Profile
eToro Europe is a regulated multi-asset investment platform offering commission-free trading in stocks, ETFs, CFDs, and cryptocurrencies. The broker is best known for its pioneering social trading features, allowing users to copy the portfolios of other investors in real time. This eToro Europe review evaluates its regulatory standing, execution methods, supported instruments, trading conditions, platform capabilities, and client protections under EU law.
Regulation and Security
eToro Europe operates under eToro (Europe) Ltd, which is authorised and regulated by the Cyprus Securities and Exchange Commission (CySEC) under license number 109/10. As a Cyprus Investment Firm (CIF), it is also MiFID II-compliant and passported to serve clients across the European Economic Area (EEA).
Client funds are held in segregated accounts with top-tier banks. Negative balance protection is provided for retail clients, and investors may be eligible for up to €20,000 compensation under the Investor Compensation Fund (ICF) in the event of broker insolvency.
Execution Model
eToro Europe uses a market maker model for CFD trading but routes equity and ETF orders for non-leveraged trades through regulated exchanges or liquidity providers under best execution standards. CFD positions are matched internally, and eToro acts as principal to the trade.
While this introduces a conflict of interest, eToro discloses its dealing desk model transparently and does not charge commissions on stock or ETF trading. Slippage, requotes, and trade rejections are rare under normal market conditions.
Platforms and Tools
eToro offers a proprietary web-based platform and mobile app with a strong focus on social trading and usability. Key features include:
- CopyTrader – Replicate the portfolios of top-performing investors
- Smart Portfolios – Thematic investment baskets managed by eToro
- Advanced charting with TradingView integration
- Watchlists, price alerts, and portfolio analytics
No MetaTrader 4/5 support or API access is available. The platform does not cater to algorithmic traders but is highly intuitive for manual investors.
Supported Instruments
eToro Europe offers a wide selection of over 3,000 instruments across multiple asset classes:
- Stocks – Trade shares from global exchanges with 0% commission
- ETFs – Range of popular funds, commission-free for unleveraged trades
- Cryptocurrencies – Direct and CFD-based access (e.g., BTC, ETH, ADA)
- Forex – Major, minor, and exotic currency pairs (CFDs only)
- Indices – Global equity indices via CFDs
- Commodities – Gold, oil, silver, and agricultural products (CFDs)
Unleveraged stock and ETF trades are executed as real assets, while all other instruments are offered via CFDs under CySEC regulation.
Account Types and Fees
eToro Europe offers a single account structure for retail clients. Key trading conditions include:
- Minimum deposit: €50 (higher for some regions)
- Spreads: From 1 pip on major FX pairs
- Leverage: Up to 1:30 for retail clients, per ESMA guidelines
- Commission: 0% on stocks and ETFs; spreads apply on CFDs
- Overnight fees: Charged on leveraged CFD positions
Base currencies include USD only; EUR or GBP deposits are automatically converted. Order types include market, limit, stop-loss, and take-profit. There is no support for trailing stops or complex order routing.
Retail and Institutional Features
eToro Europe is focused exclusively on retail traders. Institutional services such as FIX API access, advanced liquidity, or high-frequency infrastructure are not offered. Features tailored to retail investors include:
- Social trading via CopyTrader
- Educational resources and market news
- Integrated crypto wallet (eToro Money)
- Regulatory protection under CySEC and ESMA rules
Client Protection and Transparency
As a CySEC-regulated firm, eToro Europe adheres to strict client protection protocols:
- Segregated client funds held with reputable banks
- Negative balance protection for retail clients
- Risk warnings and leverage limits under ESMA
- Participation in the Investor Compensation Fund (up to €20,000)
eToro also publishes its pricing, risk disclosures, and performance metrics for copied traders transparently within the platform. Its financials and regulatory disclosures are publicly available via the CySEC register.
Base Currencies, Order Types, and API Access
eToro only supports USD as the account base currency. Deposits in other currencies are automatically converted, incurring a conversion fee.
Supported order types include:
- Market
- Limit
- Stop-loss
- Take-profit
Trailing stops and advanced order strategies are not supported. There is no API access or third-party integration available for developers or institutions.
Pros and Cons
- Pros:
- CySEC-regulated and MiFID II-compliant
- Commission-free stock and ETF investing
- Unique CopyTrader and Smart Portfolio tools
- Wide range of assets including crypto, stocks, and CFDs
- Strong investor protections and platform transparency
- Cons:
- No MT4, MT5, or algorithmic trading support
- USD-only account base currency with FX conversion fees
- Market maker model for CFDs creates potential conflict of interest
- No support for advanced order types or trading APIs
- High spreads and overnight fees on leveraged CFD positions
Is eToro Europe a regulated broker?
Yes. eToro Europe is authorised and regulated by the Cyprus Securities and Exchange Commission (CySEC) under licence 109/10. It complies with all MiFID II regulations within the EEA.
What assets can I trade with eToro Europe?
eToro Europe offers stocks, ETFs, cryptocurrencies, forex, indices, and commodities. Real stock and ETF investing is available without leverage; all other instruments are CFDs.
Does eToro offer copy trading?
Yes. eToro pioneered social and copy trading with CopyTrader and Smart Portfolios, allowing users to replicate the strategies of top-performing investors automatically.
Is eToro Europe suitable for algorithmic trading?
No. eToro does not offer MetaTrader, FIX API, or any developer tools for automation or algorithmic execution. It is best suited for discretionary retail traders.
What protections are in place for eToro clients?
Clients benefit from negative balance protection, segregated funds, and potential coverage up to €20,000 under the Cyprus Investor Compensation Fund (ICF).
