Six advantages of the popular investment platform eToro

BlogJanuary 18, 2022 – The broker you should try to trade cryptos & US stocks. Learn more!

EToro is the most popular social trading platform in the world. The investment platform eToro was born in 2007 and since then has attracted millions of users in more than 140 countries. eToro can attract such a large user base because of its many outstanding features and a friendly interface that is easily accessible for both beginners and professional traders.

1. Security

Six advantages of the popular investment platform eToro
The platform is also subject to multiple regulations

Transaction security on eToro has quite a few layers. First of all, customer deposits are deposited into special accounts if the company goes into trouble. Personal data is then encrypted in transactions using SSL certificates. The platform is also subject to multiple regulations, through ESMA, CySEC (Europe), FCA (UK), and ASIC (Australia). The Czech National Bank also supervises the broker’s activities in the Czech Republic.

eToro also offers free investment insurance, protecting clients’ capital up to $1 million. This insurance is automatically received by the customer and covers the loss suffered by the customer if the company is insolvent.

In addition, each client can use a demo account. Clients can use a demo account with pre-funded virtual capital up to $100,000. Customers can use this virtual capital to practice their familiarity with the trading platform without risk. A demo account is a valuable tool for beginner investors.

2. Diversified investment products

After having a trading account on eToro, customers will choose trading products. The essential product is an investment in securities (company shares) with no volume restrictions. You can buy shares with a minimum amount of 10 USD.

Another product for trading is cryptocurrency. eToro also offers staking services. The customer will receive a “reward” for holding the purchased cryptocurrency in his account for this service. The minimum amount for electronic transactions is 10 USD.

You can also trade through CFD contracts, where the client does not own any of the underlying assets. Customers only speculate on the price increase or decrease of the product. You can trade currencies, commodities, stocks, indices, and more through CFDs. eToro also allows you to use financial leverage, where clients can use capital higher than available.

3. Simplicity

One of eToro’s most significant advantages over its competitors is its user-friendly platform. The interface of eToro will help investors who are new to the financial markets to get started without too much difficulty. In addition to the web interface, eToro also offers apps for smartphones running Android and iOS.

The eToro trading platform also offers a Copy Trading demo account that allows users to copy trades of experienced investors. So we can say that this exchange is a great place to start for new traders.

4. Social trading

The eToro platform also serves as a social network for eToro traders and investors worldwide.

This social network makes it possible for users to track the activities of millions of other users on the eToro exchange. Among them are the world’s top investors. You can copy and learn their strategies and apply your own. Users can communicate with each other and share their thoughts and ideas. Thus, the entire platform becomes an effective investment tool and an educational channel for users.

5. Copy User’s Transaction on investment platform eToro

Six advantages of the popular investment platform eToro
eToro offers the ability to copy other users’ investments

As mentioned above, eToro offers the ability to copy other users’ investments. Clients can consult other traders’ portfolios and trading strategies with this feature. This is a unique feature that makes the eToro exchange so popular.

Clients can seamlessly follow the world’s top investors thanks to the platform’s built-in tools. Then automatically execute trades similar to those of the investors they copy. In addition, users can filter sellers with similar interests and investment ranges. This feature does not guarantee a profit for the copyist, but it minimizes possible losses, especially for beginner investors.

eToro has also launched the Popular Investor program. In which famous investors will get a commission from the trading volume of followers and copy them.

6. Portfolio

In 2016, eToro launched a new investment tool, the Smart Portfolio. This feature allows users to pay for access to predefined portfolios.

These portfolios are created and managed directly by the investment team of the eToro broker and contain several different combined assets or traders. This makes a package of carefully selected products from various dynamic industries. Each user can choose the one that best suits them. Contrary to the classic form of trading, this is an optimized investment strategy.

You will also find portfolios managed by external management companies in the portfolio proposal.

Summary of the benefits of the investment platform eToro

The eToro platform is not the only way to manage your investments. However, its services and clean interface represent at least a quality and accessible alternative. Therefore, it is no wonder that it is one of the most widely used brokers globally.

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