eToro Forex Broker
Basic Information
United Kingdom
15-20 years Regulated in Australia Regulated in Cyprus Regulated in United Kingdom Regulated in United Arab Emirates Regulated in Singapore Regulated in Seychelles Market Maker (MM) Straight Through Processing (STP) Retail Forex License Self-developed Global Business Belize Common Financial Service License Revoked Suspicious Overrun High potential risk Offshore RegulatedCompany profile
Rating Index
Pros
User-friendly platform with a strong focus on social trading and copy trading features.
Regulated by multiple tier-1 financial authorities, ensuring a level of safety and reliability.
Access to a wide variety of tradable assets, including stocks, cryptocurrencies, and commodities.
Cons
High spreads compared to some competitors, which may affect profitability for active traders.
Limited customer support options, primarily relying on a ticketing system with reported slow response times.
No access to popular trading platforms like MetaTrader 4 or 5, which may deter experienced traders looking for advanced features.
eToro Broker - Complete Information Guide
1. Broker Overview
eToro, founded in 2007, is a multi-asset investment platform known for its pioneering role in social trading. The company is headquartered in Tel Aviv, Israel, with additional offices in various global locations, including London, UK, and Hoboken, New Jersey, USA. eToro operates as a private company and has built a robust user base of over 30 million users across 140 countries.
Since its inception, eToro has evolved significantly, introducing several milestones. Initially, it started as a forex trading platform but expanded its offerings to include stocks, commodities, and cryptocurrencies. One of its most notable features is the CopyTrader function, launched in 2010, which allows users to mimic the trades of successful investors. In 2018, eToro entered the U.S. market, providing access to a variety of assets, including cryptocurrencies, stocks, and ETFs.
The firm operates under a multi-entity structure, with various subsidiaries catering to different regions, ensuring compliance with local regulations. eToro's business model primarily focuses on retail trading, providing a platform for individual investors to trade various asset classes while incorporating social elements that foster community engagement.
2. Regulatory and Compliance Information
eToro is regulated by several prominent financial authorities, ensuring a high level of compliance and investor protection. The main regulatory bodies overseeing eToro include:
- Financial Conduct Authority (FCA) in the UK (Firm Reference Number: 583263)
- Cyprus Securities and Exchange Commission (CySEC) in Cyprus (License Number: 109/10)
- Financial Industry Regulatory Authority (FINRA) in the USA
- Financial Crimes Enforcement Network (FinCEN) in the USA
eToro maintains a commitment to client fund segregation, ensuring that client assets are kept separate from the company's operational funds. This is a crucial aspect of their compliance framework, aimed at protecting investors' funds.
Additionally, eToro participates in investor compensation schemes where applicable, such as the Securities Investor Protection Corporation (SIPC) in the USA, which protects customers up to $500,000 in case of broker insolvency. The company adheres to strict Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations, requiring clients to verify their identity and address when opening an account.
3. Trading Products and Services
eToro offers a diverse range of trading products and services, catering to a wide spectrum of investor interests. The platform provides access to:
- Currency Pairs: eToro supports a variety of forex pairs, including major currencies like EUR/USD, GBP/USD, and USD/JPY.
- Contracts for Difference (CFDs): Users can trade CFDs on indices, commodities, stocks, and cryptocurrencies, allowing for leveraged trading.
- Cryptocurrencies: eToro provides access to over 30 cryptocurrencies, including Bitcoin, Ethereum, and Litecoin, among others.
- Stocks and ETFs: Investors can trade stocks from major global exchanges and access a selection of ETFs.
eToro continuously updates its product offerings, with a focus on popular and trending assets. The platform emphasizes retail trading services, allowing individual investors to engage in various markets. While eToro does not currently offer institutional services or white-label solutions, its unique social trading features distinguish it from traditional brokers.
4. Trading Platforms and Technology
eToro operates a proprietary trading platform that combines social trading with a user-friendly interface. The platform is accessible via web and mobile applications, supporting both iOS and Android devices. Key features of the eToro platform include:
- No MetaTrader Support: eToro does not support MetaTrader 4 or 5, focusing instead on its proprietary platform.
- Web-Based Trading: The web platform offers advanced charting tools and technical indicators, catering to traders of all experience levels.
- Mobile Applications: eToro's mobile app mirrors the desktop experience, allowing users to trade on the go and access real-time market data.
- Execution Model: eToro employs a market-making model, providing liquidity for users while ensuring competitive spreads.
The platform also supports API access for automated trading, although the integration may not be as extensive as that of traditional brokers. eToro's technology infrastructure is robust, ensuring reliable performance and security for its users.
5. Account Types and Trading Conditions
eToro offers various account types to accommodate different trading needs:
- Standard Account: Requires a minimum deposit of $100. This account allows users to trade stocks, ETFs, and cryptocurrencies with no commissions, though spreads apply.
- Islamic Account: Designed for clients adhering to Islamic finance principles, this account avoids interest charges and requires a minimum deposit of $1,000.
- Demo Account: eToro provides a demo account with $100,000 in virtual currency, allowing users to practice trading without financial risk.
The platform offers competitive trading conditions, including:
- Leverage: Up to 30:1, depending on the asset class.
- Minimum Trade Size: Generally set at $10, making it accessible for retail investors.
- Overnight Fees: eToro charges overnight fees for leveraged positions held past a certain period.
6. Fund Management
eToro supports various deposit and withdrawal methods to facilitate fund management:
- Deposit Methods: Users can deposit funds via bank transfer, credit/debit card, and e-wallets such as PayPal and Skrill. The minimum deposit varies by region, typically starting at $10.
- Deposit Processing Time: Most deposits are processed instantly, while bank transfers may take longer.
- Withdrawal Methods: Withdrawals can be made using the same methods as deposits, with a fixed fee of $5 per withdrawal.
- Withdrawal Processing Time: Withdrawals are generally processed within 1-5 business days, depending on the method used.
eToro's withdrawal policy includes a minimum withdrawal limit of $30, and currency conversion fees may apply for transactions in non-USD currencies.
7. Customer Support and Educational Resources
eToro provides comprehensive customer support through various channels:
- Support Channels: Users can reach customer support via email, online chat, and a ticketing system. Social media platforms like Twitter and Facebook are also available for inquiries.
- Service Hours: Customer support is available 24/5, covering standard trading hours.
- Multilingual Support: Support is offered in multiple languages, including English, Spanish, German, French, and Italian.
In terms of educational resources, eToro offers:
- eToro Academy: A comprehensive learning center with guides, articles, and video tutorials tailored to different trading levels.
- Market Analysis Services: Daily market analysis and news updates are provided to keep users informed about market trends.
- Trading Tools: eToro includes various trading tools, such as calculators and economic calendars, to assist traders in their decision-making processes.
8. Regional Coverage and Restrictions
eToro operates in multiple regions, with specific limitations based on local regulations:
- Primary Markets: eToro serves clients in over 140 countries, with a strong presence in Europe, the UK, and the USA.
- Regional Offices: eToro has offices in key financial hubs, including London and New Jersey.
- Restricted Countries: eToro does not accept clients from countries such as Hawaii, Nevada, New York, and Minnesota in the USA, among others.
Overall, eToro's unique blend of social trading features, diverse asset offerings, and user-friendly platform make it an appealing choice for both novice and experienced investors looking to engage in the financial markets.
eToro Similar Brokers
Latest Reviews
fx55887744
Thailand
I used etoro for a while, tried to withdraw money but it didn't come through. Contacted support and they just gave vague answers, then later went completely silent. It's clearly a scam. The platform is also laggy. Did some more research and found out it's not approved by the SEC. I don't recommend it, I'll pass.
Exposure
08-28
Beam9340
Thailand
Different karma, different circumstances. I didn't invite anyone to play, and I'm still wondering if it's safe. I've been playing Etoro for four and a half years, depositing via credit card and PayPal. I've withdrawn about three times to see if I can withdraw. In short, I haven't had any problems with withdrawals. The withdrawals are as follows: 1) $4,000. I just started playing. I withdrew because it wasn't my style. I was going to quit (because I lost money). 2) $2,600. I wanted it back, but I lost again. 3) $1,000. I tested the system in March 2021. I'd like to see the Etoro deposit history in PayPal, but the system won't let me screenshot it. Currently, I focus on stocks, a long-term investment. I have a small amount of money to start with using cryptocurrencies. I don't trade exchange rates at all. I don't use leverage. I emphasize withdrawals through the system. If you deposit with a credit card within six months, the money will be returned to the card used for the deposit. If you use PayPal, the money will be returned to your PayPal account within six months.After six months, you can choose how you want to deposit. I also don't know if it's safe or not. I've been trying to find information, but some say it's safe, while others say it's not.
37130
08-12
FX2417072952
Thailand
Deceiving users by closing their accounts without notifying them. The reason given was just for security? When the price went up, I couldn't buy. Another issue is withdrawing money—sometimes it takes too long, sometimes it's impossible. Problems keep happening. Support is useless, as if they know nothing about trading.
Exposure
08-28