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How to Buy On eToro
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How to Buy On eToro - The Complete Guide

Want to learn how to use eToro? The first thing you need to do is to learn how to buy on eToro. This guide will teach you everything you need to know. Read on!

Commerce can be super-exciting. However, if you are new to the world of trading and investment, there is a special thrill that comes with it. The feeling is the same for most, if not everyone who ventures into the arena of risks, losses, and profit. 

While you enjoy the experience, you must not lose sight of something important. The need for a safe and simple platform where you can best begin your journey and avoid learning the hard way. That's where the need for the right investment platform comes in. 

If you look around, you will find numerous such platforms. However, at this stage of your journey, there’s nothing you need more than an investment platform that is educational and easy to use. These are the reasons why eToro is an easy choice for many beginners. 

What is eToro?

eToro is an online investment platform where users have the chance to buy and sell financial instruments of their choice. Millions of people use eToro around the world to trade in several financial instruments.

The Israeli platform stations offices spread around the world in ten different countries such as the UK, US, and Australia and hosts active users in over 140 countries. 

The platform is renowned for its ease and learning opportunities. One of the popular benefits of eToro is the choice of either social investing or manual investing. As a beginner, eToro's social investing setup will especially provide a more rewarding experience for you. 

How Does eToro's Social Investing Work? 

The eToro platform allows traders and investors to walk in the steps of the more experienced and accomplished players. 

eToro runs its social investing feature via its CopyTrader system. With CopyTrader, eToro users can find out the latest trading moves of the big fishes on the platform. 

CopyTrader displays pertinent information about the activity of these accomplished traders. This information includes the level of risk the investor is taking (ranges from 1 to 10), gain percentages, and portfolio composition (which includes trade history and orders). 

The appeal of the CopyTrader feature is strengthened by your ability to stop copying a trader at any time. The feature also allows you to set a stop loss for the copy. 

What Can I Buy on eToro? 

eToro offers a range of some of the most popular financial instruments. These instruments are; 

  • EFTs 
  • Currencies 
  • Stocks
  • Indices
  • Commodities
  • Cryptoassets 

You can buy any of these financial instruments and hold them until such a time when it is more profitable to sell them. 

For traders, buying and selling financial instruments is a short term profit making plan. On the other hand, investors are in it for the long haul and will hold trading instruments for much longer. 

How to Buy on eToro

eToro makes it easy for users to buy assets-any asset. Here are the steps you should take to buy a trading instrument on the eToro platform. 

  1. Login to access your existing eToro account. If you don’t already  have one, visit the eToro sign up page by clicking Sign Up on the home page. 
  2. After accessing your account, visit the Markets page and hit the Stocks option to view the available stocks. 
  3. Make your choice of stocks and select the Trade option. Afterward, click on the Buy option. 
  4. Input the amount of money you intend to invest on the stock or the units you want to buy.
  5. Set leverage at X1, then hit the Open Trade option. 

How to Buy ETFs on eToro 

eToro is a great place to make your first ETF purchase. Also, feel free to opt for ETFs that fulfil the objectives of your interest. 

You may want to generate passive income through company dividends, protect your portfolio from the impact of negative market forces, or generate capital growth through investment in a sector of choice. 

Also, many ETF buyers choose to spread out their investments across several assets. As a beginner, this move will help you lower your risks.

The purchase process on the eToro platform is pretty straight-forward. Here are the steps you should take. 

  1. Open an eToro Account 
    Your first step to buying ETF on eToro is to open an eToro account. Visit the eToro Sign-up page to create an account. You can sign up with your Google or Facebook account or provide sign-up information.
  2. Follow and Complete the Verification Process
    eToro asks account applicants to complete a verification process before approving their account requests. Your eToro verification process starts when you submit a proof of identity and proof of address. 
    Your proof of identity must contain vital information such as your name, date of birth, and a clear passport photograph. Your proof of address, which could be a utility bill, credit card statement, or bank statement, should be less than three months old and must contain your name and address.
    The eToro app allows account applicants to scan and submit both documents.
  3. Fund your eToro Account
    Next, you must fund your account by clicking on Deposit Funds. Afterward, specify the amount, currency, and payment method. 
  4. Pay for ETF
    After funding your account, you can proceed to eToro’s Markets section to pay for an ETF. Click on the ETF type you want to trade, select the Trade option, before clicking on BUY. Input the trade amount then Open Trade. 

Conclusion 

eToro provides an attractive trading environment for both experienced and newbie traders and investors. New traders can take advantage of the simplicity of eToro's platform to strengthen their investment skills and generate wealth. For more information about the platform, read our eToro review.

After buying an asset, you also need to know how to sell one. This guide will explain everything about how to sell on eToro. If you think you're not ready to trade with real money, you can always set up an eToro demo account and learn to trade with virtual money.

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