eToro Broker Review

Author By Jeffrey Cammack
Updated: March 23, 2021
Overall Rating
3.69 3.69 / 5
Rated #37 of 50 Recommended Brokers
Min. Deposit
USD 200
Regulators
Trading Desk
Trading Cost
USD 10
Website Language
English, Chinese, Arabic, Polish, Swedish, Malay, Vietnamese, Finnish
Support Language
English, Chinese, Arabic, Polish, Swedish, Malay, Vietnamese, Finnish
AlertAccepts Malaysian Clients. Average spread EUR/USD 1 pips on trading account with lowest minimum deposit. Max leverage 400:1. Islamic account available. Only eToro proprietary trading platform supported. eToro is regulated by CySEC, FCA, and ASIC.

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Summary

eToro pioneered social trading in 2012 and has over 10 million customers in over 140 countries. Islamic accounts are available for all clients with a 1000 USD minimum account balance and deposits and withdrawals can be made from all major Malaysian banks. Spreads are wider than some other brokers and all withdrawals are charged a 5 USD fee, but eToro does have the smoothest and most engaging social trading experience available. 

eToro offers more than 2000 assets (including Forex, stocks and cryptocurrencies) through its own well-designed and socially integrated trading platform, which is available through a web browser and as a mobile app. eToro’s trading model is very different from most other brokers, but if you are looking for an intuitive and modern social trading experience then eToro is the best.

Reviews

Regulation
11110.54.5/ 5
Trading Conditions
111104/ 5
Trading Platforms
111104/ 5
Deposit & Withdrawal
110002/ 5
Education & Research
10.50001.5/ 5
Assets Available
11110.54.5/ 5
Customer Service
111104/ 5
Beginner Friendly
Standard
Bonuses

Account Information

Base Currencies
USD
Number of FX Pairs
52
Copy Trading
Hedging Allowed
Scalping Allowed
Islamic Account

Trading Conditions

Min. Spread
1 pips
Commission
Fees Included in Spread
EUR/USD
1.0 pips
GBP/USD
2.0 pips
USD/JPY
1.0 pips
Max. Leverage
400:1

Company Details

Company Name
eToro (Europe) Ltd.
Founded
2006
Office Locations
UK, US, China, Cyprus, Australia, Israel

Pros

  • Well regulated
  • Good for beginners
  • Innovative trading tools

Cons

  • Limited education
  • Wide spreads

Is eToro safe?

eToro offers a robust award-winning platform and trading product that is very different from other brokers.

Recently winning awards at Finovate for Best in Show 2015 and 2017 for leadership in the Financial Technology industry, eToro has received attention from the trading community for their innovation in technology.

While it is not yet regulated by the Malaysian Securities Commission, eToro is considered a well-regulated broker with licences from all three major international regulators. eToro (Europe) Ltd has been regulated by CySEC (license 109/10) since 2010, eToro (UK) Ltd has been regulated by the FCA (license 583263) 2013, and eToro AUS Capital Pty Ltd has been regulated by ASIC (license 491139) 2017.

Clients should be aware that the quality of the trading advice coming from the eToro community varies and should be considered unreliable until it has been well vetted.

Because of eToro’s strong commitment to regulation and regulatory processes that are designed to protect client funds and legal operations on the platform, we consider eToro a safe broker with which to trade.

Trading Conditions

Fundamentally, eToro’s trading conditions are broadly similar to other traditional market makers, with a single account type, no commission, and relatively wide spreads. Scalping is not permitted, maximum leverage is 400:1 and USD is the only accepted base currency.

Account Types

eToro offers a demo account, a standard real account and an Islamic account. eToro also offers clients a way to enhance their trading experience through the eToro Club, which features 5 reward tiers depending on the balance in a trader’s account.

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Display Name
Min. Deposit
Max. Leverage
Min. Spread
Commission
Professional
EUR 200
400:1
1
None
Account Details
Standard
USD 200
400:1
1
None
Account Details

Demo Account – Since this account is 100% free there are few features. After opening an account with eToro, you will receive this demo account with 100,000 USD to help you grow accustomed to the platform and practice trading.

Real Account – This is the standard live account available with eToro. This account gives you access to a free demo account, plus eToro’s exclusive promotions, which are deals and savings sent to users via email. The minimum deposit is 200 USD.

Islamic Account – The Islamic account at eToro can be opened by first opening a normal Real Account with a minimum deposit of 1000 USD and then contacting eToro customer service. In order to ensure the Islamic account complies with Sharia, there are a few differences with a standard real account:

  • No interest on contracts lasting longer than 24 hours – zero rollover interest consistently.
  • eToro doesn’t take any additional rollover commissions for contracts lasting longer than 24 hours.
  • eToro does not charge any commissions or fees for account management. Revenues come strictly from spreads.
  • The eToro Islamic account provides traders with interest-free leverage.

eToro Club and Tiers – Though there is only a single account type, with higher levels of equity you do gain access to the eToro Club – which operates a tier system: The higher your level of equity the more rewards and advantages you receive. 

eToro-Club-Tiers-web

Though some of the advantages gained at higher tiers are gift items (such as sports tickets, an eToro debit card or a Financial Times subscription) there are also benefits that will enhance your trading experience, such as free market analysis, access to the Trading Signals platform, free withdrawals and analyst consultations.

The minimum equity needed for access to each tier is as follows:

  • Silver: 5,000 USD
  • Gold: 10,000 USD
  • Platinum: 25,000 USD
  • Platinum+: 50,000 USD
  • Diamond: 250,000 USD

Cryptocurrency Trading

eToro has 16 cryptocurrency pairs to trade – more than any other broker – plus another 83 crypto cross-pairs. The cryptocurrencies available to trade are Bitcoin, Bitcoin Cash, Dash, Ethereum Classic, Ethereum, Litecoin & Ripple, Cardano, IOTA, Stellar, EOS, NEO, TRON, ZCASH, Binance Coin and Tezos. 

eToro Crypto

Spreads and Commissions

Spreads at eToro are higher than at many other brokers, with spreads on the EUR/USD starting at 1 pip, but as the trading platform is proprietary and eToro is a market maker, there is no opportunity for slippage. No commission is charged on any trades.

Deposit & Withdrawal fees

There are both deposit and withdrawal fees at eToro. eToro only allows USD as a wallet currency, so if you make a deposit or withdrawal in any other currency you will be charged a conversion fee, measured in pips from your home currency to USD and vice versa.

For Malaysian customers, the MYR/USD conversion fee is 200 pips for deposits and withdrawals, about 2% of the total. For EUR/USD it is a 250 pip conversion fee, and for GBP/USD it is 50 pips, which is approximately 2.5% on Euro deposits and 0.5% on Pound Sterling deposits (see table below).

eToro Conversion Fees

In addition to conversion fees, eToro charges a flat withdrawal fee of 5 USD on all withdrawals. The minimum withdrawal amount is 50 USD.

Inactivity Fee

A fee will be charged to all accounts that don’t have a login for 12 months. A fee of 10 USD will be charged monthly until the account owner logs in, making the account active again.

eToro for Beginners

eToro’s web platform is very easy to use and is a big draw for beginner traders.  With its unique integrated social component, advice and trading opportunities are always available from a community of traders.  The customer support ticket system is open 24/7, but there are no live chat or telephone options found at other brokers.  The focus at eToro is simplicity and fun, marking them out as a unique prospect among their peers.

Educational Material

The eToro trading academy has a small set of e-courses and videos that teach traders the basics of trading; more from an overview perspective rather than in-depth courses that are sometimes found at brokers. Webinars are held occasionally, which approach more granular topics that have a connection to current market conditions.

etoro-Education

Analysis Material

The analysis material comes from the community of traders on the eToro platform. The news feed is central to the web-based trading platform and is a never-ending unfiltered list of trading ideas and accompanying graphs.  This analysis material is generated by the community, and the accuracy of this information should be considered poor until proven otherwise.

etoro-charts

Customer Support

Following the explosive growth in popularity of eToro from the end of 2017, customer service started using a ticketing system for maintaining client relationships and ensuring all clients get answers. While customer service is open 24/7 via live chat and the community of traders is available to help with trading and platform questions, there is no way to contact eToro by phone.

Trading Platform

Etoro has developed a proprietary trading platform available in the browser and on mobile.  The web-based platform is very customisable, so you can select what currencies, commodities, stocks, and cryptocurrencies you want to have in an easy-to-reach dashboard.

My watchlist on eToro

To see more information about a currency pair, click on one in your watchlist to show detailed graphs for any time range you want.  While this is no replacement for technical analysis, it does provide a degree of insight with little effort.

etoro-web-platform

Trading Tools

CopyTrader – eToro are pioneers in the area of copy trading and have invested time and energy to launch new and unique features.  CopyTrader allows you to copy or mimic the trades of any of the active traders in the brokerage.

Filters are used to find traders to copy based on their gains, location, preferred assets etc.  A more advanced search is also available.

eToro also groups traders by Trending, Most Copied and Low Risk so you can find the right trader to copy.

CopyPortfolios –  CopyPortfolios is the latest in innovation from eToro.  It allows traders to invest in a fund or group of top-performing traders on eToro.  It also allows investment in a market fund which bundles together all asset classes in a single market strategy.  This kind of risk mitigation and diversification system is unique to eToro and a powerful tool for new traders.

etoro-copyportfolios-2020

eToro in their own words

Evaluation Method

We value transparency and openness in the way we review the partners. To bring transparency to the forefront, we have published our review process that includes a detailed breakdown of the eToro offering. Central to that process is the evaluation of the reliability of the broker, the platform offering of the broker and the trading conditions offered to clients, which are summarised in this review. Each one of these is graded, and an overall score is calculated and assigned to the broker.

eToro risk statement

Trading Forex is risky, and each broker is required to detail how risky the trading of Forex CFDs is to clients. eToro would like you to know that: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

Cryptoassets are volatile instruments which can fluctuate widely in a very short timeframe and therefore are not appropriate for all investors. Other than via CFDs, trading cryptoassets is unregulated and therefore is not supervised by any EU regulatory framework.

Overall

eToro has been recognised across the industry for its innovative and social approach to trading. There is little similarity between the eToro platform and the platforms offered by traditional brokers, so any trader changing brokers will need time to adjust to eToro’s approach. Spreads are not as tight as many other brokers, deposits and withdrawals can be expensive and it falls short when it comes to educational material and analysis for beginners.

But eToro focuses on accessibility for traders who want a simple, fun and collaborative platform, and here it excels, with a loyal customer base and a design-driven approach to social trading.

Please note that when you trade with eToro, your capital is at risk.

AlertAccepts Malaysian Clients. Average spread EUR/USD 1 pips on trading account with lowest minimum deposit. Max leverage 400:1. Islamic account available. Only eToro proprietary trading platform supported. eToro is regulated by CySEC, FCA, and ASIC.
Scroll for more detailsPreviousNext
Overall Rating
Min. Deposit
Regulation
Trading Desk Type
Trading Instruments
Forex Pairs
Crypto Pairs
Pros
Cons
Regulation
Trading Conditions
Trading Platforms
Deposit & Withdrawal
Education & Research
Assets Available
Customer Service
% Lose with this broker
Leverage
Spread
Hedging
Scalping
Account Types
Islamic Account
Trading Platforms
Funding Methods
Trading Commission
1110.503.69/ 5
USD 200
Market Maker
Commodities
Cryptocurrencies
Forex
Indicies
Equities
52
16
  • Well regulated
  • Good for beginners
  • Innovative trading tools
  • Limited education
  • Wide spreads
11110.54.5/ 5
111104/ 5
111104/ 5
110002/ 5
10.50001.5/ 5
11110.54.5/ 5
111104/ 5
67% of retail investor accounts lose money when trading CFDs with this provider
400:1
1 pips
Professional
Standard
etoro
Visa
Mastercard
Neteller
Unionpay
Skrill
Paypal
Fees Included in Spread
1110.503.42/ 5
USD 100
Market Maker
Commodities
Cryptocurrencies
Forex
Indicies
Metals
Equities
ETFs
Bonds
55
4
  • Well regulated
  • Wide range of assets
  • Limited education
  • Wide spreads
111104/ 5
1110.503.5/ 5
111104/ 5
111003/ 5
10.50001.5/ 5
1110.503.5/ 5
1110.503.5/ 5
71.36% of retail investor accounts lose money when trading CFDs with this provider
300:1
1.80 pips
Exclusive
Gold
Micro
Platinum
Silver
Sirix
Bank Transfer
Visa
Mastercard
Skrill
Neteller
Fees Included in Spread
Visit Broker
AlertMost retail CFD accounts lose money. Your capital is at risk.

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