Review eToro
Founded in 2007 in Israel, eToro is a fintech company offering a multi-asset platform with stocks, cryptocurrencies, and CFD trading. Known for its resilience in financial markets, eToro isn’t stock exchange-listed, doesn’t release its annual report publicly, and isn’t bank-owned. It provides quick account setup and commission-free stock trades, along with unique features like social trading. However, it has high non-trading fees, slow cash withdrawals, and supports only USD cash holdings. Customer support accessibility is another noted drawback.
Recommended to:
eToro is best suited for innovative traders interested in social trading and commission-free stock trading.
Pros
- Free stock and ETF trading
- Smooth set up process
- Social trading experience available
Cons
- High non-trading fees
- Only one account base currency
- Withdrawal fee is pretty high
Review’s Keypoints
Country of regulation
UK, Cyprus, Australia
Minimum deposit
$50
Time to open an account
1 day
Trading fees class
Low
Deposit with bank card
Yes
Number of base currencies supported
1
Products offered
Stocks
ETF's
Forex
CFD
Crypto
Commodities
Bonds
Depositing with electronic wallet
Yes
Demo account provided
Yes
Fees
Pros
- Trading fees are low
- Free stock and ETF trading
- Low Forex trading rates
Cons
- High non-trading fees
- Withdrawal fee
eToro Costs
- *** 1000 in EUR or USD for the Stocks transaction
- *** Price per contract for Options & Futures
Account
Opening an account with eToro is fast and fully online, with immediate access to the trading platform when signing up using Facebook or Google details.
Live Account
Live Account
eToro provides two simple account types: a virtual portfolio without trading with real money, and Real Trading.
Corporate Account
Corporate Account
Joint Account
Joint Account
Click on the card to see details
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01Create and verify account
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02Upload required documents
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03Complete profile detail
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04Begin trading
Transfers
EToro only uses USD, so all non-USD deposits are converted with applicable fees, which are higher for some methods like credit cards. Broker also has a withdrawal fee and a minimum withdrawal amount, offering methods like bank transfer, credit/debit cards, and e-wallets.
Pros
- Credit/debit card transfers available
Cons
- Conversion fees for deposit (except USD)
- Withdrawal Fee
Trading Platforms
Web Trading Platform
The trading platform offers an aesthetically pleasing and functional design with well-labeled menus and buttons in a pleasing color scheme, enhancing user experience. Customization is limited due to fixed panels, though setting up a watchlist is straightforward. It features an optional two-step login for added security and a predictive, user-friendly built-in search function for easy ticker access.
Mobile Trading Platform
The mobile platform is intuitive and user-friendly, designed for both iOS and Android. It mirrors the web platform's functionality, supports the same 21 languages, and incorporates mobile-specific features like push alerts and smooth touch interactions, including swiping for portfolio access and trade execution.
Desktop Trading Platform
The desktop platform mirrors the mobile platform's functionality. Its powerful and user-friendly, accessible via any web browser. It supports 21 languages and includes enhanced charting tools, multiple windows for monitoring assets, and full integration with eToro's social trading features, offering a comprehensive trading experience on a larger screen.
Offering
Tools
Recommendation
Find recommendations, such as analyst consensus (buy/hold/sell), average price target, hedge fund sentiment, and insider trading sentiment.
Fundamental data
eToro provides basic fundamental data for stocks, including company profiles and key indicators like P/E ratio, EPS, dividend yield, and beta. However, it lacks fundamental data for other asset classes. Users can also subscribe to a daily market analysis newsletter and access a list of market highlights.
Charting
The charting tool allows one to use as many as 70 technical indicators. The charts are automatically saved, saving individuals’ time setting up. Unfortunately, data over 6 months are unavailable.
News Feed
eToro's news feed resembles a market-themed Twitter, featuring posts by users and analysts, using hashtags for themes and dollar signs for assets. While it's not highly acclaimed, this feature does introduce a social dimension to trading.
Regulation
eToro operates under three entities, offering client protection based on residency. UK clients are protected by the FCA, Australian clients by ASIC (without a set protection amount), and other clients under CySEC regulation with some investment protection. Additionally, eToro offers private insurance, covering various assets, though it’s discretionary. The lack of stock exchange listing and financial statement disclosure makes assessing eToro’s financial health difficult, but regulation by top-tier authorities indicates reliability. There’s no bank parent for backup support.
Bottom Line
eToro stands out for its zero-commission stock trading and innovative social trading feature. The account opening process is quick and efficient. However, it has drawbacks like high non-trading fees and mandatory USD accounts, leading to potential conversion costs. Also, accessing live chat support can be difficult, and its educational materials could be better.
Overall, eToro is particularly appealing for users interested in its unique social trading aspect and commission-free stock options.