Since fees can seriously erode investment returns, it is important to have an overview of all trading fees before signing up for new accounts.
Opening an account on eToro is free. No handling or ticketing fees are charged. In particular, you will benefit from zero commissions when investing in stocks. Withdrawals incur a low fee of $5 and fx rates apply to deposits and withdrawals not in USD.
The price of eToro is made entirely with overnight spreads and commissions.
Like any best trading platform, eToro charges spreads. This is a commission that eToro collects based on the difference between buy and sell prices, which can fluctuate in times of high volatility. As soon as you open a new trade, you will see a “loss” in positions due to the spread.
While most other brokers charge a spread on both buying and selling an asset, eToro only charges a spread, first charged when you buy the asset and adjusted when you sell it.
In other words, it is a small percentage added to your transaction and may vary slightly depending on market conditions and between different instruments.
Below are the detailed spreads for each type of instrument:
– Stocks and ETFs (CFDs)
CFDs are transactions that do not involve the acquisition of underlying assets. CFDs allow for more flexibility, such as leveraged trading and short selling, but they incur spreads.
The spread for shares and ETFs is 0.09%.
And the spread will be charged when closing a position.
2. Overnight rates
An overnight fee, also called a rollover fee – is a payment that applies if you hold a position overnight. The overnight commission is charged when using open short (SELL) and leveraged BUY positions.
And the exact commission will be shown at the bottom of the confirmation window that opens before making the operation.