eToro vs InteractiveBrokers

eToro
Interactive Brokers

Compare eToro vs InteractiveBrokers Side by Side

It is always difficult to choose among brokers that are big players on the market, especially when it’s eToro vs InteractiveBrokers. For this reason, we made a detailed comparison between eToro Review and Interactive Brokers Review, compared safety and licenses, trading conditions with fees, trading platforms, instruments, deposit & withdrawal conditions, and all the essential details compared side by side.

Summary

FeatureeToroInteractive Brokers
Website//www.etoro.com//www.interactivebrokers.co.uk
Founded year20061977
HeadquarterIsraelUSA
LicensesUSA, UK, Australia, CyprusUSA, Canada, Australia, UK, Hong Kong, Japan
Minimum Deposit200 US$2000 US$
Trading PlatformseToro platformTWS, IB WebTrader
Eurusd avg Spread1 pip0.3 pips

Licenses

FeatureeToroInteractive Brokers
Licenses Countries Info (short)
  • ASIC
  • CySEC
  • IE Singapore
  • FCA
  • NFA
  • ASIC
  • IIROC
  • JFSA
  • FCA
  • CFTC

eToro vs InteractiveBrokers are both highly trusted with numerous licenses and top-tier regulations, legit to accept EU clients and US clients.

Broker Types

FeatureeToroInteractive Brokers
Broker types
  • Market Making
  • ECN
  • NDD

eToro is a Market Maker which is a great opportunity for beginning traders and some strategies due to its stability of a preset fee or spread. While Interactive Brokers is an NDD Broker is better for price transparency.

Trading Conditions

FeatureeToroInteractive Brokers
Trading Conditions
  • beginners
  • floating spread
  • tight spread
  • auto
  • copy trade
  • hedging
  • social trading
  • beginners
  • commission
  • fixed spread
  • floating spread
  • tight spread
  • expert advisor

There are certain similarities in trading conditions of eToro vs Interactive Brokers, as they are both suitable for beginners, offer their traders tight spreads as well as floating spreads. At the same time eToro provides a wider range of possibilities, including hedging, copy and social trading, which is quite an advantage. 

Fees & Commissions

FeatureeToroInteractive Brokers
Inactivity Feemonth$100$
Deposit fee0$0$
Withdrawal fee5$0$
Rollover fee eurusd buy 1 lot-0.000129-1.5%
Rollover fee eurusd sell 1 lot0.000064+1.5%
Avg Eurusd standard acc1 pip0.3 pips
Gold0.451.5 bps
Brent oil40.05%
Bitcoin0.75%0.12-0.18%

Interactive Brokers has a bit lower fees than eToro, including low fees with 0$ commission, while eToro’s fees remain considerably elevated. There is also Interactive Brokers pricing model that differs. Interactive Brokers trading fees are based on charge of the commission per trade also ranging on a product you trade, hence the prices are quite competitive since does not include spreads and allows you easy calculation. While we considered eToro low CFD fees and high Forex fees among the industry.

Account Types

FeatureeToroInteractive Brokers
Account types
  • Standard Account
  • Swap Free Account
  • Standard Account

While both eToro vs InteractiveBrokers offer Standard accounts, there is a small advantage on eToro’s side for additionally offering a Swap Free Account, which allows traders to open long-term positions.

Markets & Instruments

FeatureeToroInteractive Brokers
Forex47100+
Indices13✔️
Commodities14✔️
Cryptocurrencies164
Shares204270+
Bonds✔️
Options✔️
Binary options
Spread betting
Treasuries
Futures✔️
Etfs15113000

Interactive Brokers products range is more advanced compared to eToro and offers Options, Bonds and Futures that eToro does not have listed.

Trading Platforms

FeatureeToroInteractive Brokers
Platforms
  • own platform
  • WebTrader
  • own platform
  • WebTrader

Both Brokers offer own proprietary Trading Platforms, and additionally WebTrader platforms. However, eToro has an advantage here by providing the platform with the concept of social trading, which offers clients to connect to trading communities and successful investors.

Deposit & Withdrawal Methods

FeatureeToroInteractive Brokers
Payment methods
  • credit card
  • debit card
  • neteller
  • PayPal
  • skrill
  • credit card
  • debit card
  • BPay

Compared to InteractiveBrokers with its various options, including bank wire transfers, BPay, ACH Initiated, Canadian Bill, etc, eToro payment methods look a bit limited, offering debit/credit cards, bank transfer and some of the popular e-wallets like PayPal, Skrill and Neteller.

Others

FeatureeToroInteractive Brokers
Others
  • Webinar
  • Video Tutorial
  • telephone
  • live chat
  • 24/5 availability
  • Webinar
  • Video Tutorial
  • telephone
  • live chat

Both eToro vs Interactive Brokers provide excellent customer support. Both brokers developed comprehensive educational materials including webinars, learning guides and other supporting sources. There’s a minor disadvantage as we found eToro’s education materials and videos are not super comprehensive and rather medium or basic level.

Conclusion on eToro vs InteractiveBrokers

Concluding eToro vs Interactive Brokers comparison we found both brokers are trustable, provide good standing, internationally presented and well-regulated. Both brokers provide good trading conditions, a large number of trading instruments and low trading fees. However, we would give the advantage to eToro, as its offer would suit not only professional traders but also beginners, with much lower initial deposit fee and social trading option. Here is our final recommendation:

  • eToro – 🥇 Best Broker for Social trading for a number of top traders and Best Industry Social Trading Broker
  • Interactive Brokers – 🥇 Best for Professional trading giving the advanced proposal and technological solutions for experienced and demanding traders.