With more than a decade of experience in the finance industry, eToro has positioned itself as one of the leading and most popular trading platforms and social investment networks. The regulated service offers a diverse range of assets, including forex, stocks, commodities, and exchange-traded funds (ETFs).

eToro was formed in January 2007 when a couple of entrepreneurs set out to make the world of trading accessible to anyone, anywhere, without depending on global financial institutions. Founded by Yoni and Ronen Assia, the core team of eToro is comprised of seasoned experts from the world of Finance and Technology.

In this eToro review, we will cover all the important aspects that you need to know about this broker before opening an account. Read it through before making a decision.

eToro is a stock broker that offers commission-free trading and has revolutionary features like social trading – where you can easily copy the investments of other traders on the platform, or CopyPortfolio – where you invest in already existing portfolios.

On the downside, eToro has some higher-than-average withdrawal fees and also charges an inactivity fee. You can only buy and sell assets during regular trading hours, and you can only make withdrawals in USD.

As a leading trading platform, eToro has successfully ensured compliance with top regulatory authorities, including CYSEC, FCA, CIF, MiFID, and AFSL. The service's meticulous adherence to the safety and security of its clients' funds has positioned the platform as one of the leading brokers in the world.

As one of the regulated trading platforms, eToro users are required to verify their identities by submitting authentic government-issued documents. These steps are taken to protect traders from fraudulent and criminal activities. It also helps the trading platform to create a secure environment for traders. By making sure that their users go through this process, eToro adheres to Know Your Customer (KYC) and Anti Money Laundering (AML) regulations.

You can access your eToro account and all the available trading tools either via a mobile application or the WebTrader - the desktop application. Let's take a look at both of them

Web App

The WebTrader, or eToro’s Desktop Trading Platform, is a powerful, secure, and user-friendly way to manage all your trading and investing activities. eToro's platform gives you access to the full range of eToro’s features and services in real-time.

The platform’s intuitive interface makes it easy to navigate, allowing you to quickly access all the information needed to execute trades quickly and efficiently. Moreover, eToro's platform also provides a variety of customization options so that you can tailor it to your needs.

Lastly, it includes various analytical tools to help you make informed decisions. These tools include charting tools, portfolio management tools, risk management tools, and market research tools.

Mobile App

eToro provides a user-friendly mobile trading app for both Android and iOS devices. The eToro mobile apps let you monitor your portfolio, check prices, and place trades. It also places at your fingertips a wide range of features, such as watch lists of individual stocks, charting tools for tracking markets in real-time, push notifications for important events, and news updates.

For more information on the mobile platform, check out our eToro app review.

One final thing to mention is that you can and should activate two-factor authentication for both.

The leading platform offers a wide range of features for both amateur and professional traders, including the following. 

eToro Club

eToro Club members have access to a wide range of services and tools that are designed to improve their experience and understanding of the capital markets. These include investment opportunities in stocks, and Smart Portfolios. The club also offers a variety of educational resources to help members make informed investment decisions. Overall, eToro Club provides a wealth of resources and opportunities to help members grow their portfolios.

When joining the eToro Trading platform, each new user gets access to the eToro Club. The level depends on the assets that you have on the trading platform. The Bronze level is the starting one for all eToro users. To get to the other levels, you will need to have the following equity:

• Silver: $5,000
• Gold: $10,000
• Platinum: $25,000
• Platinum+: $50,000
• Diamond: $250,000

eToro Money

eToro Money is a tool that allows eToro customers to manage their finances more easily. It provides an e-money account that can be managed with an easy-to-use app, as well as offering a Visa debit card in certain regions, giving complete convenience and control.

eToro Money also allows users to make fee-free, instant deposits and withdrawals to and from their eToro investment account - ideal for investors who need quick and easy access or who want to quickly take advantage of opportunities in the market. Plus, clients can easily send and receive money with a personal sort code and account number (UK to UK) or IBAN (EU – SEPA).

eToro offers an array of assets for those looking to get started in the world of online investing.

Stocks

With over 6,000 different companies from 16 major stock exchanges worldwide, eToro has something for every trader.

eToro’s stock and market offerings provide you with opportunities to invest in companies from all sectors – from technology, finance, healthcare, and retail to travel, banking, and telecommunications.

On eToro you can also trade stock CFDs.

ETFs

eToro provides investors with a wide range of Exchange Traded Funds (ETFs) to trade. Many people resort to ETF trading because it allows them to gain exposure to different markets and asset classes, providing increased diversification compared to picking individual stocks or investing in mutual funds.

eToro's selection includes some of the world's most popular ETFs, such as the SPDR S&P 500 ETF (SPY) and Vanguard Total Stock Market ETF (VTI). As of December 2022, eToro offers access to 265 ETFs.

Commodities

On eToro, you can trade over 25 commodities, including the most popular ones: Gold, Silver, Platinum, Palladium, Oil & Gas, Natural Gas, and Wheat.

Forex Trading

For those interested in Forex, eToro offers access to 49 pairs that you can trade for 5 days a week.

CopyTrader

On eToro, you can also invest in the portfolios of others instead of doing just regular stock trading. Copy trading is an innovative feature that allows users to replicate the successful trading strategies of experienced investors. With CopyTrader, users can choose from a pool of professional traders and automatically copy their trades. Just remember to check the risk score of a certain trader before you copy trades from people in the popular investors program. The minimum investment is $200.

Smart Portfolios

eToro's Smart Portfolios, formerly known as CopyPortfolio, are curated collections of assets that you can invest in. These allow you to diversify your investments easily and offer an automatic way of investing for those who don't have the time or knowledge to due their own research.

• For US Traders - Depending on the asset you are trading, the fees could be anywhere between 0.75% and 5%. 
• For Non-US Traders - No commission on opening or closing long positions on stocks, while short positions result in a commission of 0.18%. 
• For Non-US Traders - If you are not using the local currency, you will need to pay the exchange fee. 
• Inactivity Fee - For accounts that have been idle for 12 months, there's a $10 annual fee. 
• Withdrawal Fees - For US traders, there are no withdrawal changes, but for non-US residents, the withdrawal fee is $5.

The account opening procedure is quick and straightforward. 

• Step 1 - You will need to register your account using your email or social media accounts such as Google or Facebook. 
• Step 2 - If you want to add funds for trading, the next step will be to go through identity verification. For that, you will have to upload government-issued documents for proof of identity and proof of residence. 
• Step 3 - Since eToro only facilitates USD accounts, your funds will be converted into USD. You can use multiple options for depositing your funds, including credit/debit card, bank transfer, PayPal, Skrill, Neteller, and more.
  If you are a non-US resident, you will have to pay $5 per withdrawal. You can use the same deposit methods for withdrawal too.

eToro Money Account vs Demo Account

One of the great things about eToro is that it offers two different types of accounts - a money account and a demo account. So, which one should you choose?

The main difference between the eToro money account and a demo one is that a money account allows you to trade with real money, while an eToro demo account lets you practice trading. This means that there is a risk of losing money when trading with a money account, but it also means that there is the potential to make profits. With a demo one, on the other hand, there is no risk of losing any money on the eToro platform, as all trades are made with virtual funds. However, virtual trading means that any profits made on eToro are also virtual.

So, which type of eToro account is right for you? If you're new to online trading, then a demo one might be a good option, as it will allow you to get used to the platform and do virtual trading without risking any real money. Once you're more confident, you can switch to a money account on eToro. Alternatively, if you're already an experienced trader, then a money account might be the better option as it offers the opportunity to make real profits.

eToro Minimum Deposit

One of the key features of eToro is its low minimum deposit requirement. Thus, you can start off with a small initial investment. The eToro minimum deposit is just $50. This makes it an ideal platform for those who are new to trading or who have limited capital to invest. In addition, eToro offers a demo account that can be used to test out the platform before committing any real money. 

The education section available to all retail investor accounts includes several sections. Let's take a look at each of them.

eToro Academy

The Academy is an online learning platform that teaches eToro users how to navigate the trading platform. It also provides comprehensive tutorials on topics such as trading strategies and fundamentals, technical analysis, market psychology, and more.

Moreover, the eToro Academy features live webinars from eToro professionals, as well as on-demand video courses and written guides. Basically, it offers educational resources for all levels of investors, including beginners and experienced traders alike.

eToro Plus

With eToro Plus, you have access to daily, weekly, and monthly analysis articles written by eToro experts.

The Bull Club

Etoro offers users a chance to talk to experts through the Bull Club. The section also has a library of old webinars, just in case you've missed any.

eToro is a multi-asset platform which offers investing in stocks as well as trading CFDs.

Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 51% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. 

This communication is intended for information and educational purposes only and should not be considered investment advice or investment recommendation. Past performance is not an indication of future results.

Copy Trading does not amount to investment advice.  The value of your investments may go up or down.  Your capital is at risk.

Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more

eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.

eToro has a Help Center page where you can find the answers to the most frequently asked questions. If you submit a ticket, the response time is seven days. Moreover, if your issue requires immediate attention, they have a Live Chat page where you can initiate a chat session once you're logged into your eToro account.

Written by Alex Manea - Head of Content ar Sortter.com

About My Experience with eToro

I’ve been using eToro for about 3 years now, ever since I started investing, and it is my go-to broker for passive investing. 

When I started using eToro, I had no idea what a broker is or how you should invest using one. Still, the app platform’s interface is so intuitive I was able to purchase my first shares in minutes. 

All-in-all, the platform is simple enough that even a complete beginner can start investing right away. The deposit process is fast, and the search menu is so intuitive that you will find the assets you want to invest in straight away.

Once you identify the company that you want to invest in, you also have access to some tools that can help you decide if you should invest. First of all, you have the “Analysis” tab where you can check out what professional Wall Street analysts think of this company and how the share prices will perform in the next 12 months. You can also find additional information on the “Overview” tab to help you identify good entry and exit points. 

Social & Copy Trading

One place I would recommend that you avoid is the social side of eToro. Most posts are from people trading meme stocks, and the rest are from users in the Popular Invest Program who are trying to promote themselves.

If you do decide to copy someone, here are a few tips, so you don’t lose money:

• Check out their entire trading history - some traders have had a lot success in the most recent months, and they get a lot of copiers, but if you look back at their entire eToro history, they don’t have a single year they ended in profit - Stay away from them!
• Decide on the type of results you want - some Popular Traders have a riskers approach, and some are more conservative. Choose which ones you want to copy depending on your appetite for risk and desired results.
• Be careful what trades you copy - When first copying a Popular Investor, you will be asked which trades you want to copy: existing ones or future trades. If you copy existing ones, you might end up with some losing traders (let’s say that the Popular Trader Purchased some Apple shares a while back, the price went up, but now it hit a resistance level, and it’s going down, so he decides to close the trade shortly after you’ve copied him. You could end up, for example, buying into a trade of Apple shares at $100 per share and selling them for a loss at $98 per share.)

If you’re only interested in passive investments, eToro really is, in my opinion, the best platform that you can use as a complete beginner. It’s easy to use, and it gives you access to all the tools you need right on your mobile phone. If you’re just getting started, you won’t find a better broker! 

Personally, as of early 2022, I’m using eToro only for ETFs and dividend stocks to build a strong portfolio for my retirement.

In conclusion

What I like:

• Easy to use
• Earning dividends

What I don’t like:

• Social side - feels like it’s full of spammers and meme traders 

What I use it for:

• Passive Investments
• Investing in ETFs and dividend stocks

eToro is probably one of the best brokers for real stocks and CFD that you can use. With eToro, you can trade or invest in assets from the US stock exchange and many more markets (UK, Europe, Asia, etc.). You can also use the Copy Trading eToro feature to copy successful eToro traders. Just remember to review their success rate before investing. 

The eToro trading platform allows users to access for free a wide variety of tools and indicators someone might need to analyze assets before entering a trade. Plus, you also get access to a free account to test out strategies for eToro CFD trading before using real money. This way, you can see which are the best strategies to apply without losing money.

We hope that this review eToro has been helpful and answered all your questions. If so, don't hesitate to open an eToro trading account today!

Just remember that accounts lose money when trading CFDs.

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