eToro was launched in 2006 under the name RetailFX. This broker stands out from conventional binary options brokers as they specialize in social trading. You can trade in online stocks, indices, commodities, and currencies on eToro. Their trading platform is user friendly and suitable for both novices and seasoned investors.
On their innovative OpenBook trading platform, you can trade in market indices, currency pairs, equities, and commodities. A unique feature is “copy trading” which allows you to copy the winning strategies of experienced traders. In addition, you can also do mobile trading on your smartphone.
You need not have any worries about investing your money in eToro as they are regulated in both the UK and Cyprus.
In the UK, eToro is regulated by the Financial Conduct Authority (FCA) w hich along with Cyprus’ CySEC come under the Markets in Financial Instruments Directive (MiFID). Therefore, eToro is compliant under MiFID and allowed to function in European Union geographies.
In Cyprus, eToro is regulated by the Cyprus Securities Exchange Commission (CySEC) which means they need to meet requirements such as functioning with adequate capital and maintaining separate accounts for investors’ funds.
eToro reviews confirm that this service has established a solid reputation as a reliable broker since its launch in 2006. They have been featured in many top financial outlets including CNBC channel, Finance Magnates, Financial Times, and Forbes.
Since they are regulated in both the UK and Cyprus, investors are protected under the compensation schemes of the UK’s FCA and Cyprus’ CySEC. In addition, investors’ money is kept in separated accounts opened in reputable banks.
You need not worry about the security of transactions as this broker utilizes SSL encryption technology to protect sensitive data from hackers. Plus, they follow ethical and transparent business practices and will not share your personal data with third parties without your permission.
eToro reviews show that this broker is a pioneer in social trading which is empowered by their OpenBook platform which was introduced in 2010. The advantage is you can harness the knowledge of other traders to maximize your gains. You can view the trading stats of other investors such as their trading strategies, profit levels, and market positions in real time. Thus, you can improve your knowledge levels and learning with this social trading network.
The mobile apps for Android and iPhone devices allow you to view the feeds of other traders in the social network in real time similar to the OpenBook platform. Before placing your trade, you can take a look at the prices of the different instruments. On top of that, you can track your trading account and interact with other investors in the social network.
You can trade in Exchange Traded Funds (ETFs), currencies pairs (forex), commodities, precious metals, indices, and stocks. In addition, you can trade in Bitcoin as a CFD derivative which is different from other brokers that allow you to trade Bitcoin as a currency. To clarify, on eToro you can buy and sell Bitcoin as a financial security that tracks the cryptocurrency’s prices on the open market.
You can select from 2 types of accounts:
Open a demo account easily by providing your email and you will get $100,000 in virtual money. Use the demo account to learn the ropes and try out financial strategies without investing real money. Test the broker’s trading platform, features, and services to decide if they are suitable for your needs.
A swap-free or Islamic trading account is offered to investors who wish to abide by Islamic Sharia principles.
eToro does not charge any commissions or annual fees from traders. Instead, they charge a spread on top of the price quotes they get from the markets. Moreover, this broker ensures that investors do not suffer slippages when making their trades.
You can securely fund your account by using the following methods: credit/debit card, PayPal, wire transfer, Neteller, Giropay, WebMoney, Skrill, Yandex, Wirecard, or China Union Pay. Withdrawal can be done through wire transfer, PayPal and credit cards. You can only withdraw money using the same method utilized for deposit. Processing time for a withdrawal is one business day.
eToro does not offer conventional bonuses. Instead, they have the “Popular Investor” program that enables a trader who allows others to duplicate his trades to earn additional income of up to 2% of the annual assets managed under their portfolio. This income is in addition to the other profits the trader may make. On top of that, popular investors also get 100% spread rebates on all their trades.
eToro offers 24/5 customer support via phone, email, and fax. They provide multilingual assistance to help investors based in non-English speaking countries.
On the positive side, there is the simple trading platform, no slippage, wide range of financial instruments, low minimum deposit, demo account, and innovative social trading and copy trade features. On the flip side, there is no choice when it comes to trading platforms and there is no customer support on weekends. To sum up, we urge you to try eToro to get a feel of their innovative social trading network and learn from your peers to enhance your knowledge and experience.
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