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eToro Alternatives: 4 Better Platforms for 2020

In this guide, we will suggest 4 alternatives to eToro that provide lower fees and more asset variety.
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Author: Patrick Webber
Last Updated: 28 July 2020
eToro Alternatives: 4 Better Platforms for 2020
eToro Alternatives: 4 Better Platforms for 2020

eToro has been around for nearly 14 years since it was founded in 2006. Even though it is considered as one of the leading online Forex and CFD brokers, eToro has some flaws. As traders’ needs are rapidly evolving , you might want to be aware of eToro alternative platforms.

In this guide, we will suggest 4 alternatives to eToro that provide lower fees and more a large variety of assets.

What are some disadvantages of eToro?

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For many people, eToro might be the best trading platform. The broker has developed a user friendly and a well-designed web-browser trading dashboard where traders can easily place orders, connect with other members and even copy trades of other top traders in the community.

But every platform has a few pros as well as cons. Selecting a trading platform is highly depended on your location, trading needs, and trading style. There are some eToro alternative platforms that can allow you getting the most out of your trading account.

First, we have collected the main disadvantages of eToro:

  • A limited selection of cryptocurrency pairs
  • Forex and CFD trading is not available for residents in the United States
  • In the U.S., cryptocurrency trading is only available in 39 US states
  • eToro charges non-trading fees such as withdrawal fee and inactivity fees
  • eToro’s spreads are slightly higher than competitors
  • MT4 and MT5 trading platforms are not supported
  • Minimum deposit is slightly higher than on other platforms ($/€/£150)
eToro is considered by many as the best social online trading platform out there. The eToro trading platform was designed for beginners as well as professional traders that want to make trading a social experience. If you are a newbie in trading, eToro is without a doubt the best option for you to get started.

But if eToro does not support your country of residence, or if you would like to check out alternative platforms, we have listed four fantastic eToro alternatives. Let’s find out more about each one of these below.

1. AvaTrade - Highest Selection of Trading Platforms

AvaTrade has been a leading online broker since its foundation in 2006. The broker offers a selection of platforms that include the MetaTrader4, MetaTrader5, AvaTraderOptions, and AvaTraderGo, which are available on a desktop, web browser, and mobile devices.

While eToro is a highly regulated broker, it is good to know that AvaTrade has also gained the approval of top financial authorities in many regions of the world. Those include the Central Bank of Ireland in the European Union, the Australian Securities & Investment Commission in Australia, the British Virgin Island Financial Services Commission (International), the Financial Services Agency (FSA) and the Financial Futures Associates of Japan in Japan, the South African Financial Conduct Authority in South Africa, and ADGM’s Financial Services in the Middle East.

Cryptocurrencies supported: Bitcoin, Bitcoin Cash, Bitcoin Gold, Etherum, Litecoin, Ripple, DASH, IOTA, EOS, NEO, and Stellar.

Demo Account: Yes

Educational Material: Yes

Fees: AvaTrade has no trading fees and no deposit and withdrawal fees but it does charge inactivity fee of $50 after three months of account inactivity and $100 after a year of inactivity.

Minimum deposit: $100.

Special Features: AvaTrade provides options trading and a selection of automated trading platforms and tools.

Regulation: Central Bank of Ireland, ASIC, BVI, CySEC, FSA, ADGM, and FSCA

Payment methods: Credit card, wire transfer, Skrill, Webmoney, and Neteller.

  • Unlike eToro, AvaTrade offers a selection of trading platform including MT4 and MT5
  • AvaTrade enables traders to trade more than 40 currency pairs of call and put options
  • AvaTrade offers the Crypto 10 Index that represents the market performance of the top 10 cryptocurrencies in the world
  • In comparison to eToro, AvaTrade offers a low range of tradable instruments
  • Unlike AvaTrade, eToro is a social trading platform where traders can connect with each other and copy trades of other members

2. Plus500 - Trade 2,000 Financial Instruments

Plus500 is reputable and well-known forex and CFD broker, operating in the online trading industry since 2008. What makes Plus500 an ideal option is the huge selection of more than 2000 financial instruments across several markets that include forex, stocks, indices, commodities, ETFs, options, and cryptocurrencies.

Plus500 is mainly popular in Europe and Asia, though the broker is offering trading services in more than 50 countries across the globe. The broker holds regulatory licenses from the Cyprus Securities And Exchange Commission (CySEC) and the Financial Conduct Authority (FCA) in the United Kingdom.

Cryptocurrencies supported: Bitcoin, Ethereum, Litecoin, NEO, Ripple, IOTA, Stellar, EOS, Bitcoin Cash, Cardano, Tron, Monero and Crypt 10 Index.

Demo Account: Yes

Educational Material: Yes

Fees: Plus500 has no trading fee. However, it does charge financing fees that include the overnight fee, conversion fee, guaranteed stop order fee, and inactivity fee.

Minimum deposit: $100.

Special Features: Plus500 offers the Negative Balance Protection, an automated trading tool that ensures traders cannot end up with a negative balance in their accounts.

Regulation: CySEC, FCA, and ASIC

Payment methods: Debit/Credit cards, Electronic wallets (PayPal or Skrill), and Bank transfer.

  • Plus500 offers a higher selection of product compared to eToro
  • Unlike eToro, Plus500 provides the option to trade with variable spreads
  • Plus500 does not charge a withdrawal fee while eToro charges a withdrawal fee of $5
  • Plus500 offers one account type (the Standard account) while eToro offer a selection of account types
  • Unlike Plus500, eToro enables user to connect with each other and even copy trades of other members of the community
76.4% of retail investor accounts lose money when trading CFDs

3. Forex.com - Best Trading Platform for US Traders

eToro offers cryptocurrency trading for residents in the United States, however, it does not yet allow US traders to trade other markets. Forex.com, on the other hand, is a US-Based forex broker that provides margin trading for residents in the United States, but it also operates in many other countries worldwide.

FOREX.com is one of the few online brokers that accept US traders as it is regulated by the Commodity Futures Trading Commission (CFTC) and member of the National Futures Association (NFA). Forex.com is is a good match for active day traders that are looking for a professional trading platform and automated trading.

Cryptocurrencies supported: Bitcoin, Ethereum, Bitcoin Cash, Bitcoin Gold, DASH, Ripple, IOTA, NEO, OmiseGo, Quantum, Monero, Tron, ZCASH, Stellar, and Cardano.

Demo Account: Yes

Educational Material: Yes

Fees: Forex.com has a fee structure that is a mix of commissions and spreads depending on the account type. The broke offer competitive spread but has some financing fees such as inactivity fee, and stock CFDs fees.

Minimum deposit: $50.

Special Features: Forex.com offers the ActiveTrader program, which is a rebate program that can help traders to significantly reduce trading costs.

Regulation: FCA, CFTC, NFA, ASIC, FSA, IIROC, CIMA, SFC, and MAS.

Payment methods: Credit/debit card, and Wire transfer

OUR RATING

  • Unlike eToro, Forex.com offers a desktop-based trading platform - the popular MetaTrader4 and MetaTrader5
  • Forex.com offers CFD trading for residents in the United States
  • Forex.com offers traders the VPS hosting, a tool that enables traders to automate trading
  • Unlike Forex.com, eToro provides a different of social trading platform which is a better fit for beginners
  • While Forex.com charges high fees for stocks trading, eToro has no commission for stock trading in Europe

4. Markets.com - Best Platform for Market Research and Analysis

  • Unlike eToro, Markets.com provides the MetaTrader4
  • Markets.com offers great trading and research tools that include the XRay and Market Sentiment features
  • Markets.com has a zero-commission trading policy
  • Different from Markets.com, eToro is a social trading platform that gives traders the ability to interact with each other
  • Unlike Markets.com, eToro offers the CopyPortfolio tool that are an innovative investment method

How we analyzed these alternatives

All in all, eToro has a great trading platform for all types of traders. The broker provides a social trading platform with high-security levels and a wide selection of products. eToro appears to be one of the leading brokers for beginners and those who are looking for a simple-to-use online trading platform. Moreover, if you are located in the United States and wish to trade cryptocurrencies, eToro is one of the few CFD brokers that offer cryptocurrency trading for US residents. Yet, there are some alternative options that you should take into consideration if you cannot trade with eToro or looking for a desktop-based professional trading platform. Our final conclusion is based on these factors:

  • Safety and regulation: eToro is highly regulated and secure which means you should not have any concerns to trade with this broker. Yet, if eToro is not available in your country, we have collected the most well-regulated CFD brokers in the industry. Those include AvaTrade, Plus500, Forex.com (regulated in the United States), and mARKETS.COM
  • Usability: If you are looking for an easy-to-use trading platform, eToro and Plus500 are the ideal brokers to get started. 
  • Supported countries: For those who are located in the United States, eToro is the best option to trade cryptocurrencies and Forex.com is among the few brokers that offer margin trading on a wide range of products for US residents. Otherwise, AvaTrade, Forex.com and Markets.com are great platforms to get started. 
  • Fees: eToro fees are not the lowest in the market, though sometimes it is better to pay more and get more. Markets.com and Forex.com are among the top brokers with lowest fees in the industry.

eToro alternatives – Final Thoughts

The bottom line, if you are interested in social trading, then check out eToro, we highly recommend it. If you are looking for a user-friendly trading platform with a vast array of tradable products then you might consider Plus500. For those who are looking for a top regulated broker that offers a professional trading platform (like MetaTrader4) and options trading, AvaTrade and Markets.com are an ideal solution. And Forex.com is the recommended broker if you are located in the United States and looking for margin trading.

FAQs

Are there any platforms like eToro?

Yes. There are plenty of other platforms providing online trading of CFDs and cryptocurrencies. However, eToro offers a unique trading experience due to its social trading platform where traders can connect with each other. Though trading is mostly an individual journey, eToro makes it a bit different with its innovative platform and makes it a completely social trading experience.

Is eToro expensive?

eToro is not the cheapest trading platform in the market but it offers a unique trading platform and additional trading tools that differentiate the broker from other competitors in the market.

Is eToro unsafe?

No, eToro is completely safe and regulated. The fact that eToro is regulated ensures that the broker complies with regulatory requirements and must hold clients' funds in segregated accounts.

What is the lowest deposit you can start with ?

From the choices above, Forex.com maintains the lowest minimum deposit you can start with of $50.

Remember, all trading carries risk. Past performance is no guarantee of future results.
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A cryptocurrency and trading writer and editor, I specialise in algorithmic trading. I’ve written about every type of automated trading tools - from cryptocurrency robots, binary option robots, down to robo advisors. My goal is to write honest reviews about automated trading tools in order to help users understand which software are trustworthy and which ones they should stay away from. I am constantly analysing and scrutinising the up and coming trading apps so if you are seeking advice or if you would like me to write a robot review in particular don't hesitate to get in touch – I’m happy to help!

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