement Available
Sponsor this comparison — reach traders researching brokers
E*Trade is a rock-solid choice for active options traders who want institutional research backing and a tiered pricing model that rewards volume. Power E*Trade is genuinely powerful — it's not on the level of thinkorswim or Tastytrade for pure options analytics, but the Morgan Stanley research integration and managed portfolio options make it a uniquely well-rounded platform.
Webull delivers the best free options trading platform available. Zero commissions including on contracts, advanced charting, and extended hours access make it an exceptional value. The platform for cost-conscious active traders.
Side-by-Side Comparison
How we review: Our team opens real accounts and tests every platform hands-on. We evaluate on commissions, tools, and execution — never influenced by affiliate relationships. Editorial policy →
| Feature | E*Trade | Webull |
|---|---|---|
| Our Rating | 4.3 | 4.5 |
| Commissions | $0.65/contract | Free |
| Min. Deposit | $0 | $0 |
| Options Trading | Yes | Yes |
| Free to Close Options | No | No |
| Paper Trading | Yes | Yes |
| Account Types | Individual, IRA, Roth IRA | Individual, IRA, Paper Trading |
| Regulated | FINRA / SIPC | FINRA / SIPC |
E*Trade — Full Review
E*Trade's journey from early online brokerage pioneer to Morgan Stanley subsidiary has given it a unique position in the market. The Power E*Trade platform is the centerpiece for active traders — it offers a dedicated options trading interface with real-time streaming chains, advanced Greeks analysis, strategy scanners that filter by probability, risk/reward, and expected return, and an intuitive strategy builder for multi-leg positions. The options chain display is highly customizable, letting traders view implied volatility, open interest, volume, and Greeks side by side. Paper trading is available for strategy testing without capital risk, and the education center offers structured learning paths from beginner through advanced options concepts. Morgan Stanley's acquisition in 2020 brought significant enhancements: E*Trade clients now have access to Morgan Stanley research reports, market commentary from the firm's global strategy team, and integrated financial planning tools. The tiered commission structure is a meaningful differentiator — at $0.50 per contract after 30 trades per quarter, active traders pay less than the industry-standard $0.65. Account types span the full range: individual taxable accounts, Traditional and Roth IRAs, trust accounts, and managed portfolios with professional oversight. The managed portfolio offering starts at a $500 minimum for the core tier, making professional management accessible. E*Trade's mobile app mirrors much of Power E*Trade's functionality, including options chain viewing, order entry for multi-leg strategies, and real-time P&L tracking. While the main E*Trade website can feel dated compared to newer fintech platforms, Power E*Trade is modern and responsive. Customer service is available by phone, chat, and in person at Morgan Stanley branches — a notable advantage over online-only brokers.
Webull — Full Review
Webull emerged as a serious competitor by offering everything Robinhood does but with actual trading tools. The charting platform supports 50+ technical indicators, drawing tools, and multi-chart layouts that rival TradingView. Options trading is fully commission-free — not just on stocks but including the per-contract fee that Tastytrade and others charge. The paper trading mode is a standout feature, letting new traders practice with real market data without risking capital. Extended hours trading from 4am to 8pm ET gives active traders more flexibility than most platforms. The desktop app is powerful and the mobile app is among the most feature-complete in the industry.
The Verdict: Which Should You Choose?
Choose E*Trade if you want a more mature options platform, stronger integrated research, and a broker that works well for traders who may also want managed portfolios or a broader full-service relationship over time.
Choose Webull if cutting options costs to near zero matters most and you prefer modern charting, paper trading, and an intuitive active-trading interface built for self-directed traders who do not need deep advisory support.