eToro Broker Review
Table of contents
eToro is so much more than just a Forex broker! They are known as the best social trading broker for South African Forex traders and have grown into a broker cross social media platform for sharing profitable ideas.
Established back in 2007, and by morphing trading with social elements, eToro is credited as having helped open up Forex trading to the retail market. Simplicity is vital here, and eToro is simple for new traders.
Over ten years on, eToro is leading the fintech revolution via their CopyTrading platform. The platform has millions of traders and strategies for you to follow. Best of all, for you to make money by mirroring.
If you’re looking for a Forex broker that is entirely unlike any other you’ve read about before, then our eToro review is a great place to look.
You can find our comprehensive eToro broker review below.
Pros / Cons
- Totally unique
- Social trading
- Fully verifiable trading stats
- Higher spreads
- Limited trading platforms
- Not a professional Forex trading experience
We value your feedback. Rate this broker by clicking on the stars above.
While you might notice slightly different registered businesses depending on which regulatory jurisdiction eToro is operating in, this is standard practice for large brokers.
For example, eToro Europe is regulated by CySEC, eToro UK by the FCA and eToro AUS Capital Pty Ltd by ASIC. All offer the same trading platforms, conditions and are the same broker.
You can find eToro’s regulations listed here.
- ASIC (Australian Securities and Investment Commission): 491139
- FCA (UK Financial Conduct Authority): 583263
- CySEC (Cyprus Securities and Exchange Commission): 109/10
eToro is known as the best Forex social trading broker in the world.
Through their CopyTrading platform, clients can make trading decisions themselves, but also mirror the accounts of highly successful traders.
That means that eToro is in a unique position to offer services for traders who are looking to make money. They can also offer these services for already successful traders that are looking to earn an alternate income by allowing traders to copy them.
As a leading social trading broker, eToro is so much more than just a single Forex trading platform.
Their social network helps open the often complex Forex markets up to a whole new audience. This makes finance more friendly and accessible throughout the globe.
To find a trader to copy, you’re able to filter your search by profitability, risk: reward and a whole range of other variables that they have designed to find a trader that fits in with your strategy.
With eToro, it’s all about blending the social aspect of trading with learning to make profitable trades yourself. This is why every aspect of the social trading experience at eToro is transparent and customisable.
Social trading at eToro is genuinely like nothing else you’ll come across while reading other Forex broker reviews.
Forex Trading Education
The transparent social trading platform allows you to learn directly from profitable traders who are sharing their strategy. eToro also has a range of excellent Forex education tools to browse.
The eToro learn to trade section of the website is split up into the following.
- Market analysis: Professional market analysts speak about the day’s fundamentals and price action setups.
- Podcasts: Many eToro traders have full-time jobs they commute to. If you’re looking for something to listen to while in the car or train, then podcasts are perfect.
- Guides: Guides to fintech and social trading amongst others.
- Video Tutorials: Hours upon hours of video content going over the platform and how best to take advantage of social trading on eToro.
No doubt there’s an education medium here that fits your learning style. Overall they are not a very bigger-friendly broker, mainly due to the products offered.
The eToro help centre has a range of local support options for South African Forex traders who are looking for support on the social trading platform.
The four main support channels are as follows.
- Live Chat: Available Monday – Friday, 24/5
- Office Phone: Available Monday – Sunday, 24/5
- Email: Available Monday – Friday, 24/5
- Social Media: Available Monday – Sunday, 24/7
Live chat has become the most popular Forex broker support channel. eToro makes it simple to get an instant response directly from their homepage.
Finally, eToro couldn’t call themselves a social trading broker if their social media game wasn’t up to par. They use their social channels for both support and marketing. These social channels keep clients up to date with what’s happening throughout global markets.
Deposits and Withdrawals
While you can deposit across a whole range of different currencies including ZAR, eToro accounts operate solely in USD.
Because of this, it means that unless you fund your account with USD, you’ll most likely encounter currency conversion fees somewhere along the line. Traders can receive up to 40% as a bonus on their deposit.
eToro accepts the following account funding methods.
- Credit/Debit Card: Visa and Mastercard credit or debit cards are accepted, and money will be received within your account instantly.
- Bank Wire Transfer: This method is a bit slower, but is more secure to fund your eToro account. Be aware of the currency conversion fees from ZAR to USD.
- Skrill: The popular e-wallet Skrill, is a simple and convenient method of funding your eToro account.
- Neteller: Likewise, Neteller, for the same reasons as listed above.
- WebMoney: WebMoney is a popular choice in South Africa and neighbouring countries, giving eToro a quality local South African funding option.
Unlike other brokers, eToro does charge a fee to withdraw. While only USD 5, it’s frustrating when you consider everyone else is moving away from a fee structure. Withdrawal methods available for South African Forex traders with eToro, are the same as the funding options.
As with all regulated Forex brokers, you must use the same method of withdrawal as you used to fund your account and the names must match. This way, they comply with anti-money laundering policies set forward by regulators.
Trading conditions at eToro are diverse, depending on whether you’re CFD trading or social trading using the broker’s CopyTrader feature.
Social trading is an exciting way to automate your trading or to study the best while still making money while you learn. By allocating a percentage of your trading account to follow experienced traders, you’re able to take advantage of the platform to its full potential.
Remember that with eToro’s social trading platform, trading conditions are always open and transparent. You’re still able to view valuable information such as past performance, percentage gained, overall risk, diversity statistics and so on.
The detail here is staggering.
eToro call their demo accounts ‘practice accounts’ and offer free and unlimited access to the same copy trading features you’d see when you go live.
Again bucking the trend from conventional Forex brokers, there’s no 30-day expiry on an eToro demo account. You’re able to demo trade with $100,000 of funds for as long as it takes you to feel you’re ready to go live.
eToro’s social trading options are a little more in-depth than your regular Forex broker. We’ve listed some points that you might like to try and master on a demo first.
- How to follow professional traders.
- How to activate the Copy Trading function to diversify your trading portfolio.
- How to search and filter the traders you want to copy.
Once you’ve mastered these eToro social trading features on a demo, then you may be ready to go live.
As an ASIC regulated social trading broker, eToro has scaled back their leverage offered to traders who aren’t considered to be professionals.
- 1:30 for major currency pairs (such as EUR/USD)
- 1:20 for non-major currency pairs (such as EUR/NZD), gold and major indices
- 1:10 for commodities except for gold and non-major equity indices
- 1:5 for CFD stocks
- 1:2 for cryptocurrencies
However, clients who are considered professional South African Forex traders can access leverage up to 1:400.
We’ve gone into more detail on the professional trading account eligibility requirements in the account types section of this eToro review.
Spreads and Lot Sizes
Spreads on the eToro platform are quite high when compared to other Forex brokers. That is the price you pay when experiencing something as revolutionary in the fintech space as this.
Average Spreads on Majors
- EUR/USD: 3 pips
- GBP/USD: 4 pips
- USD/JPY: 3 pips
- AUD/USD: 6 pips
As mentioned above, there are two trading account types offered by eToro.
- Retail Investor Account: The account type designed for retail or hobby Forex traders. It provides full CopyTrading functionality as well as the ability to place trades yourself. Leverage is limited on this account type to comply with Australian and European regulatory requirements.
- Professional Clients Account: If you’re after the full 1:400 leverage that eToro offers, then you must be able to prove your Forex trading credentials and be considered a professional trader.
Regulatory requirements that restrict leverage may be frustrating. These have been put in place to keep traders safe and restrict brokers from essentially becoming casinos.
With proper risk management strategies employed in your trading, a retail investor account has more than enough leverage to allow you to make a tidy living or side hustle trading Forex.
eToro has an all-inclusive, social trading platform that also allows you to trade yourself.
The eToro trading platform features a unique, minimalist design and is available on desktop, web and across both mobile platforms.
The platform is visually stunning and has the functionality to back up its aesthetics. These points are a big win in this section of our eToro review.
Generally speaking, you’re going to choose eToro for its social trading features, not because they don’t offer white label trading platforms like MT4 or MT5.
IB Affiliate Program
If you’re an affiliate marketer who’s looking for a unique selling point that other Forex brokers can’t offer, then the eToro affiliate program could be a perfect fit.
With eToro, you’re able to promote the world’s largest social trading investment network, while also giving your clients the chance to trade Forex for themselves.
It’s the best of both worlds.
By promoting eToro, you’re offering your clients the opportunity to trade on a regulated platform. Don’t betray the trust of your list by promoting an inferior broker who pays a higher CPA. It’ll hurt you in the long run.
The eToro social trading platform is a product that will convert itself. Out of all our Forex broker reviews, this is the one worth trying if you’re a genuine affiliate marketer.
eToro Review Summary
After reaching the end of our complete eToro review, it’s probably clear to you now that we’re big supporters of what this fantastic social trading broker is doing.
eToro is a truly unique brand in the Forex broker industry. Thanks to their social trading functionality and a wide range of tradable markets including stocks and crypto to go along with all classic Forex currency pairs.
Take a look for yourself and open an account with eToro today.
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