Online trading is a key part of financial dealing and has been for many years. eToro has been at the forefront of the fintech revolution since 2007 and has worked to make its platform accessible to anyone. The company balances giving easy access to traders who are just starting out in the financial world with developing and improving important elements of its platform for traders with more experience. Day traders can take advantage of short-term options and there are long-term options available for other investors. The eToro minimum investment could be an attractive way in for first time traders.
Individual traders have the opportunity to open a new trading account with an eToro minimum deposit to start their trading experience. The eToro deposit is set at a minimum of between $200 and $500. Traders who are residents of Israel will require a minimum first-time deposit of $10,000, a regulation imposed from 31 July 2017. Deposits can be made to the account in various ways, including credit cards such as MasterCard, Visa and Diners Club together with other online payment methods, including PayPal, Skrill, WebMoney and Neteller. Traders setting up a new account can also use Yandex Money and Giropay to make an initial deposit, and with an eToro minimum deposit of $500 they might also be able to use a Wire Transfer.
Accounts with eToro that are unverified have a limit placed on them of $2,250, and traders who want their accounts to be verified need to go to their profile and click on the “Complete Verification” button. The company does reserve the right to change any of its indicated deposit limitations at any time. Traders wanting to register a corporate account will need a minimum first-time deposit of $10,000 to open it, and there is a support team available to answer queries or deal with any problems.
Traders need to know that their trading platform is easy to access and is also as easy as possible to use. The eToro platform was originally conceived as one that would make online trading available to anyone, anywhere in the world. Its developers wanted to build an intuitive platform to give traders an authentic online experience and continued to develop their ideas through the concept of social trading. The company created OpenBook with a social infrastructure that allowed clients to connect with other investors and benefit from a pooled knowledge to get the best out of the various types of trade available. The new eToro was created when OpenBook merged with WebTrader, and the platform is now the culmination of their work to provide a unique experience for trading online. eToro states it provides cutting-edge financial technology including CopyFunds, Popular Investor Program and the CopyTrader system. Traders can access the platform by putting down an eToro minimum investment of between $200 and $500, depending on their circumstances, and can begin to trade immediately. Originally each of eToro's platforms, WebTrader and OpenBook, had a separate app, but the new eToro has rolled them together into a single app. The mobile option for tablets and phones is available for iOS and Android and makes all the platform features accessible using an intuitive interface. The ability to use eToro on the move lets traders have easy access to their portfolios and take advantage of investment opportunities at any time.
Investing is generally considered to be relatively risky and it's true that some investments do carry a high-risk factor. Certainly, high-risk investments can produce significant profits, but there is also the chance of losing some or all of the capital invested. eToro offers a range of investment types that can be either short or long term. Traders looking for quick profits in a fast-moving financial instrument may look at trading in currencies with Forex or in cryptocurrencies such as Bitcoin or Ethereum. Traders can research stock broker comparison to find the best stock broker for what they want to do, with eToro offering many options for trading in a wide range of financial instruments. Forex is a huge market with a global reach. It's the biggest market in the world and foreign currency trading has a volume of trillions of dollars a day. Currency movements are measured in pips, very small units, and to generate noticeable profits a considerable amount of capital is needed. Cryptocurrencies are also very volatile, and movements up and down can fluctuate alarmingly.
Longer term investments can include commodities such as oil, precious metals (gold, silver, diamonds) and natural gas. Price fluctuations can be affected by a surplus, so if too much oil floods the market, prices may well drop.
eToro was at the forefront of the fintech revolution when it made its platform available to anyone in the world in 2007. Since then, it has developed the WebTrader platform in 2009 with tools that both experienced traders and beginners could use and two years later, in 2011, unveiled Open Book, the world's first social trading platform that enabled anyone to get involved in trading by copying other successful traders. This innovation won the award of Best of Show 2011 at Finovate Europe. In 2012, eToro added to its offer of currencies, commodities and other assets by giving access to a wide selection of stocks for trading, allowing traders to diversify their portfolios further and allowing them to invest in the global stock market. The company was quick to realise the importance of traders being able to work on the move and developed an app both for Apple and Android tablets and smart phones for clients to use anywhere in the world. CopyFunds was introduced in 2016 as a long-term investment product. These are managed portfolios with a predetermined strategy that bundle various assets or top traders together. Driven by machine-learning engines, the aim of CopyFunds is to generate a double-digit return bundled into one fully managed portfolio.
With millions of users from more than 140 countries, eToro has been able to refine their experience and knowledge into practical trading tools. The technology behind Copy Trader lets clients replicate another trader's portfolio and their trading activity automatically. Some traders prefer to trade on their own and eToro supports this as well as offering the opportunity for social trading. The social features on the platform are simple to use and easy to access for both new and experienced users, and the company encourages diversity so that risk is lowered when trading. Invested capital can be spread out across a variety of markets by copying different traders. Data taken from August 2017 shows that since copy trading was launched in 2010, 78% of all trades copied closed in profit. The platform offers transparency so that each trader's portfolio, track record and risk score is exposed to enable clients to make sound decisions when deciding who to copy. An important part of social trading is, as is common with other social media, the provision of a newsfeed so clients can get updates from other traders. Any trader can post relevant information, such as explaining a decision on a particular investment or sharing any other type of knowledge with the eToro community. Successful traders can be followed, and clients gain the benefit of becoming more knowledgeable about how to trade in various markets and make better investment decisions. A broker comparison will show how advanced eToro's social trading has become.
After the currency market, the stock market is probably the best-known place for traders to invest their money. With a huge global market, there is an enormous number of options for investors who are looking for medium to long-term trading possibilities and they should take time to research the various opportunities available. The stock market can be very volatile in the same way as the currency and cryptocurrencies markets can be, and it can be affected by a number of things outside the control of traders. Stock values could go up or down depending on particular market events that may include new product launches, changes in competitors' stock prices or earnings reports. Company share prices will often fall significantly if a profit warning has been issued and, of course, if a business goes into administration or liquidation, then shareholders may only get a small percentage of their investment returned or, in the worst-case scenario, none at all. Using the eToro platform allows traders who have put down an eToro minimum deposit to use CFDs to trade. A popular form of derivative trading, Contracts for Difference allow traders to speculate on whether prices will go up or down in any global financial market, including shares, Forex, indices and commodities.
Trading first began with commodities, goods with a physical presence, and these are still an important part of how global markets operate. As with any investment, investing in commodities can be risky, as certain products may be liable to fluctuations depending on economic or political circumstances. For example, if sanctions were put on a country that is a large producer of oil, and this reduces the global supply of oil, prices are likely to rise due to the shortage. Similarly, if there is overproduction by a particular country or group of countries and there is a glut on the market, then prices are likely to drop. Investors in commodities need to keep an eye on economic and political news to try and avoid being caught out if a commodity price suddenly rises or falls. Energy sources such as natural gas and oil may be suitable for some traders as the world always needs energy, and investors may also want to examine putting some resources into the renewable energy market that has grown significantly over the years. Other commodities that can be traded on the eToro platform after the etoro minimum investment has been accepted include gold, silver and platinum. These precious metals are considered safe-haven assets, adding stability to a portfolio that may hold other assets that are highly volatile.
eToro has been something of a game changer in the broking world with its innovative social trading set up. With a low minimum deposit to access the platform, the company provides a wide range of educational tools to help traders who are new to the world of investment to learn as much as possible. A strong feature of the platform is its apps for mobile devices that allow investors to trade wherever they are and giving non-stop access to markets day and night. The platform also allows new traders to open a demo account, so they can begin to practise the skills they are picking up but by using virtual money instead of their own. It's a risk-free way of easing into the world of trading and helps traders to prepare for opening a live account when they have the confidence to do so. Traders gain access to a range of markets and can develop portfolios by copying other traders, an important part of the eToro offer.