What is eToro
eToro is a multi-asset platform offering online trading opportunities in all currencies (including Crypto-currencies), commodities and company shares. Furthermore, it offers trading in both CFD* (contract for difference) and non-CFD products. In this post we will dive deep into eToro review and understand why this broker has become the leader in forex trading over the last few years.
*With CFD trading, where you can speculate on the currency movements without actually taking ownership of them, the rewards can be very high but so are the risks. In fact, it is estimated that over 66% of retail investors lose money when trading CFDs. You should therefore consider whether you want to take on this high risk of losing your money, in exchange for high returns.
eToro is Social Trading
The extension in terms of eToro users is so wide that one can certainly speak of a real phenomenon that deserves attention. We have been using this platform for quite a while and we know that there is a community of dedicated users who use it constantly, not only to trade but also to communicate between each other and help each other out with tips and questions. It is the very definition of ‘Social Trading’.
In fact, ‘Social Trading’ is the backbone of eToro’s purpose and what really makes eToro a unique and strong platform, is it’s ‘copy trade’ system which allows users to automatically copy the trades of other traders on the platform.
Reviewing the comments within eToro’s platform we concluded that most of the users choose to invest with eToro’s Social Trading because it allows them to rely on experienced traders who have a high level of preparation and to automatically copy all the trades he or she does.
This allows them to trade like the pros without having to know and analyse the financial and foreign exchange markets thoroughly. It is certainly an excellent compromise for all users who have just started investing.
Is eToro Safe?
eToro is a broker regulated in various financial markets around the world and it is by far one of the most professional platforms. In fact it is used by both online trading professionals due to the variety of trading options it offers, and also by beginners as it is designed to offer a safe and trustworthy environment in which to start understanding and trying online Trading without worrying about being scammed.
For all those who intend to invest in online trading for the first time, we recommend that you download the eToro online trading guide for free, so that you can start understanding the key principle of online trading and “trade” with awareness without taking unnecessary risks.
In addition, the eToro online broker offers the possibility to start your journey with a free Demo Account of €100,000 in virtual funds. Click here to get the eToro Free Demo Account.
eToro Review – Why Choose this Platform?
We understand that with all the forex trading platforms out there it can be confusing understanding which one to chose. So, if you’re not convinced yet whether eToro is the right one for you, then read on as we dive deep into the features and strengths that make eToro one of the top online trading platforms on the Market.
eToro is the leading broker in Social trading
Social trading consists of investing through a social network where you can share information between investors. In this way, investors with less experience can copy the more successful investors and perform their Forex trades in a totally automatic way.
Offers Various Types of Investment Choices
Furthermore, eToro is not just a forex broker platform. It is possible to make any type of investment:
- Investments in the Forex market;
- Stock market investments;
- Share purchases;
- Trading with CFDs;
- Trading with cryptocurrencies;
- Commodity trading
The largest social network for online investments!
Currently the eToro Broker, as a Social Network for investments, is considered the absolute best in the world. As we will see later, it is not just a simple Trading platform, but it is definitely the most important Social Network for online investments, where users can interact with each other and share personal experiences and opinions.
In the international online trading landscape, the eToro platform is one of the most modern and advanced structures on the market. It is regulated and absolutely legal, and is very well regarded by both beginner investors and a large number of professional investors.
eToro Ltd, the company operating the platform gives due importance to the financial regulations around the world. In fact, the company is regulated under various Financial Services Bodies in the major continents, including Europe, Asia and America. It is regulated under the FCA license, which is the UK’s supervisory body, by CySEC in the Eurepean Union, by ASIC in Australia and by FinCEN in the USA, amongst others.
eToro meets all the requirements of a reliable and regulated broker and given its spotlight around the world it works hard to follow all the rules and regulations set by its different regulatory bodies to ensure that its customers can enjoy a safe and reliable place in which to trade.
The ‘Copy Trader’ Feature
In our opinion, what makes eToro so unique, and probably the best overall online trading system out there is their automatic ‘Copy Trader’ system.
This patented feature allows any member of eToro to copy any other members’ trades. So inexperienced traders can allocate a part of their funds (as much as they wanted) to copy the investment portfolio of any one they choose within the eToro community.
This is obviously very beneficial for the less experienced traders as they can automatically follow the same trades as the professionals that trade on eToro. Everything is done automatically and the user only has to decide on which trader or traders (as you can follow multiple members at the same time) to follow and how much of his funds to allocate within the ‘Copy Trade’ feature.
Why eToro is so Popular
The eToro Broker brand was created in 2007, with the idea of revolutionizing the world of Trading, that is, of making it accessible to everyone around the world from the comfort of their own homes.
Two years after it launched, that is, in 2009 with the introduction of the WebTrader, eToro gave the facility to anyone to practice trading in financial assets online. It literally made available the advanced trading tools and facilities, previously only used by professional traders, to the average man and woman who wanted to try their hand at forex trading.
The online web trader was an important part in the growth of eToro because this system attracted all different types of trading experiences, from beginners to advanced traders and even a few professionals who found it extremely convenient. This mix of different levels of traders within the eToro community gave rise to their next big idea. In fact, in 2011 eToro became the first Social Trading platform in the world.
In the years that followed, building up on its large and strong community of users, the company kept introducing various innovative features and options to its trading platform. Most prevalent of which was the ‘Copy Trader’ option.
The company then made its platform available on mobile also. Customers of eToro are able to perform any trade operation on the platform even from the mobile phone via an application, which can be installed on both Apple and Android smartphones.
Also, a very important feature offered by this brand, is the wide choice of assets that can be traded and invested in with eToro’s online platform, thus allowing Traders to have a diversified portfolio.
Then there is also the CopyPortfolio, which allows you to invest in the funds that are created by the eToro platform, that is, entire funds that contain various financial instruments can be copied, such as, for example, currencies, Trading CFDs, and much more.
An equally important aspect was the addition of cryptocurrencies, such as Ethereum and Litecoin, where Bitcoin Trading could be done through CFDs as early as 2013.