eToro Review

Open Demo Account
Trader Rating
15 minutes read/Updated: 05 July 2020

eToro made its first steps towards becoming a CFD and Forex broker in 2007. From the start, the goal was to make trading accessible to everyone regardless of location while reducing dependency on traditional financial institutions. The company began with the Visual FX trading platform, launched in September of that year, before launching a WebTrader just under two years later.

We also have to mention its social trading, which began in 2010 via OpenBook. This was the world’s very first social trading platform. Over the years, the firm continued to grow, adding a mobile platform, stocks, and CopyPortfolios. Today, it offers access to stocks, cryptocurrencies, commodities, currency pairs, ETFs, and indices, some of which are traded as CFDs.

Strengths
  • The first social trading platform ever.
  • Offers access to a variety of assets.
  • Regulated and authorised by the FCA.
Weaknesses
  • Limited educational tools are available.
  • There have been some outages on the trading platform in the past.

What can you trade?

Open Demo Account

eToro Forex Review

$200 Min Deposit
Good App Support
1:30 Max Leverage

Our team discovered that Forex trading is not the company’s primary focus, which revolves around social trading, yet there are still extensive offerings. If this is your primary market, then you may want to consider a different broker. However, if you want to trade it along with other assets, including the social trading option, then you are at the right place.

There is a choice of 47 currency pairs for clients to trade, including majors, minors, and exotics. The spreads for all pairs are clearly listed on the hours and fees page, with the example of EURGBP having a spread of 4 pips.

Open Demo Account

eToro CFD Review

$200 Min Deposit
Good App Support
1:20 Max Leverage

We discovered a wide range of assets on offer as CFD products across all types of assets including indices. They also allow traders to trade very small fractions of the respective assets and to use leverage.

CFDs are available for commodities, cryptocurrencies, currency pairs, ETFs, and indices at very affordable fees. For example, the fees at the time of writing as reflected in the spread offered on the NSDQ100 CFDs was 240 pips.

Open Demo Account

eToro Stocks Reviews

$200 Min Deposit
Good App Support
1:5 Max Leverage

In addition to the assets offered as CFDs discussed above, you also get access to multiple stocks for those who are interested in trading these assets. It is possible to trade stocks in the traditional manner or as CFDs, depending on your preference.

Our analysts appreciated the lack of commissions on stock trades at eToro. There are also no rollover, ticket, or management fees. This unique offer is only available under the UK and Europe subsidiaries but it excludes leveraged or short trades. There are spreads of 0.09% for trading stock CFDs, in addition to overnight and rollover fees. Clients have access to at least 20 stock exchanges. 

Open Demo Account

eToro ETF Review

$200 Min Deposit
145 App Support
1:10 Max Leverage

Additionally, you also get access to ETFs which we hinted at under the CFDs section, but we’ll cover them in more detail here.

Traders in the UK have access to 145 different ETFs, including many from the US and some from other parts of the world. All ETFs now have unified charges, with no management fees, no rollover fees, and no ticket fees, for buy trades that are non-leveraged. The fee is just 0.09%, however, short and leveraged positions have transparent overnight fees since they are processes as CFD trades on ETFs.

Open Demo Account

eToro Social Trading Review

$200 Min Deposit
Good App Support
1:30 Max Leverage

The social trading feature is where the firm stands out as it was the very first broker to offer social trading. This comes via its CopyTrader system, which lets you copy the trades made by its top-performing traders.

To use this aspect, simply open an account as you normally would. Once logged in, you can see the top investors and choose which one to copy and how much of your funds to allocate to their trades. For additional control, you can be checking the leaderboards for the  top-performing traders, stop following one and choose a different one, or take over your own trading.

There are two key aspects of social trading on the platform. CopyTrader lets you copy the actions of other traders in real-time, while those who want to be copied can join the Popular Investor program. There are also CopyPortfolios, which are investment strategies already made with thematic investments that you can easily join.

Open Demo Account

eToro Crypto Review

$200 Min Deposit
Many App Support
1:2 Max Leverage

Our cryptocurrency analysis showed that the firm offers a selection of cryptocurrencies in the form of CFDs. This method of trading cryptocurrencies allows you to make a profit without having to actually own any cryptocurrency.

While cryptocurrencies are now being offered by many firms you will find that eToro is way ahead of its peers when it comes to cryptos. Most platforms typically offer up to six cryptocurrency pairs, but we found seventeen at this firm. The fees are also highly transparent and come in the form of spreads. For example, BTC has a daily break spread of 0.75 per cent, while Litecoin is at 1.90 per cent.

What did our traders think after reviewing the key criteria?

Fees