eToro has experienced tremendous growth in 2021, with over 2.5 million new users in January and February alone. eToro has become a market leader in social trading and copy trading thanks to its feature-rich trading platform and large social trading community of over 20 million users. eToro traders actively trade stocks, crypto-currencies, commodities, currencies, CFDs, indices and ETFs from desktops and mobile devices.
Founded in Israel in 2007, eToro has quickly become one of the most recognized CFD brokers in the world. Famous for bringing copy trading to a mainstream market, the company has been valued at over $2.5 billion.
Offering thousands of CFDs covering stocks and ETFs, crypto-currencies, forex, commodities and indices, retail investors can trade a range of financial instruments on an intuitive platform. But is eToro still good? Investors can access a range of useful tools, educational resources and a simple platform. Read our full eToro trading review to find out where eToro stands in 2022.
What is eToro?
eToro is a global online financial trading platform and multi-asset broker founded in 2007 by David Ring and the Assia brothers, Ronen Assia and Yoni Assia. In 2007, eToro was originally called Retail FX by the founders.
Over 15 years later, eToro has grown to offer retail investors stock trading, commodity trading, currency trading, CFD trading, social trading, index trading, crypto-currency trading, index fund trading and Exchange Traded Funds (ETF) trading.
eToro is an international broker headquartered in Cyprus, UK.
When trading in the financial markets, it can be very time consuming to find a broker that meets your needs.
We'll take a deep dive into this eToro review and assess how the eToro platform is performing in its role as the international multi-asset trading platform for traders in 2022.
You often have to visit and read many broker websites, all of which use different language. The language can be very confusing. Choosing an online broker like eToro can be difficult. For a beginner, the first hurdles may come in the form of what appears to be a complex mobile or online trading platform, hard to understand investment terminology and confusing fee structures. In our eToro review, we look at the pros and cons. What eToro is able to offer, in which countries eToro is available. Who eToro is regulated by and more.
OFFERS AND NEW CUSTOMER EXPERIENCE
The FCA does not allow financial incentives for trading, so UK residents are not eligible for the eToro bonuses that sometimes appear. For example, eToro regularly offers a refer-a-friend incentive and crypto-currency bonuses. Of course, it is also important to note that UK investors cannot open crypto trades under UK regulations.
Opening an account during our UK eToro review couldn't have been easier. The whole process is digital and should take no more than 10 minutes. Traders can sign up even faster by registering using their Facebook or Google account. Once you are set up, you can instantly access the eToro demo account. To start trading with real money, you will need to pass KYC, which simply involves submitting proof of identity and residency.
The minimum deposit to start trading with real money varies by country, but UK residents only need 10 $ to get started. Is eToro legitimate? A trader's first impression of this broker will certainly be a pleasant one.
EASE OF USE - IS ETORO RELIABLE?
When it comes to ease of use, we have mixed feelings about eToro. Generally speaking, eToro's trading platform is intuitive, well laid out, offers basic order types and is easy enough for new traders to pick up. The trading platform is elegant, very responsive, and the information on the instruments is clearly displayed. However, it is not very customisable, and some aspects are not user-friendly.
For example, traders cannot change pending orders - for example, if you want to change a limit order from $30 to $32 per share. In this case, you have to cancel the whole order and create a new one. Also, the 'Portfolios' tab on the trading platform, where fees are itemised rather than totalled, takes some getting used to. However, we liked the fact that copies of trades are separated for easier identification.
ACCOUNTS - FOR INDIVIDUALS AND PROFESSIONALS
In our review of eToro, we were pleased to find that the account set-up was simple. Unlike our review of BDSwiss, we found only two account types - a retail account and a professional account. Of course, a demo account is also available. Both accounts allow investors to trade in the full range of over 2,000 instruments and many fees remain the same - mainly deposit and withdrawal fees.
Leverage is limited to 30:1 for major currency pairs, 10:1 for most commodities, 5:1 for CFD stocks and 2:1 for CFD cryptos. The minimum deposit on the retail account varies by country. UK residents only need an initial deposit of 10 $ - rising to 50 $ for regular deposits.
We checked the professional account in our review of eToro and noted a minimum first deposit of 10,000 $. Professional account users must prove that they are legitimate professional traders and waive any right to negative balance protection due to the risk of trading at this level. Retail and professional investors also have the opportunity to gain additional benefits by joining the eToro club. This is a tiered membership system that offers additional benefits such as waived withdrawal fees and a dedicated account manager.
Finally, our review of eToro also confirmed the existence of a swap-free Islamic account that allows Islamic traders to not accrue interest on deposited funds or swap points for overnight trades.
TRADING PLATFORMS - A MOBILE AND WEB TRADER
Our review of eToro confirmed that there is no third party software. You won't be using MetaTrader or Iress at eToro. This broker uses its own trading platform designed as a web and mobile trader. This means that eToro doesn't offer a desktop application and it doesn't matter because, frankly, it's unlikely to differ in any way from the web trading platform.
The platforms are available in 21 languages, including English, Chinese, Arabic, Dutch, Czech, German and Russian. But traders can only invest in USD, so investors may have to do some calculations to assess the value of a trade in their own currency. The platform is designed for beginners. You can expect limited customisation and simple order types (market, limit, stop-loss and trailing stop-loss).
The mobile trading app is available for iOS and Android devices and offers the same functionality as the online trader. The app doesn't take advantage of some modern security features like biometric authentication, but that's not necessarily a bad thing if two-factor authentication was better - it simply sends a code to your phone via SMS.
TRANSACTION PAYMENTS - EXPENSIVE DEPOSITS AND WITHDRAWALS
Given eToro's size, popularity and reputation, we were very surprised by the payment options when we reviewed eToro. Although there are many payment methods, it should be noted that eToro only offers one base currency for trading - USD. As a result, any transaction made in another currency will incur a conversion fee. Our review of eToro confirmed that there are 14 accepted currencies that can be converted to USD, including British Pound, Euro, Australian, Swedish Krona and Ruble.
For payments in GBP, a conversion fee of 50 pips is charged. This is about 0.45 to 0.50 % of the deposit amount. It's not horrible, but it's certainly a problem you won't find with most other brokers. Traders can get around this by opening a multi-currency bank account, using eToro money or using a bank card to pay in USD and letting your bank handle the conversion fees if they are more favourable.
Withdrawals are all charged with a 5 $ fee, regardless of the payment method. During our review of eToro in the UK, we made a withdrawal via bank transfer and received our funds within 2 business days.
Cryptocurrency Trading at eToro
eToro offers a comprehensive set of crypto-currency services that support and enable crypto-currency traders to trade all major crypto-currencies including Bitcoin (BTC), Ripple (XRP), Ethereum (ETH), Ethereum Classic, Bitcoin Cash (BCH), Dash, Stellar Lumins (XLM), Neo, EOS, Cardano (ADA), IOTA, TRON, ZCash, Tezos and Litecoin (LTC). If you're looking to get into crypto trading or if you're one of the many experienced crypto currency traders who trade crypto assets, eToro will have useful crypto services for you.
eToros Crypto Wallet App
eToro's crypto assets can be stored in the eToros Cryto Wallet application. The eToro Crypto Wallet is a secure digital crypto wallet with military-grade encryption. The eToro wallet is a crypto exchange and supports storing, buying, selling, sending and receiving over 120 crypto currencies. The eToro wallet can hold several types of crypto-currencies at once and is of great use to active crypto-currency traders.
The popularity of crypto-currency trading and traders wishing to transfer currencies in the form of crypto-assets has grown exponentially in recent years. eToro continues to update its crypto-currency offering to meet the needs and desires of its 20 million customers. That's why eToro offers Crypto CopyPortfolios. Crypto CopyPortfolios allow eToro users to enjoy copy trading with crypto assets.
Crypto Asset Trading managed by eToro's Crypto Copy Portfolio
In addition to trading traditional financial instruments related to crypto-currencies, eToro users also have access to a crypto-currency wallet managed product called CopyPortfolios.
Investing in CopyPortfolios will automatically copy traders and multiple markets based on a predetermined investment strategy. Please understand that eToro CopyPortfolios are not hedge funds or exchange traded funds.
CopyPortfolios allows traders to gain diversified exposure to the crypto-currency markets. CopyPortfolio's crypto assets are calculated in proportion to their market capitalization from 5%. The minimum investment for eToro CopyPortfolios is 5,000 $. Understand the distinction that you can either take part in crypto trading on invididual crypto assets or copy the trades of eToro users who trade crypto assets. Crypto CopyPortfolio is a separate managed service.
Find out more about etoro: the experts' opinion
You now know the basics about eToro, a platform that has been hugely successful for several months. In our description, we wanted above all to offer you a viewpoint that is as concrete and objective as possible, so that you can make up your own mind about what is always a vast and complex subject.
If you want to go a little further, especially if you want to know the opinion of real experts in cryptos, we invite you to consult the site acheter-des-bitcoins.fr. The creators of this site are used to dealing with these issues in detail and above all they take the time to compare the main platforms in detail. Click here to see their complete opinion on the eToro trading platform. Here you can find out everything you need to know before you commit yourself.
Don't worry, you already know the majority opinion about eToro and you won't get any nasty surprises. Experts and amateurs alike agree that eToro is an excellent trading platform. It is simply one of the best brokers in the world. The zero commission policy on stocks is of course a strong argument, but not the only one. The number of assets available, the particularly competitive rates, and above all the fact that the platform is aimed at both beginners and advanced traders will make it an excellent ally for most of you. We particularly appreciate the fact that eToro offers both beginner's tutorials and advanced trading tools that allow experienced traders to easily optimize their investments.
As we said, the platform is particularly user-friendly and intuitive, although it does have some shortcomings. There are other drawbacks to be expected when signing up to eToro, notably the £5 per withdrawal fee, which may come as a surprise for what is usually a very competitive platform. This may explain why the popularity of the site, while undeniable, is not perfect. But in this respect too you can be reassured. Don't forget that eTOro is the most used platform in the world. The reviews on Trustpilot as well as on Google Play and Apple Store are mostly very positive. If you are convinced, you can register without fear.