What We Tested
- Account type: Retail Account ($1,000 starting balance for test)
- Platform: Proprietary WebTrader and Mobile App
- Trading period: 4 months, Focus on CopyTrader and Crypto
- Assets tested: CopyTrading Portfolios, BTC, ETH, EURUSD CFD
- Withdrawal tests: 2 successful (PayPal, Bank Wire)
- Support tests: 6 inquiries via ticketing system
Testing focused on the effectiveness of the CopyTrader feature, fee transparency on CFD trades, and execution speed on major cryptocurrencies.
Regulation & Safety
eToro maintains top-tier regulation in major financial centers globally, providing high security for funds:
- FCA (UK) – Tier-1 regulation, FSCS protection up to £85,000.
- ASIC (Australia) – Tier-1 regulation, strict compliance.
- CySEC (Cyprus) – Tier-2 regulation, ICF compensation up to €20,000.
- FinCEN (USA) – Money Services Business (MSB) registration for US crypto operations.
Spreads & Execution
| Asset | Avg Spread (CFD) | Commission | Notes |
|---|---|---|---|
| EUR/USD (CFD) | 1.7 pips | $0 | Wider than average (built-in fee) |
| GBP/USD (CFD) | 2.5 pips | $0 | Significantly wide |
| BTC/USD (Crypto) | 0.75% Markup | 0% | Markup included in price quote |
| US Stocks (Real) | Variable/Market | $0 | Commission-free stock trading |
Spreads are dynamically calculated and include eToro's markup (as they are commission-free). This makes the effective cost significantly higher than ECN rivals.
Execution Model and Quality
- Execution Model: Market Maker (B-Book) for CFDs
- Stock Trading: Real asset execution (commission-free in most regions)
- Fill Time: Average speed, optimized for casual traders, not scalping.
- Requotes/Manipulation: No evidence of outright manipulation, but the Market Maker model exists.
The execution model is designed for retail convenience, not institutional efficiency. The Market Maker model for CFDs creates an inherent conflict of interest, but the primary utility lies in long-term CopyTrading, where latency is less critical.
CopyTrader & Social Trading (The Game Changer)
eToro’s platform is built around its core social features, which offer significant advantages for beginners and passive investors:
- CopyTrader: Automatically replicate the portfolio and trades of chosen investors in real-time.
- Popular Investor Program: Successful traders earn a portion of eToro's revenue by allowing others to copy them.
- Social Feed: An integrated social media feed allows users to interact, share ideas, and discuss market moves.
- Risk Scoring: Every trader has a transparent risk score (1-10) and performance history, simplifying the selection process.
This feature fundamentally changes the barrier to entry, allowing novices to build sophisticated portfolios by leveraging the experience of thousands of verified profitable traders, all within the platform.
Account Types & Fees
Standard Retail Account (Single Tier)
- Min deposit: $50 (varies by region)
- Spreads: Markup included (avg 1.7 pips EUR/USD)
- Commission: $0 on CFD/Forex, Real Stocks (mostly)
- Leverage: Up to 1:30 (FCA/ASIC standard)
- Best for: Copy Trading, Crypto, and Real Stock Purchases
Other Fees
- Deposit fees: $0 (Conversion fees may apply for non-USD funding).
- Withdrawal fee: $5 USD flat fee (Applies to USD accounts only; often free for EUR/GBP accounts).
- Inactivity fee: $10/month after 12 months of no login activity.
- Overnight Fees: Standard swap fees apply to leveraged CFD positions.
Deposits & Withdrawals (Tested)
eToro supports numerous funding methods, though withdrawal fees apply to USD accounts:
| Method | Amount | Processing Time | Fees | Notes |
|---|---|---|---|---|
| Credit Card/PayPal | $300 | 1-2 business days | $5 USD | Return to source policy |
| Bank Wire | $1,000 | 3-8 business days | $5 USD | Withdrawal minimum $30 USD |
Platforms & Tools
- Proprietary eToro Platform: Intuitive web and mobile platform, built around social networking and copy trading.
- CopyTrader: Signature feature for automatically replicating the trades of Popular Investors.
- Popular Investor Program: Allows successful traders to earn income from being copied.
- No MetaTrader (MT4/MT5): Zero support for external platforms or APIs.
Our Take: The platform is excellent for its intended purpose—social interaction and copying. It is a closed system that cannot be used by technical analysts who rely on MT4/MT5 tools.
Asset Diversity (Stocks, ETFs, Real Crypto)
eToro offers more than just CFDs, appealing to long-term investors:
- Real Stock Ownership: When buying non-leveraged stock positions, you own the underlying asset (commission-free in most regions).
- Real Crypto Ownership: eToro allows users to buy and transfer real cryptocurrencies to their dedicated eToro Money Wallet.
- Smart Portfolios: Professionally managed thematic portfolios (AI, Renewable Energy, etc.) for passive diversification.
The ability to buy real stocks and crypto, rather than just CFDs, makes eToro a powerful all-in-one investment platform, bridging the gap between traditional brokerage and CFD trading.
Customer Support (Tested)
eToro provides 24/5 support primarily through their ticketing system:
- Help Center (Ticketing): Primary support method. Response times vary (12-48 hours).
- Live Chat: Available to Club members (higher tiers) only.
- Quality: Support is adequate for general inquiries. Lack of phone support and delayed response for non-club members is a disadvantage.
Support can be slow unless you are a high-tier Club member, which requires significant equity/volume. This contrasts with ECN brokers offering 24/7 technical chat support to all clients.
PROS
- World-leading social and copy trading platform (CopyTrader)
- Strong Tier-1 Regulation (FCA, ASIC, CySEC)
- Commission-free trading on real stocks (subject to exchange fees)
- Diverse assets: Forex, Crypto, Stocks, ETFs, Indices
- Excellent for learning from experienced traders
- User-friendly platform perfect for beginners
CONS
- Wider CFD/Forex spreads (avg 1.7 pips EUR/USD)
- No MT4, MT5, or API access (not suitable for EAs)
- Market Maker model for CFDs (conflict of interest)
- Withdrawal fee ($5 USD flat) applies to non-EUR/GBP accounts
- Support quality is slow for non-club members
Who Should Use eToro?
- Great fit: Passive investors, beginners, and social traders who prioritize learning by copying others and want access to a diverse range of assets (especially crypto and stocks) in a highly regulated environment.
- Good fit: Manual traders comfortable with higher spreads who prefer an all-in-one platform for multiple asset classes.
- Not ideal: Algorithmic traders, scalpers, or high-volume Forex/CFD traders focused on minimizing spread costs and requiring MT4/MT5/API execution.
Final Verdict
eToro dominates the social trading niche, offering a unique product that blends asset diversity (stocks, crypto, ETFs, CFDs) with peer-to-peer learning. It is an excellent entry point for beginners and passive investors looking for an auto-pilot solution via CopyTrader.
The regulatory framework (FCA, ASIC, CySEC) is robust, providing a high level of security. Real stock trading is commission-free in most regions, making it competitive for long-term equity investing.
However, eToro is not optimized for active Forex/CFD traders. Spreads are wide (1.7 pips EUR/USD), the platform is closed (no MT4/MT5/API), and the Market Maker model introduces conflict of interest. The $5 withdrawal fee is an unnecessary friction point.