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Choosing the right broker is always important, especially when you are just starting trading. Your first experience with an investment app can set the course for all future interactions.
There are numerous aspects to evaluating a broker’s services. Every beginner-friendly service should have low fees, a great web and mobile trading platform, reliable customer service, great educational tools, a low (if any) minimum deposit and, above all, a simple account opening process.
To find out his expert opinion on why he chose this list The best investment appYou can hear from Prosh Rawal At Invezz, a qualified trader, investor and regular mobile app user, to find out if eToro is really the best for a novice trader.
A quick take
“eToro’s web platform will meet the needs of newcomers. It is being lightly called to start with being user-friendly.” Raval said. After providing some basic data, your account is verified, you make a deposit and you start immediately. All this takes less than a few minutes!
The platform also has a secure login and a transparent fee report. The minimum deposit is low, and its teaching materials are commendable. There are educational videos, a trading platform tutorial and the option to open a demo account.
The wide variety of crypto assets – the underlying assets as well as the CFD – is quite impressive and makes eToro a very attractive choice for novice traders.
As a side note, eToro does not offer 24/7 phone support. Although VIP club members have access to live chat.
Design
“The app’s mobile platform is usually well-designed with a decent search function, face ID and touch login,” added Prosh. It can help you get started easily. Its charts are reliable and like web platform experience. However, there are 67 web indicators compared to five. The app has no drawing tools. These would otherwise be a welcome addition to a well-integrated, clean-designed mobile app.
The eToro mobile app, which you will learn more about in the next section, has the look and feel of the web version The synced watchlist creates a seamless experience across devices. Other useful functions in the app include light and dark mode themes.
Trades
Prosh tells us that “the best feature of the trading platform is the copying of trades by experienced investors. You can also get exclusive benefits to share your trading strategies.” The platform provides a complete trading experience with thousands of tradable symbols including Securities, Forex and CFD.
You can choose between Trading CFD and the underlying asset from the Trade Ticket window, which is a valuable feature.
eToro offers crypto trading via underlying asset trading or CFD. Not all users of the platform are eligible to trade crypto CFD. More specifically, the ban affects residents of the United Kingdom and the Netherlands. Crypto trading is also not possible in France and its regions.
There are two mobile apps: eToro Money and Crypto Transfer for money and the basic eToro app. Available in both Apple App Store for iOS and Google Play for Android.
You can deposit and withdraw cash and crypto through eToro Money, a separate mobile app. eToroX holds crypto assets and acts as custodian of private cryptocurrency keys.
Fees
EToro’s general spread on the EUR / USD pair is one pip, slightly higher than the industry average. However, according to Prash, “Retailers do not choose this broker for its spread, trading fees are paid.”
The membership levels of the platform’s VIP club, Etoro Club, are descending from diamond to bronze. Your level depends on your balance. Benefits vary depending on your membership level. Special benefits of eToro Club are discounted on deposit and withdrawal fees for access to a Dedicated Account Manager and access to Trading Central.
In terms of crypto trading, eToro’s fees are close to the industry average. You provide a one-time, flat rate of 1 percent above the spread for each buy-sell position. Fees are charged when opening and closing a position.
eToro has recently adjusted its fee schedule, which is proving helpful in trading new cryptocurrencies. Doing their business at the old rate can be expensive.
Fees for cryptocurrency trading exclusively on eToroX are even lower. However, this platform does not feature the market range available on major platforms. It also does not have CFD trading.
eToro offers zero commissions for trading US stocks to all users except US based users. This is in addition to CFD share transactions. The broker also supports fractional shares.
Overall, trading fees are low. CFD Trading and Forex Fees are interesting. ETF trading is free.
One step eToro may take to attract more newcomers is to eliminate inactivity fees. There’s also a 5 withdrawal fee, but this shouldn’t be a problem if you’re monetizing!
In short
For those who want to leverage the power of copy trading, eToro is a great option. Inexperienced investors will find its intuitive interface helpful. The limits of trade and high spread will drive away active and experienced traders.