eToro Review

  • Broker Type: Market Maker

  • Leverage: 1:30

  • Regulation: CySEC,FCA, ASIC

  • Min. Deposit: US$200

  • HQ: Cyprus

  • Platforms: eToro Platform

  • Found in: 2007

eToro Licenses

  • eToro (UK) ltd - authorized by FCA (UK) registration no. 583263 
  • eToro (Europe) ltd - authorized by CySEC (Cyprus)  registration no.  109/10 
  • eToro AUS Capital Pty Ltd. - authorized by ASIC (Austraia) registration no. AFSL 491139 ACN 612 791 803

What is eToro?

The trading platform eToro, which currently serves more than 6 million users from around 150 countries worldwide, consist in active cooperation with largest savings banks and operates according to internationally recognized standards. Every day, thousands of new traders are connected to the service and there is a reason for that.

eToro originally was found in 2006 by three partners, who wished to create a financial trading platform suitable for the traders of all levels. Recently, eToro is the largest and most popular social trading broker and network. eToro traders obtaining fast and convenient access to the world financial markets, a huge selection of assets, full control of the funds and ability to copy transactions of successful traders from around the world without any commission.

eToro review

To get things more clear, any trader or investor should check and take into consideration the most important information that broker’s offering consists of. In this review, we cover following highlights:

Is eToro safe or a scam?

Yes, eToro brokering services should be safe due to heavy regulation the company complies with. Services provided by eToro (Europe) Ltd. headquartered in Cyprus and in terms of operation regulations authorized by three separate jurisdictions. This includes UK Financial Conduct Authority (FCA), European Union’s Cyprus Securities and Exchanges Commission (CySEC) and Australian ASIC.

Therefore, the organization’s activities for both eToro (Europe) and eToro(UK) fully comply with the requirements and regulations of the MIFID (Markets in Financial Instruments Directive) that serves European clients. And in regards to Australian clients management, eToro AUS Capital operates in derivatives and exchange as a principal through Australian ASIC license.

eToro entity

Regulation and License

eToro (UK) ltd 

FCA (UK) registration no. 583263 

eToro (Europe) ltd

CySEC (Cyprus)  registration no.  109/10

eToro AUS Capital Pty Ltd.

ASIC (Australia) registration no. AFSL 491139 ACN 612 791 803

Hereby trader receives protection under safety measures according to the strict set of regulatory standards, while all eToro procedures sharply concord with the international rules. As the funds safety guarding is the primary aim of the regulated activity, clients’ funds’ are segregated at all times. Such a separation of accounts supervised internally and externally ensures maximum protection of account holders and does not allow brokers’ intervention to client accounts. In addition, applied negative balance protection means trader can’t lose more than his initial balance, therefore secures positions. Moreover, as of the eToro regulations the traders’ accounts protected by the compensation funds in case things go wrong with the company. The clients under Uk’s FCA eligible to eToro compensation of GBP 50,000 and EUR 20,000 for CySEC clients.

eToro Trading Account & eToro Products

eToro markets provide access to trade a truly wide range of products through thousands of different financial assets across categories. Each class has own characteristics and are traded by a variety of strategies. The eToro products range includes currencies, commodities, stock indices, eToro CFD and as of recent growing demand added Bitcoin and other cryptocurrencies as well. The platform allows trading eToro cryptocurrency using CFDs, which is a big advantage with its affordable and secured nature and offers to trade eToro Bitcoin, eToro Ethereum, eToro Ripple, eToro Litecoin etc.

eToro cryptocurrencies

eToro account and conditions are built in a structured manner through a single account feature, designed to give tools for professional development and improving progress along with potential earnings. In addition, the traders account may be entitled to Premium services, access to professional tools, unique promotions, as well as the personal account manager. Range of eToro bonuses and rewards offers vast of reward programs to new clients, for every invited friend, an opportunity for affiliates, partner programs and a huge number of communities.

  • eToro education provides tutorials about platform along with the content to support new traders with best practices, live webinars the most recent data and updates.
  • Demo Account is an option to conduct trials and test strategies with no risk.
  • Customer Support available 24/5 by phone, email and live chat and provides support in various languages. Website is also designed and very well maintained concludes answers to many questions.
  • A Swap free trading account or Islamic trading account available upon request

eToro Trading Platforms and Tools

Since its launch, eToro has gone a path to constantly innovate, create tools and introduce features that making investment technology and online trading available to anyone. Its full of features trading software accessible through web-based platform, as well by the eToro trading applications on iOS and Android. Indeed, the company rapid reveille started with the presentation of the freshly created platform called OpenBook, offering clients to connect with successful investors and in fact introduced the first platform with the concept of social trading.

By one of the major proprietary programs CopyTrader and Copyfund, which are extremely popular among the trading community, new traders are able to find by simply “search” the best traders, according to one of the criteria: risk level, stable weekly indicators, leading traders, etc to follow and copy their transactions. It is also interesting that not only transactions of individual traders can be copied, but investments also. 

eToro trading platform

In addition to the fact that you can invest in any trader, you can also make transactions at the eToro platform. No, there is no need to download or install it, everything happens right through the eToro website. The platform offers many different tools, including a separate schedule for each asset, featuring a number of settings, a large number of indicators and a lot of functionality.

  • Best of Show 2015 & 2017 | eToro’s innovative platform has received multiple awards and vast recognition as a leader in the Financial Technology industry.

Apart from the web trading platforms, eToro supplies clients with mobile trading, which been integrated from two platforms (OpenBook and WebTrader) into one application. Thus a single app making all features available: checking real-time feeds, copy other traders or to perform any permitted by platform action.  Both Android and iOS devices are supported, which is a great way to trade at any time and under any conditions.

eToro copy trading

eToro leverage

Leverage which is known as a loan given by the broker to the trader that enables to open trade of a larger size than the initial invested capital. The recent update took place according to the regulatory requirements in Europe and ESMA regime that mandates brokers to set a particular level to a maximum of 1:30. As the leverage significantly increases the potential of higher income in reverse it does increase risk level too. Therefore, eToro traders can use a leverage multiplier with a maximum of x30 for major currency pairs, x10 for commodities, x5 for CFD stocks and x2 for Cryptocurrencies.

eToro fees

As the trading fee is the crucial factor for any trader while choosing a broker, let us have a closer look to eToro fees. eToro doesn’t charge commissions, their fees are generated and built into a dealing spread, which is a difference between bid and ask price. Spreads may vary according to the broker’s terms and generally are on a low and average level comparing to the industry offering. For instance, check out and compare eToro fees with its peer Plus500.

eToro spread table on a most traded instruments represents minimal spreads that are not guaranteed, and presented for reference only, as the fee may vary according to market conditions and liquidity.

Asset/ Pair

eToro Fee Terms

EUR/USD

3 pips

Crude Oil WTI

5 pips

Gold

45 pips

BTC/USD

0.75%

eToro overnight fee is charged by the broker in addition to the trading fee, in case of trader hold long leveraged position for more than a day. The fee given by eToro is rather to be high, yet still among the competitive ones in comparison to a similar offering, e.g. eToro EUR/USD overnight fee is 3.7%.

At last what you should consider is a fee for inactivity, which exists in eToro too. When depositing account deemed inactive for 12 months, a monthly fee to the sum of $10 will be charged from the particular account.

eToro Deposits and Withdrawals

There are multitude payment methods at clients’ disposal for a quick and simple process. A client can transfer money using a Credit Card/Debit Card, a payment system (-PayPal, -Giropay, -Skrill, -WebMoney, -Yandex, -China Union Pay) or bank transfer. All transactions are made as secure as possible since they are protected by SSL technology.

eToro minimum deposit depending on clients’ region and country regulations and varies from $200 to $10,000.

eToro deposit methods

eToro withdrawal requests are processed quickly while funds will be provided in the same way deposit has been made, typically within a few days funds will be posted to the client’s account.

eToro withdrawal fee is subject to every withdrawal request and typically – $25, while the minimum withdrawal amount stands at $50. It is considered to be quite high, while the broker will also charge a conversion fee for wire transfer.

Conclusion on eToro

So why did 6 million customers choose eToro? There are several reasons, and the main ones are the flexibility of the trading platform and the possibility of broad communication with other participants. Working on this platform is really easy and convenient. If you add to this the advantages and possibility of traders teamwork and high deal bonuses, it becomes obvious that cooperation with eToro can bring a good impact. In fact, though there are other social trading platforms available, eToro has become today the best and leading in its class.

eToro is especially suitable for two types of traders. The first is the beginning trader who is interested in trading but wants to learn from and follow traders that are more experienced. And the second is the professional or experienced trader that would like to share their experience by offering their strategy to be copied, in reverse gaining more funds to trade and earn a commission on successful trades.

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