eToro Review 2024 UK: Pros, Cons & Everything Else

In this eToro review, we are investigating eToro, a social trading platform. There are plenty of investment platforms and brokers available.

eToro aims to stand out and do something a bit different.

But does social trading work? Read this eToro review to find out more, alongside all pros and cons of this online investment platform.

eToro Referral Bonus (UK)

There are currently no sign-up bonuses, eToro referral bonuses, or promo codes for eToro valid for UK users. However, once signed up, you can refer your friends.

With your referral link, you can gain $50 (around £44) for every friend who signs up and trades at least $100 (around £88).

eToro Review UK

eToro is a legit investment platform that aims to make investing more social. On the platform, you can copy the portfolio of other traders and chat with them about your investments.

eToro offers over 3000 assets to invest in and has comparatively low fees.

When you invest, your capital is at risk and you may lose money. Cryptocurrencies are incredibly volatile. Don’t invest unless you’re prepared to lose your money. This is a high-risk investment. You are not protected if something goes wrong. Take 2 minutes to learn more.

eToro Overview

	eToro
Platform	App and website
FCA regulation	Yes
FSCS protection	No
User ratings	4.4/5.0
Minimum deposit	$10
Investment style	DIY, trading, long-term investing
Available accounts	GIA, ISA, demo account, money account
Available markets	Stocks, ETFs, Forex, CFD, cryptocurrencies, commodities, indices
Fees	0.5% deposit fees (non-US only) $5 withdrawal fee $10 inactivity fee 1% fee for cryptocurrency trades

What Is eToro?

eToro is a social investment and multi-asset brokerage company.

“Social investing” means that on eToro, you can discuss your investments with other traders, learn from experts, or give newbie investors tips on their investments.

You can also copy the portfolio of other investors. Note that you are still responsible for your own investment decisions.

On eToro, you can invest in over 3000 different financial assets. These include stocks, cryptocurrencies, exchange-traded funds (ETFs), indices, currencies, commodities, and contracts for difference (CFDs).

Cryptocurrency assets are highly volatile and unregulated. Also, note that CFDs are a risky asset and most investors lose money trading CFDs.

eToro was founded by Yoni Assia, Ronen Assia, and David Ring in 2007 in Israel. In 2013, eToro was authorised to operate in the UK and established an office in London.

Is eToro Legit?

eToro is a legit investment company and not a scam. eToro is a financial services company registered with the Financial Conduct Authority (FCA) with the number FRN 583263.

You can also have a look at eToro’s Trustpilot score. The eToro reviews on the site have an average score of 4.4 out of 5.0. Overall, 74% of users rate eToro as great or excellent.

Is eToro Safe?

eToro is safe to use. Your eToro account and app are protected by:

• “Hardened” security: your account and login data are encrypted
• Constantly updated security features
• 3D security if available
• Real-time notification

Note that money in your eToro account is not covered by the Financial Services Compensation Scheme (FSCS). This means that if eToro becomes bankrupt, you may not be able to get your money back.

eToro still promises that your funds are protected. However, there is no government-backed safety mechanism.

You are also not protected against investment losses. These are solely your responsibility.

How Does eToro Work?

eToro is an online broker. This means that eToro connects customers to the stock market and enables them to buy and sell financial assets.

Signing up

Signing up and creating an account with eToro is free. Simply click the button below to get started:

Then, you need to enter your email address and password. eToro will ask you to complete your profile and describe your investing experience, and trading strategy.

You can simply click through the sign-up steps:

Before you can deposit, you will also need to verify your identity and provide a proof of your address. You can use the following documents for this:

• Passport
• Driving license
• Bank statement
• Utility bill

How to Deposit to eToro

To deposit money on eToro, click on “Deposit Funds”. You can choose between:

• Debit or credit card
• Trustly
• Rapid
• Skrill
• Bank transfer

When you enter the amount you wish to deposit, eToro will automatically display how many dollars you will get for your pounds.

For a bank transfer, the waiting time is usually two to three days. All other methods are instant.

The minimum deposit on eToro is $10.

How to Withdraw from eToro

To withdraw money from eToro, simply click. on the “Withdraw Funds” button. Bank and card withdrawals can take up to ten business days. eToro Money withdrawals are usually instant.

In certain cases, they may take up to one business day for security reasons.

What Accounts Does eToro Offer?

eToro offers the following accounts:

• General Investment Account (GIA)
• Individual Savings Account (ISA)
• Demo account
• eToro money account

The General Investment Account is a standard investment account. This means that you will need to pay capital gains tax on your investments if you exceed your personal allowance.

eToro ISA Review

Individual Savings Accounts (ISAs) are tax wrappers that enable you to invest up to £20,000 per year tax free. Note that this allowance is shared between all your ISAs, including those not on eToro.

eToro has now partnered with Moneyfarm to offer customers access to an ISA. eToro customers can see their ISA balance in their eToro dashboard.

However, the actual ISA sits with Moneyfarm and you can only invest in Moneyfarm portfolios.

Read my Moneyfarm review to see their portfolio options.

eToro Sipp Review

Currently, eToro does not offer Self-invested Personal Pensions (SIPPs).

eToro Demo Account Review

eToro offers a virtual account, also called a demo account, for practice. You can freely switch between your real and virtual accounts. With the virtual account, you are given $100,000 of virtual money.

You can invest this money as you want to practice investing.

Of course, because this is virtual money and for practice only, you cannot withdraw this cash.

eToro Money Account

The eToro Money Account works alongside your trading account. It enables you to make instant deposits and withdrawals without conversion fees.

The eToro Money Account is available to customers in the UK. You can get a free digital account. If you are an eToro Club member, the Money Account also comes with a VISA debit card.

Note that while the eToro Money Account works similarly to a bank account, it is not actually one. Your money does not have the same protection as it would have in an account with a recognised bank.

Instead, it is more similar to an electronic money institution.

What Can You Invest in on eToro?

In terms of available assets, eToro is similar to Trading 212 (read my Trading 212 review for more details). Once you have money in your eToro account, you can choose between 3000 assets to invest in. These include:

• Contract for Differences (CFDs)
• Foreign Exchange Market (Forex)
• Stocks including fractional shares
• ETFs
• Cryptocurrencies
• Commodities
• Indices

The eToro wallet supports the following popular cryptocurrencies: Bitcoin, Bitcoin Cash, Ethereum, Litecoin, and Stellar. You can find a full list of tradeable cryptocurrencies on the eToro website.

Note that CFDs are a high-risk investment and the majority of investors lose money when trading them.

If you want to invest in Vanguard funds, you may prefer to buy from Vanguard directly. Read my Vanguard vs eToro comparison to find out which investment platform is better for you.

What Fees Does eToro Charge?

eToro charges no fees for opening an account, management fees, or commission on stock trades.

However, there is a 0.5% deposit fee for non-US deposits and a $5 withdrawal charge at the time of writing this eToro review.

For cryptocurrency trades, eToro charges a 1% fee plus a market spread fee (differences between buy and sell prices).

After 12 months of inactivity, eToro charges an inactivity fee of $10. This fee is deducted from your eToro balance and will not be taken from your bank account.

What Other Features Does eToro Have?

1. eToro Social Trading

eToro social trading is the most unique feature of eToro. You can select any investor and copy their portfolio with a click on a button.

You can also go into their profile and comment on their posts, similar to a social media platform.

2. eToro Club

The eToro clubs are essentially different membership levels. Every member starts at Bronze when signing up. Afterwards, your membership level is determined by your realised equity:

• Silver: $5,000
• Gold: $10,000
• Platinum: $25,000
• Platinum+: $50,000
• Diamond: $250,000

Realised equity is your cash balance plus the total original purchase value of all of your holdings.

With a higher membership level, you get greater discounts on fees. There are also some extra perks such as event invitations and a Wall Street journal subscription.

You can see the benefits for each level here.

3. eToro Leverage Trading

Leverage trading means that you can trade with more money than you actually have. Basically, eToro lets you borrow money to invest.

At the time of writing this eToro review, the following leverages are available:

• 30x for major currency pairs e.g. GBP/USD
• 20x for non-major currency pairs, gold, and indices
• 10x for other commodities
• 5x for CFD, stocks, and ETFs

4. Research and Tutorials

eToro offers detailed statistics, graphs, news, and analyses for each stock. This helps you to decide whether an asset might be right for you.

Furthermore, eToro has a dedicated eToro Trading Academy.

This training site has a wide range of free videos and tutorials. these explain everything from investing basics to more advanced strategies.

This platform is a great resource for beginner investors. Even if you do not want o use eToro as your investment broker, you can still take advantage of it.

eToro Mobile App

With eToro, you can also trade from your phone with the eToro mobile app. Based on over 7,000 reviews, the app has an average rating of 3.8 out of 5.0 in the App Store.

The eToro app for Android has an average rating of 4.1 out of 5.0 at the time of writing this eToro review.

What Are the Pros and Cons of eToro?

eToro Review Pros

• Wide range of assets to invest in
• Social trading enables users to copy portfolios
• Demo account available
• No commission charged
• Easy-to-navigate platform
• Lots of research tools and tutorials available

eToro Review Cons

• No SIPP available
• Currency conversion charge for UK investors
• The Copy Trader function may lead to poor investment choices

Frequently Asked Questions

How Do You Fix the “Unable to Set Order” eToro Error?

If you are getting an error reading “unable to set order” on eToro, there are various solutions. Check that you have completed your W-8BEN form in your setting.

This form is to declare that you are not a US taxpayer. If this does not solve your issue, you may simply need to wait a while.

Lastly, if you cannot resolve the “unable to set order” error on eToro, you can contact customer support.

Why Is eToro Bad?

eToro is not a bad website. Some people online falsely claim that eToro is a bad site. But the truth is that eToro has pros and cons like any other investment site.

eToro may not suit your investment style but that does not mean it is bad.

Some people also claim that eToro is a scam. As you can see from this eToro review, this is a false statement.

Is eToro Any Good?

eToro is a solid online investment platform. It has competitive fees and a huge variety of tradable assets. However, like any investment broker, it has its pros and cons.

To see if eToro is any good for you, you can simply open a free account. With the demo accounts, there are no risks. eToro is also a great alternative to Robinhood for UK investors.

Can I Use eToro in the UK?

Yes, eToro is available in the UK at the time of writing this eToro review. In fact, it is one of the best ETF brokers in the UK.

However, the platform currency is the US dollar and you will be charged a conversion fee if you deposit in GBP (£).

eToro Review UK Summary

eToro is a legit platform and one of the best UK investment apps. Its most outstanding feature is the ability to copy the portfolios of successful investors.

This means you can directly benefit from their experience.

However, copying someone’s portfolio also brings the risk that you may not understand their investment decisions. Their portfolios also may not be the right investment strategy for you.

Therefore, you should be careful when using this feature.

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