eToro review

Online trading giant eToro lets you buy stocks and trade cryptocurrencies and CFDs with no commission. Find out how it fares overall.

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eToro logo

Finder rating ★★★★★

eToro offers commission-fee share trading on over 1,000 global stocks.

We liked…

  • Commission-free trades
  • Huge range of stocks
  • Free to use and set up
  • No trade limits

But watch out for…

  • Mandatory withdrawal fees
  • Fees apply on all leveraged, short or CFD orders
  • Verification process is very detailed
  • Trading platform can be confusing
eToro Free Stocks

Invest in shares with 0% commission on eToro

Your capital is at risk

  • 0% commission on stocks
  • No markup, ticketing fees, management fees
  • Fractional shares available
  • Easy to use platform
Promoted

What is eToro?

eToro is a multi-asset social trading platform that lets investors trade stocks, exchange-traded funds (ETFs), cryptocurrencies, contracts for difference (CFDs), commodities and currencies. Along with low-cost investing, eToro also offers the OpenBook trading platform, which lets users automatically copy and execute another investor’s trades.

Is eToro good?

eToro has built a reputation as one of the most innovative and popular online investing platforms since it launched in 2007. It currently has over 10 million users worldwide and provides a range of low-cost investing services.

Along with digital trading platforms such as Freetrade and Robinhood, eToro now offers a free investing account. This means users can buy and sell a range of global stocks with no commission.

eToro trading platform

With the eToro free stock account, you can buy and sell shares from the world’s biggest exchanges and pay nothing in commission. It’s free to create an account, and there’s no limit on how much you can trade.

Through eToro, you can even buy fractional shares, and invest in companies like Apple, Amazon, Nike, Twitter and Google.

However, as you might expect, there are certain provisions.

Commission-free investing is currently only available in countries under FCA and cySEC regulation, which includes the UK and all major European countries.

You’ll also need to deposit a minimum of $200 US, and zero commission doesn’t apply to any leveraged trades, shorts or stock CFDs.

While you won’t pay commission on basic share buy and sell orders, you’ll still need to pay a $5 US withdrawal fee, and the minimum withdrawal amount is $50.

eToro CFD trading

warning iconWarning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 66% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

If you’re more of an advanced trader, eToro allows you to trade contracts for difference (CFDs). These allow you to trade on market volatility without ever having to own the underlying asset. Great if you don’t want a truck full of soybeans rocking up on your doorstep.
Features of eToro’s CFD trading platform include:

  • Customised risk management. “Trailing Stop Loss” and “Take Profit” can help you protect your investments.
  • Analysis tools. Includes charts, analyst consensus and insider transactions.
  • Innovative features. These include One-Click Trading, real-time alerts and interactive newsfeeds.
  • Apply for up to 1:30 leverage.

What is leverage?

You’ll see leverage being referred to on the site as a ratio, such as 1:30 that you see above. Leverage allows you to open positions that are larger than your capital. For the example above, for every £1 you trade, you have the effect of £30 capital. Because of this, it is possible to lose more than your initial investment, which makes it riskier. You may have to have the funds available in your account to cover losses.

Is eToro safe?

Yes. eToro is regulated and authorised by the FCA in the UK and also covered by the FSCS, so you’ll be protected for up to £85,000 in the event the company goes bust.

As with any type of investment, it’s your money that’s at risk when you use eToro, and there’s no guarantee of profits.

eToro customer reviews

On consumer review platform Trustpilot, eToro has 2.5 out of 5 stars and a rating of Poor, based on more than 1,500 reviews.

Things are much brighter in the App Store, where the eToro app has 3.9 out of 5 stars based on more than 150 reviews. On Google Play, the eToro app has 4 out of 5 stars based on more than 32K reviews.

Positive feedback included the ease of use and flexibility to switch between stocks and crypto. Negative feedback centred around technical glitches and the user interface experience.

How does eToro make money?

eToro makes money by charging a range of fees on certain types of trades. While it’s free to start using eToro, you’ll need to pay for most of its trademark trading features and options.

eToro fees and charges

Fee typeCost
Basic tradesFree
Basic accountFree
Withdrawal fee$5 USD
CFD trades0.09% spread
Conversion fee (GBP to USD)Pips50
Inactivity fee$10 USD

Downsides of eToro

The eToro trading screen can be quite confusing at first, especially when it comes to managing your investment watchlist.

Despite the much-publicised commission-free trading option, eToro also comes with a couple of unavoidable fees, mainly around deposits and withdrawals to your account.

To get the most out of its extensive trading platform, you’ll also end up paying a number of standard (and hidden) fees, and these can be confusing for beginner traders.

Signing up for eToro

It takes 30 seconds to create your investing account via the eToro website, but you’ll then need to complete your profile and verify your account. This can take 10-15 minutes.

You’ll need to provide:

  • Your name
  • Your phone number and email
  • Your date of birth
  • Your address
  • Your National Insurance Number

You’ll also need to answer a series of questions about your recent trading activity and investment knowledge so that eToro can determine your experience level. You’ll then need to outline your trading strategy, including your risk appetite and financial goals.

Finally, you’ll have to verify your phone number and provide a copy of your passport or ID card, and a utility bill or bank statement, in order to verify your identity.

It can take up to 3 business days for your account to be verified.

Using your account

Once you’ve been verified, you can deposit funds and start trading. With the free account, you can access many of the regular eToro features like CopyTrading, virtual trading and TipRanks expert stock analysis.

You can add and remove stocks, cryptocurrencies, ETFs, indices, commodities and currencies to your watchlist, and also track your portfolio.

However, when using the platform, keep in mind that only basic stock buy orders are commission-free. It can be quite easy to get carried away and start dabbling in other types of assets, but these will attract trading fees.

What stocks can I trade on eToro?

You can invest in over 1,000 different global stocks from the world’s leading exchanges, including Apple, Netflix, Google, easyJet, Barclays, Airbus, Adidas.

What is social trading?

eToro is the leading social trading platform. This means that you can connect with others to share your investment strategies and discuss trading with the user base. You can also copy other traders’ actions in real-time. This is a nice way of getting the hang of how it works and utilising others’ knowledge and experience.

The platform lets you see the users’ average risk score and gains in the last year. Of course, as always, past performance is not an indication of future results.

What is the eToro Club?

The eToro club is a tiered membership program that you can add to your eToro account, based on the amount of realised equity you have on the platform. It offers a range of perks including fee discounts, analytical tools and access to events.

eToro Club tiers

  • Silver – $5,000+
  • Gold – $10,000+
  • Platinum – $25,000+
  • Platinum+ – $50,000+
  • Diamond – $250,000+
eToro Free Stocks

Invest in shares with 0% commission on eToro

Your capital is at risk

  • 0% commission on stocks
  • No markup, ticketing fees, management fees
  • Fractional shares available
  • Easy to use platform
Promoted

Trading platforms similar to eToro

Table: sorted by promoted deals first
Data indicated here is updated regularly
Name Product Price per trade Frequent trader rate Platform fees Brand description
Fineco
Fineco
£2.95
£2.95
Zero platform fee
Fineco Bank is good for share traders and investors looking for a complete platform and wide offer. Your first 50 trades are free with Fineco, until 30/09/2020. T&Cs apply. Capital at risk.
IG
0% commission on US shares, and £3 on UK shares
From £5
£0 - £24 per quarter
IG is good for experienced traders, and offers learning resources for beginners, all with wide access to shares, ETFs and funds. Capital at risk.
Hargreaves Lansdown Fund & Share Account
£11.95
£5.95
Transfer out fee
Hargreaves Lansdown is the UK's biggest wealth manager, with the depth of features you'd expect from an established platform. Capital at risk.
eToro Free Stocks
0% commission, no markup, no ticket fee, no management fee
N/A
Withdrawal fee & GDP to USD deposit conversion
eToro is good for social trading - letting you mirror the portfolios of other traders. Capital at risk.
Interactive Investor
From £7.99 on the Investor Service Plan
From £7.99 on the Investor Service Plan
No transfer fees or exit fees. £9.99 a month on the Investor Service Plan
Capital at risk.
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Compare up to 4 providers

Data indicated here is updated regularly
Name Product Minimum deposit Maximum annual fee Price per trade Brand description
Hargreaves Lansdown stocks and shares ISA
£100
0.45%
£11.95
Hargreaves Lansdown is the UK's biggest wealth manager. It's got everything you'll need, from beginners to experienced investors. Capital at risk.
Interactive Investor stocks and shares ISA
£100 or £25 a month
£119.88
£7.99
Interactive Investor offers everything most investors need. Its flat fees makes it pricey for small portfolios, but cheap for big ones. Capital at risk.
Legal & General stocks and shares ISA
Legal & General stocks and shares ISA
£100 or £20 a month
0.61%
N/A
Legal & General is a big financial services company which offers insurance, lifetime mortgage, pensions and stocks and shares ISAs. Capital at risk.
Saxo Markets stocks and shares ISA
No minimum deposit requirement
0.12%
£8.00
Saxo Markets offers a wide access to a range of stocks, ETFs and funds. Capital at risk.
AJ Bell stocks and shares ISA
£500
0.25%
£9.95
AJ Bell is a good all-rounder for people who to choose between shares, funds, ISAs and pensions. Capital at risk.
Fidelity stocks and shares ISA
£1000 or a regular savings plan from £50
0.35%
£10.00
Fidelity is another good all-rounder, offering a good package at a decent price. Not suited for trading shares. Capital at risk.
Moneybox stocks and shares ISA
Moneybox stocks and shares ISA
£1
0.45%
Fixed subscripction fee of £1 per month
Moneybox offers a general investment account, Lifetime ISA and Junior ISA and lets you manage your money with an easy-to-use app. Capital at risk.
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Compare up to 4 providers

Data indicated here is updated regularly
Name Product Minimum investment Choose from Annual fee Brand description
PensionBee Pension
No minimum
7 funds
0.5% - 0.95%
Pension Bee is a newbie in the pension market. It helps consolidate your pension plans into one place. Capital at risk.
Hargreaves Lansdown Pension
£100
2,500 funds
0-0.45%
Hargreaves Lansdown is the UK's biggest wealth manager. It's got three different retirement options. Capital at risk.
Interactive Investor Pension
£25/month
Over 2,500 funds
£10/month
interactive investor is a flat-fee platform, which makes it cost effective for larger portfolios. Capital at risk.
Saxo Markets Pension
Saxo Markets Pension
£10
Over 11,000 funds
No annual fee
Saxo Markets gives flexibility and control over your investment strategy. Capital at risk.
AJ Bell Pension
£1,000
Over 2,000 funds
0.05-0.25%
AJ Bell has two different pension options, a self managed pension and one that is managed for you. Capital at risk.
Moneybox Pension
£1
3 funds
0.15% - 0.45% charged monthly
Manage your money with an easy-to-use Moneybox app. Capital at risk.
Moneyfarm Pension
Moneyfarm Pension
0.35%-0.75%
7 funds
£1,500 (initial investment)
Moneyfarm has pensions that are matched against your risk appetite, goals and planned retirement date. Capital at risk.
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Compare up to 4 providers

All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Capital is at risk.

Frequently asked questions

Hargreaves Lansdown Hargreaves Lansdown

Best for beginners (Capital at risk)

IG IG

Best for US shares (Capital at risk)

eToro eToro

Best for social trading (Capital at risk)

Interactive Investor Interactive Investor

Best for online platform (Capital at risk)

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