Plus500 vs eToro
Want to jump straight to the answer? For new traders who need a bit of extra assistance or want to copy trade leaders, eToro is the hands-down winner.
Regarding CFD trading, Plus500 and eToro are two options that traders often recommend. While Plus500 presents an overall professional interface, eToro uniquely implements a social aspect to trading with leaderboards and trade copying.
Unfortunately, eToro limits U.S. traders to just cryptocurrency. However, US traders are able to trade on the Plus500 Futures platform. In this Plus500 vs eToro guide, we cover what you should know about each platform to help you make an informed decision on which is best for you. We take a look at:
- Features and Platforms
- Available Markets
- Typical Spreads and Fees
- Security and Trust
- Plus500 vs eToro - Verdict
 |  | |
Headquarters | Israel | Israel |
Regulators | ASIC, CySEC, FCA, FMA, FSCA, MAS | ASIC, CySEC, FCA, FSA |
Tier 1 Regulator(s)? | ||
Owned by Public Company? | ||
Year Established | 2008 | 2007 |
Execution Type(s) | Market Maker | Market Maker |
Minimum Deposit | $100 | $50 - $10,000 |
Negative Balance Protection | ||
Trading Platform(s) | Proprietary platform, Web-based | Proprietary platform |
Average Trading Cost EUR/USD | 1.3 pips | 1.0 pips |
Average Trading Cost GBP/USD | 1.7 pips | 2.2 pips |
Average Trading Cost WTI Crude Oil | $0.04 | $0.05 |
Average Trading Cost Gold | $0.34 | $0.45 |
Retail Loss Rate | 80.00% | 74% |
Minimum Raw Spreads | Not applicable | 0.8 pips |
Minimum Standard Spreads | Not applicable | 1.3 pips |
Minimum Commission for Forex | Commission-free | $0.00 |
Islamic Account | ||
Signals | ||
US Persons Accepted? | ||
Managed Accounts | ||
| Get Started | Get Started |
80% of retail CFD accounts lose money
Features and Platforms
| | |
MT4 | ||
MT5 | ||
MT4/MT5 Add-Ons | ||
cTrader | ||
Proprietary Platform | ||
Automated Trading | ||
Social/Copy Trading | ||
DOM? | ||
Guaranteed Stop Loss | ||
Scalping | ||
Hedging | ||
One-Click Trading | ||
OCO Orders | ||
Interest on Margin | ||
| Get Started | Get Started |
Plus500
As an online CFD platform, Plus500's interface is clean and straightforward. Where other platforms excel in research and advanced analytics, Plus500 shines through its ease-of-use.
The interface includes everything you would expect on a CFD trading platform. Outside of standard buy and sell orders, you can set Guaranteed and Trailing Stops as well as Close at Profit and Close at Loss orders. Most of the advanced trading options are free of charge except for the Guaranteed Stop, which comes with an additional spread.
If you want to “try before you buy,” so to speak, you get unlimited free trades on Plus500’s demo account.
To help give you an edge on other traders, Plus500 has two primary tools - an economic calendar and real-time alerts. The economic calendar lists upcoming market data reports for various countries and what the expected impact is for related markets.
Using Plus500 alerts, you can create specific criteria regarding trader sentiment, price movements, and change percentages. The platform will notify you via SMS, email, or push notifications when the market hits those criteria.
eToro
Your capital is at risk.
eToro’s value comes from its social trading features. You can create a profile on the platform that gives you access to:
- a social feed (similar to Facebook)
- your trading statistics,
- the portfolios of other traders,
- and a chart predicting what a $10,000 investment into your portfolio would net over time.
If you’re new to trading or don’t want to create a strategy, you have the option to copy the moves of another trader. The most popular (highly copied) traders on the platform receive up to two percent of their assets under management (AUM) as a reward.
Like Plus500, eToro includes an economic calendar with market-influencing events. Regarding education, eToro extends far beyond the offerings of Plus500. The company hosts live webinars, creates online training courses, and presents trading educational videos in its Trading Academy.
Both Plus500 and eToro provide web, iOS, and Android platforms from which you can trade.
Available Markets
| | |
Currency Pairs | ||
Cryptocurrencies | ||
Commodities | ||
Crude Oil | ||
Gold | ||
Metals | ||
Equity Indices | ||
Stocks | ||
Stocks (non-CFDs) | ||
Bonds | ||
ETFs | ||
Options | ||
Futures | ||
Synthetics | ||
| Get Started | Get Started |
Typical Spreads and Fees
| | |
Average Trading Cost EUR/USD | 1.3 pips | 1.0 pips |
Average Trading Cost GBP/USD | 1.7 pips | 2.2 pips |
Average Trading Cost WTI Crude Oil | $0.04 | $0.05 |
Average Trading Cost Gold | $0.34 | $0.45 |
Average Trading Cost Bitcoin | $78 | $574 |
Minimum Raw Spreads | Not applicable | 0.8 pips |
Minimum Standard Spreads | Not applicable | 1.3 pips |
Minimum Commission for Forex | Commission-free | $0.00 |
Deposit Fee | ||
Withdrawal Fee | ||
Inactivity Fee | $10 monthly after 3 months | $10 monthly after 12 monthd |
| Get Started | Get Started |
Both brokers offer commission-free Forex spreads, but Plus 500 maintains an edge due to its dynamic, market-dependent cost structure versus minimum spreads of 1.0 pips at eToro, allowing active traders to achieve a cost advantage.
Security and Trust
| | |
Country of the Regulator | United Arab Emirates, Australia, Cyprus, Estonia, Israel, New Zealand, Seychelles, Singapore, United Kingdom, South Africa | Australia, Cyprus, Seychelles, United Kingdom |
Name of the Regulator | ASIC, CySEC, FCA, FMA, FSCA, MAS | ASIC, CySEC, FCA, FSA |
Regulatory License Number | 509909, 250/14, 417727, 486026, 47546, SD039, 100648-1, NOT AVAILABLE, 4.1-1/18, F005651 | 491139, 109/10, 583263, SD076 |
| Get Started | Get Started |
Plus500 Vs eToro – Verdict
With lower spreads and a more extensive array of tradable currencies, we recommend Plus500 for serious traders.
For more casual traders or those just starting with trading, eToro is the platform for you. The Trading Academy and social capabilities provide you with the tools you need to learn the ropes and improve your craft.
You may even find it beneficial to start with eToro and switch to Plus500 once you’ve reached your desired skill level.
80% of retail CFD accounts lose money
You might also be interested in reviewing the below broker comparisons:
- Plus500 vs Cityindex
- Plus500 vs Pepperstone
- Plus500 vs Interactive Brokers
- eToro vs IC markets
- eToro vs Eightcap
- eToro vs FP markets
FAQs
Does Plus500 or eToro offer lower pricing?
Plus500 maintains a significantly superior cost structure. The EUR/USD carries a spread of 0.6 pips versus an unacceptable 3.0 pips at eToro. Considering additional fees, like a flat withdrawal fee by eToro, and traders are at a considerable disadvantage at eToro.
Is Plus500 or eToro safer for Forex and CFDs trading?
While both brokers feature a secure trading environment, eToro has a slight edge thanks to its clan regulatory track record. The Cyprus Securities and Exchange Commission (CySEC), the UK Financial Conduct Authority (FCA), the Australian Securities and Investments Commission (ASIC), and FinCEN in the US provide regulatory oversight. Plus500 is regulated by the UK Financial Conduct Authority (FCA), which issued a fine in 2012 for not reporting transactions accurately. In 2017 it also misled shareholders regarding its exposure to client accounts.
Which trading platform is better: Plus500 or eToro?
Neither broker maintains a proper trading platform, as both proprietary solutions are below standard. While essential features are absent at both, eToro offers a better choice due to ongoing additions of features.