Financial company eToro was established in Israel in 2006 and its main research and development office is located there. There are two branches now – eToro (Europe) Ltd that is regulated by the Cyprus Securities and Exchange Commission (CySEC) and eToro (UK) Ltd that is authorized and regulated by the Financial Conduct Authority (FCA).
The broker offers varieties of trading instruments such as currency pairs, shares, commodities and indices. It allows clients to connect with other traders, discuss strategies and automatically copy their deals.
Company provides its own developed trading platform called new eToro. It integrates all features of the old eToro WebTrader and the social network eToro OpenBook. New eToro platform is also available as an application for iOS and Android.
The maximum offered leverage is 1:400 and this could increase the risk of loss. However, there is negative balance protection and clients cannot lose more money than they have in their account.
The company claims to be a market maker, which means it adds a spread commission as a profit. That could lead to potential conflicts of interests with the customers. The company claims also it executes client’s orders as a combination of STP and NDD broker. That means not every deal is forwarded to liquidity providers and although NDD services are provided, clients could be re-quoted and stop loss orders could be executed at a different price during the rapid price movements.
The minimum amount of the initial deposit varies from USD50 to USD1000 depending on client’s region and country. The minimum withdrawal amount is USD20 and there are fees from USD5 to USD25 depending on the withdrawal amount.