eToro is ASIC-regulated (FRN: 583263) and offers AFCA protection up to A$85,000.
CopyTrader lets you automatically replicate successful traders' strategies.
Commission-free stock trading but 1% fee on crypto transactions.
Minimum deposit of $50 for Australia users with an easy-to-use mobile app.
Best suited for beginners and social traders; less ideal for advanced technical traders.
Platform Overview
eToro has established itself as one of the most recognisable trading platforms globally, serving over 30 million users. For Australian investors, eToro is regulated by the Australian Securities and Investments Commission (ASIC) under Financial Register Number 583263, providing the regulatory protection that comes with ASIC oversight.
The platform's standout feature is social trading, allowing users to see what other traders are doing and copy their strategies automatically. This democratises access to trading strategies that would otherwise require significant expertise.
Key Features
CopyTrader
eToro's signature feature allows you to allocate funds to automatically replicate the trades of experienced investors. You can browse top-performing traders, view their historical performance, risk scores, and portfolio composition before deciding to copy them.
Smart Portfolios
Professionally managed thematic portfolios that bundle assets around specific themes such as renewable energy, big tech, or cryptocurrency. These offer a diversified approach without requiring individual stock selection.
Commission-Free Stocks
eToro offers commission-free trading on stocks and ETFs, making it competitive for equity investors. However, the spread may be wider than some specialist brokers.
Fees and Charges
Stock and ETF trading carries no commission. Cryptocurrency trades incur a 1% fee. A $5 withdrawal fee applies, and there is a $10 monthly inactivity fee after 12 months of no activity. Currency conversion fees of 0.5% apply for non-USD deposits.
While the headline commission-free offering is attractive, the ancillary fees can add up, particularly for frequent withdrawals or inactive accounts.
Regulation and Safety
eToro (Australia) Ltd is authorised and regulated by the ASIC (FRN: 583263). Client funds are held in segregated accounts, and Australia clients are covered by the AFCA up to A$85,000. This provides meaningful protection that unregulated platforms cannot offer.
Who Is eToro Best For?
eToro is best suited for beginner to intermediate traders who value social features and an intuitive interface. The CopyTrader feature is particularly useful for those who want market exposure without developing their own trading strategies. It is less suitable for advanced traders who require sophisticated charting tools or direct market access.
Our Verdict
eToro offers a solid, well-regulated platform with innovative social trading features. While fees could be more competitive in some areas, the combination of ASIC regulation, user-friendly design, and CopyTrader functionality makes it a strong choice for Australia beginners. We rate it 8/10.
Risk Disclosure: Trading and investing carries significant risk. Your investments can fall as well as rise. CFDs carry high risk of rapid loss due to leverage. Cryptocurrency is not ASIC-regulated and not covered by AFCA. This is information only, not financial advice. Seek independent advice before investing.
Frequently Asked Questions
Is eToro safe to use in Australia?
Yes. eToro is regulated by the ASIC and client funds are protected by AFCA up to A$85,000. It is one of the most widely used regulated platforms in Australia.
What are eToro's fees?
Stocks are commission-free. Crypto carries a 1% fee. Withdrawals cost $5, and there is a $10 monthly inactivity fee after 12 months.
Can I buy real crypto on eToro?
Yes. eToro allows you to buy and hold real cryptocurrency. You can also transfer crypto to the eToro Money wallet for external use.
What is CopyTrader?
CopyTrader allows you to automatically replicate the trading activity of experienced investors. You choose who to copy based on their performance history and risk score.
What is the minimum deposit on eToro Australia?
The minimum deposit for Australia users is $50 (approximately A$40). Deposits can be made via bank transfer, debit card, or e-wallets.
Does eToro offer an ISA?
eToro does not currently offer a Stocks and Shares ISA. For ISA investing, consider platforms like Trading 212 or AJ Bell.
