eToro is a revolutionary broker which offers forex trading resources. The other brokers have something in common; they have a similarity in the services they offer. eToro on the other hand decided to bring something new to the industry, a service that will forever change the way people traded forex for the rest of their lives.
The introduction of the OpenBook social investment platform in 2010 made it possible for traders to share their trading strategies and even copy trades from the successful traders.
This platform is suited for every type of trader, and it is especially important for beginner traders, as they learn they can copy the trades of other successful traders and grow their accounts. Below is the website interface of the eToro website.
eToro: Review of their Trading Platforms
eToro has various trading platforms, that are suitable for each and every type of trader.
The platforms are easy to use and they are very efficient. Below each of the platforms will be reviewed separately;
eToro OpenBook
This is the most popular platform in eToro; it is the social trading platform of choice for many people around the world. It not only allows a trader to follow a successful trader it also allows for traders to copy their desired successful traders trades automatically.
Their performance will also be translated to the trader’s performance. This is made possible by a feature called Copy Trader, which is integrated into the platform. This is why many people choose to trade using the OpenBook platform.
eToro WebTrader
eToro’s web based platform is a powerful platform that can be used by traders from all over the world with the access to the internet. It has all the tools that one needs when analyzing the different tradable instruments.
One can also synchronize the WebTrader with the OpenBook, this way one can copy the trades from a more successful trader automatically.
eToro Mobile Trader
eToro has a created mobile trading applications for their traders. These mobile platforms enable the user to trade through their phone or tablet as long as internet connectivity is available.
With access to these trading platforms it is important to have a good number of tradable instruments to trade, for that reason eToro has added commodities, stocks and indices to the long list of forex pairs.
eToro: Review on Trading Accounts
eToro has two trading platforms that cater for all individuals; they have the standard account and the Islamic account.
Standard account
The standard account has the following features, it has a minimum deposit of $50, this amount is can be funded into the traders using various ways; through Neteller, a wire transfer, credit cards (Visa or MasterCard), WebMoney, PayPal, and MoneyGram.
All these methods facilitate the deposit and withdrawal process, although it is important to understand that the method used to deposit money into the account is the same method you are going to use to withdraw money from your account.
The minimum amount for withdrawal is $20 and there is a fee charged for both deposits and withdrawals.
Islamic account
The Islamic account is based on the Shariah laws, the account can cater for clients from countries that practice Shariah laws or clients who are adhere to Shariah laws.
This account has a minimum deposit of $1000 payable through the stated methods above in the standard account section. The account does not attract overnight swap charges and commissions on all positions taken or held.
Demo account
eToro also offer a practice account that a trader that is still learning can use to try out their strategy and learn more how the platform works. They offer $10000 in virtual money as one opens a demo account.
eToro UK Review on the commissions and Spreads
eToro does not get commissions on trades taken by traders rather they have spreads on the different tradable instruments.
Since there are no commissions charged, the spread is quite big if you make a comparison to other brokers’ spreads. Some of the less traded instruments are widened too. The spread is from 2 pips -14 pips.
eToro Review on Customer Support
eToro has very good customer support, they have a live chat that is accessible from their website, telephone contacts and an e-mail address. All these channels are meant to ensure the client has their problem handled fast and efficiently.
eToro Review Ratings
Based on the following aspects eToro has an approval rating of 3.9. The following aspects were scored out of five, and the average score was obtained to get a rating. These aspects are:
- Accessibility - 4.3
- Performance of the platform - 4.04
- Customer support - 3.86
- Ease of payment - 3.69
- Reliability - 3.65
The Pros and Cons as Reviewed by the eToro Forums
Pros
- It has an Islamic account that caters for the Muslim traders. This is very important because many brokers do not have this option and a large number of interested Muslim traders are left out.
- The broker does not charge commissions on trades.
- eToro has enabled one click trades.
- eToro has fixed spreads on its tradable instruments
- eToro has its services offered in four different languages.
- eToro is well regulated and has cross-border regulations in European countries.
- eToro has price alerts, which are important for traders who have other commitments.
Cons
- eToro has deposit and withdrawal fees.
- eToro does not allow scalping.
- eToro does not have direct market access, the price feeds are a little delayed.
- eToro charges an inactivity fee of $5 to all clients that have not placed a trade for the past 12 months.
Conclusion
eToro is a good broker for all clients who are looking to get into social trading. Apart from that it has proper platforms, an array of tradable instruments and quality customer service.
It is affordable with $50 as the minimum deposit for all standard accounts and also an Islamic account to cater for Muslim traders. This is one broker I would highly approve for traders looking for a change from the norm.
