If you are looking for a trading platform that offers a unique social trading experience, Look no further than eToro! This platform provides smart portfolios, virtual trading, and even the ability to purchase fractional shares.
Thanks to its social trading features, even those with little knowledge about the industry can see real profits by following and mirroring their favorite traders.
But does eToro live up to the hype? In this eToro review, we’ll explore the platform’s innovative features, so you can decide if it’s the right trading platform for you. So read on to learn more.
What Is eToro?
eToro has come a long way since its inception in 2007. It was founded by three ambitious entrepreneurs in Israel. Initially focused on forex trading, eToro has evolved into a multi asset platform with a global reach, providing a broad spectrum of financial services to its 20 million users spread across 140 countries.
One of the platform’s key selling points is its innovative social trading feature called CopyTrader, which allows users to follow and mimic other successful investors. The dynamic platform makes this simple with investor star ratings, coin interests, and performance metrics for easy reference.
A minimum investment of $200 allows users to copy up to 100 investors simultaneously, making it one of the most user-friendly platforms in the market.
While originally only offering crypto to US citizens, the platform has since expanded its operations beyond trading cryptocurrencies to include zero commission stock trading, ETF trading, and even options trading. This makes it suitable for a broad range of trading strategies and techniques.
As a new user, eToro offers a $100,000 virtual trading account to help you get started and learn the ropes of trading without risking your own money. The platform also has an educational section that can help you learn more about investing and trading. Tools, calculators, and research functionality are somewhat limited, and the platform only supports 2,094 stocks and 251 ETFs, limiting the range of available assets.
Are you ready to explore the exciting features of eToro? Let’s dive into what makes this platform stand out among other trading apps.
First of all, eToro can be accessed via its web platform or the mobile app, available for both iOS and Android. You can rest easy knowing your account is secure with two-factor authentication.
Once you’re in, you can start trading a range of assets, including crypto, stock, ETF, and options. But if you’re not keen on managing assets actively, the smart portfolio service automatically invests according to one of eToro’s crypto portfolios.
One of eToro’s standout features is its Popular Investor program, which lets you follow and mimic the portfolio changes of up to 100 experienced traders. The program allows you to evaluate traders based on user ratings and performance metrics, ensuring their trading strategy aligns with your goals.
For traders who want to give trading a try without risking real money, eToro even offers demo accounts.
eToro also supports fractional shares, making expensive investments more accessible for traders with less money to invest. The platform’s cash management service, eToro Money, lets you store crypto, deposit and withdraw funds, and send and receive money in one place, giving you control over your finances.
eToro’s established global platform appeals to millions of users, and although the US platform is more limited than international versions, eToro’s product offering resonates with users from all backgrounds. With its innovative social trading experience, access to fractional shares, and cash management service, eToro is truly a comprehensive trading platform.
One great thing about eToro is that there are no commissions or fees for trading stocks and ETFs. For crypto trading, eToro charges a 1% fee based on the amount of crypto bought or sold. While there are no withdrawal fees, there is a $30 minimum withdrawal amount, and transfer fees apply when moving crypto off the eToro platform and into the eToro Money crypto wallet.
It should also be noted that eToro charges a $10 monthly inactivity fee for users who don’t use their accounts for more than a year, and there’s a $75 transfer fee if you decide to move your account to another platform.
eToro Review: The Pros & Cons
- Trading stocks and ETFs on eToro is commission-free
- eToro allows users to purchase fractional shares, making it easy for those with less money to invest
- The platform supports a wide variety of asset classes
- eToro’s social trading features offer an engaging communal experience where users can follow and copy other investors.
- eToro offers comprehensive educational resources for those looking to learn more about investing.
- eToro is not available in all 50 states
- CopyTrade, one of eToro’s most popular features, is only available for cryptocurrency trading.
- A reputation for poor customer service
If you’re unable to use eToro due to residing in a state where the platform is not permitted, or if you’re searching for a trading platform with better customer service, there are other options available.
One such platform is Bookmap, which is an ideal one click trading platform perfect for day traders. With its comprehensive market data visualization, it’s easy for seasoned investors to identify the next investment opportunity. If you’re interested in learning more about Bookmap, check out this Bookmap review.
Is eToro Right For Me?
Ultimately, it’s up to each individual to weigh the pros and cons and decide if eToro aligns with their investment strategy.
For those interested in trading a variety of assets on a single platform, eToro’s retail investor accounts and social trading features are an attractive choice. Also, newcomers to the world of cryptocurrency may find eToro’s active user community and social features helpful for learning and getting a feel for the market.
If after reading this eToro review you are interested in giving it a try, click here to get started today.