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eToro is a winner for its easy-to-use copy-trading platform where traders can copy the trades of experienced investors – or receive exclusive perks for sharing their own trading strategies.
With over 3,000 tradeable symbols, including CFDs, forex, and exchange-traded securities, eToro offers a comprehensive – albeit slightly pricey – trading experience.
eToro pros & cons
Pros
- eToro was founded in 2007 and is regulated in three Tier-1 jurisdictions and one Tier-4 jurisdiction. eToro has earned a Trust Score rating of Highly Trusted.
- eToro is excellent for social copy trading and cryptocurrency trading and was our top pick for both categories for our 2024 Annual Awards.
- Fantastic for ease of use thanks to its user-friendly web platform and the eToro mobile app that is great for casual and beginner investors.
- eToro continues to expand its available range of markets as a multi-asset broker with over 3,000 symbols available.
- Offers indemnity insurance of up to EUR 1 million per client in the EU, U.K., and Australia.
- Following the recent SEC approval, eToro offers spot Bitcoin ETFs.
- VIP-style perks are available for club members and popular investors that reach higher tier status.
- eToro’s expanded research content includes its Digest & Invest series, Market Bites podcast, and weekly videos and articles.
Cons
- Trading forex and CFDs at eToro is slightly pricier than most of its competitors, despite recently cutting spreads and introducing zero-dollar commissions for U.S. stock trading.
- Algo trading strategies are not supported at eToro.
- Mandatory stop-loss and take-profit may hinder certain trading strategies.
- Trading Central research and tools are only available to certain eToro Club members who have re
Is eToro safe?
eToro is considered Highly Trusted, with an overall Trust Score of 90 out of 99. eToro is not publicly traded, does not operate a bank, and is authorised by three Tier-1 regulators (Highly Trusted), zero Tier-2 regulators (Trusted), zero Tier-3 regulators (Average Risk), and one Tier-4 regulator (High Risk). eToro is authorised by the following tier-1 regulators: Australian Securities & Investment Commission (ASIC), Financial Conduct Authority (FCA), and regulated in the European Union via the MiFID passporting system Learn more about Trust Score or see where the different eToro entities are regulated.
Commissions and fees
eToro is a market-maker broker and lists a typical variable spread of 1 pip on the EUR/USD, which is slightly higher than the industry average. Considering its trading fees, retail traders don’t choose eToro for its spreads, but rather for its social copy trading platform capabilities.
VIP accounts: eToro offers a VIP club (called eToro Club) with five tiers of membership that range from Silver to Diamond. These tiers are for traders who maintain balances between $5,000-$250,000 and feature varying benefits depending on the level of membership. VIP perks range from access to Trading Central, to discounted withdrawal and deposit fees, to a dedicated account manager – among other VIP-style benefits.
Popular Investor program: eToro’s Popular Investor program (for traders who allow other investors to copy their strategy) has four levels – ranging from Cadet to Elite – where traders can become eligible for various perks. To qualify for the Cadet tier you must have more than $1,000 in account equity, attract $500 in customer assets that copy your strategy, and maintain a risk score below 7 for at least two months. Benefits available to Popular Investors include spread rebates, monthly payments, and even a management fee for those who reach elite status.
Cryptocurrency trading: Overall, eToro’s pricing is close to the industry average for trading physical cryptocurrency. For each buy and sell position, users pay a single fixed fee of 1% (on top of the spread) on each side of the trade (both when opening a closing a position).
While trading bitcoin has become a little more expensive (when compared to its prior pricing at 0.75%), eToro has leveled the playing field on nearly 200 crypto assets with its 1% flat rate commission, which can be helpful when trading emerging cryptocurrencies that would have otherwise been more expensive (on its previous fee schedule).
Meanwhile, converting from crypto to crypto at eToro only costs 0.1% (in addition to prevailing spreads).
Exchange-Traded Securities: In addition to trading CFD shares, eToro also offers zero-dollar commission for U.S. stock trading (not available to U.S. investors) and supports fractional shares. To learn more, see our
