Webull Sees Growth in Retail Options Trading, Plans Further Expansion

Jun 7, 2024

John Lothian

John Lothian

Executive Chairman and CEO

June 7, 2024

ASHEVILLE, NC (JLN) – Arianne Adams, chief strategy officer at the online brokerage Webull, highlighted the company’s focus on expanding access to derivatives trading, particularly for retail investors, in an interview with John Lothian News for the JLN Industry Leader video series sponsored by the OCC at the Options Industry Conference.

Adams credited the industry for better educating the public about derivatives, providing a unique opportunity for people to realize why they want to use derivatives products alongside equities to diversify their portfolios.

Drawing from her previous role at Cboe Global Markets, Adams said Webull aims to facilitate overnight trading of U.S. listed options and offer new products like index options and smaller options contracts based on customer demand.

She noted the “explosion of volume” in short-dated options trading, driven more by retail than institutional investors, after Cboe added Tuesday and Thursday expirations. This insight has helped shape Webull’s strategy of understanding customer needs firsthand.

International Expansion a Priority

Webull currently operates in 15 regions and plans further expansion, especially in the Asia-Pacific, to meet demand for access to U.S. markets and products like equities, options and futures.

Adams said the company’s recent merger with a special purpose acquisition company (SPAC) provided “an easier path” to going public compared to an initial public offering, with expectations to eventually de-SPAC.

Differentiating Through Diverse Offerings

To differentiate from competitors, Webull aims to be an “all-in-one provider” offering not just trading tools but also services like cash management, IRAs, robo-advisors and fixed income products.

Adams praised the company’s motto, “Respecting the investor is respecting the market,” saying it reflects understanding customer needs while also respecting liquidity providers as “both sides are winning.”

 

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