Is eToro better than XM Group? Both eToro and XM Group are top forex brokers in 2020. To determine which is the better of the two, we researched, tested, and compared them along with the top 30 best forex brokers over several months. We believe that when it comes to eToro vs. XM Group, eToro is the better broker for 2020 due to its user-friendly copy-trading platform. Of course, eToro is a bit more expensive, but based on our research, eToro provides superior results.
You can read the full eToro review here and the full XM review here.
All trading involves risk. More than 70% of investors lose money in Forex and CFD trading. As these complex instruments allow for the use of leverage, there is a high risk of losing more money than you have deposited. Before attempting to participate in spread bets and CFDs, consider how well you understand them and if you can afford to lose your money.
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High Bonuses, Now With Low Spreads! | Free Social Trading and Low Fees |
Overall Rating
Feature | XM Group | eToro |
Overall | ⭐️⭐️⭐️⭐️ | ⭐️⭐️⭐️⭐️⭐️ |
XM Group Review | eToro Review | |
73.57% of retail CFD accounts lose money | 66% of retail CFD accounts lose money |
Regulation
Feature | XM Group | eToro |
Trust Score | 81 | 91 |
Year Founded | 2009 | 2007 |
Publicly Traded (Listed) | 🚫 | 🚫 |
Bank | 🚫 | 🚫 |
Tier-1 Licenses | 2 | 2 |
Tier-2 Licenses | 1 | 1 |
Tier-3 Licenses | 0 | 0 |
Authorized in the European Union | ✅ | ✅ |
All trading involves risk. More than 70% of investors lose money in Forex and CFD trading. As these complex instruments allow for the use of leverage, there is a high risk of losing more money than you have deposited. Before attempting to participate in spread bets and CFDs, consider how well you understand them and if you can afford to lose your money.
Tier-1 Licenses
Feature | XM Group | eToro |
ASIC Authorized (Australia) | ✅ | ✅ |
IIROC Authorized (Canada) | 🚫 | |
SFC Authorized (Hong Kong) | 🚫 | 🚫 |
FSA Authorized (Japan) | 🚫 | |
MAS Authorized (Singapore) | 🚫 | 🚫 |
FINMA Authorized (Switzerland) | 🚫 | 🚫 |
FCA Authorized (UK) | ✅ | ✅ |
CFTC Registered (USA) | 🚫 | 🚫 |
Investments
Feature | XM Group | eToro |
Forex: Spot Trading | ✅ | ✅ |
Social Trading / Copy-Trading | ✅ | ✅ |
Currency Pairs (Total Forex pairs) | 57 | 47 |
CFDs - Total Offered | 1247 | 1980 |
Cryptocurrency traded as actual | 🚫 | ✅ |
Cryptocurrency traded as CFD | 🚫 | ✅ |
Offering of Investments | ⭐️⭐️⭐️⭐️ | ⭐️⭐️⭐️⭐️⭐️ |
Winner | ✅ |
Cost
Feature | XM Group | eToro |
Average Spread EUR/USD - Standard | 1.6 (as of Mar 2020) | 3 (Mar 2020) |
All-in Cost EUR/USD - Active | 0.8 (Mar 2020) | N/A |
Active Trader or VIP Discounts | 🚫 | ✅ |
Commissions & Fees | ⭐️⭐️⭐️⭐️ | ⭐️⭐️⭐️ |
Winner | ✅ |
Funding
Feature | XM Group | eToro |
Minimum Initial Deposit | $5-100 | $200 |
Bank Wire (Deposit/Withdraw) | ✅ | ✅ |
Visa/Mastercard (Credit/Debit) | ✅ | |
PayPal (Deposit/Withdraw) | ✅ | |
Skrill (Deposit/Withdraw) | ✅ | ✅ |
Trading Platforms
Feature | XM Group | eToro |
Proprietary Platform | 🚫 | ✅ |
Desktop Platform (Windows) | ✅ | 🚫 |
Web Platform | ✅ | ✅ |
Social Trading / Copy-Trading | ✅ | ✅ |
MetaTrader 4 (MT4) | ✅ | 🚫 |
MetaTrader 5 (MT5) | ||
cTrader | 🚫 | 🚫 |
Trading Tools
Feature | XM Group | eToro |
Virtual Trading (Demo) | ✅ | ✅ |
Alerts - Basic Fields | ✅ | ✅ |
Watchlists - Total Fields | (MT4/MT5) | 6 |
Charting - Indicators / Studies (Total) | (MT4/MT5) | 66 |
Charting - Drawing Tools (Total) | (MT4/MT5) | 13 |
Charting - Trade From Chart | ||
Charting - Drawings Autosave | ✅ | |
Order Type - Trailing Stop | ||
Platform & Tools | ⭐️⭐️⭐️ | ⭐️⭐️⭐️⭐️ |
Winner | ✅ |
Mobile Trading
Feature | XM Group | eToro |
Android App | ✅ | ✅ |
Apple iOS App | ✅ | ✅ |
Trading - Forex | ✅ | ✅ |
Trading - CFDs | ✅ | ✅ |
Alerts - Basic Fields | ✅ | 🚫 |
Watch List | ✅ | ✅ |
Watch List Syncing | ✅ | ✅ |
Charting - Indicators / Studies | (MT4/MT5) | 5 |
Charting - Draw Trend Lines | ✅ | |
Charting - Trend Lines Moveable | 🚫 | 🚫 |
Charting - Multiple Time Frames | ✅ | |
Charting - Drawings Autosave | 🚫 | 🚫 |
Forex Calendar | 🚫 | 🚫 |
Mobile Trading | ⭐️⭐️⭐️ | ⭐️⭐️⭐️⭐️ |
Winner | ✅ |
Research
Feature | XM Group | eToro | |
Daily Market Commentary | ✅ | ✅ | |
Forex News (Top-Tier Sources) | ✅ | 🚫 | |
Weekly Webinars | ✅ | ||
AutoChartist | ✅ | 🚫 | |
Trading Central (Recognia) | 🚫 |
| |
Delkos Research | 🚫 | 🚫 | |
Social Sentiment - Currency Pairs | ✅ | ✅ | |
Economic Calendar | ✅ | ✅ | |
Research | ⭐️⭐️⭐️ | ⭐️⭐️⭐️⭐️ | |
Winner | ✅ |
Education
Feature | XM Group | eToro |
Has Education - Forex | 🚫 | ✅ |
Has Education - CFDs | 🚫 | 🚫 |
Client Webinars | ✅ | ✅ |
Client Webinars (Archived) | 🚫 | 🚫 |
Videos - Beginner Trading Videos | ✅ | ✅ |
Videos - Advanced Trading Videos | ✅ | ✅ |
Investor Dictionary (Glossary) | 🚫 | ✅ |
Education | ⭐️⭐️⭐️⭐️ | ⭐️⭐️⭐️⭐️ |
Winner | ✅ |
Major Forex Pairs
Feature | XM Group | eToro |
GBP/USD | ✅ | ✅ |
USD/JPY | ✅ | ✅ |
EUR/USD | ✅ | ✅ |
USD/CHF | ✅ | ✅ |
USD/CAD | ✅ | ✅ |
NZD/USD | ✅ | ✅ |
AUD/USD | ✅ | ✅ |
Overall
Feature | XM Group | eToro |
XM Group Review | eToro Review | |
Overall | ⭐️⭐️⭐️⭐️ | ⭐️⭐️⭐️⭐️⭐️ |
Winner | ✅ |
Analyzing various forex brokers can be challenging, but after months of testing and research, we compiled the following review.
Price differences between eToro and XM Group
When it comes to trading costs, an accurate comparison is difficult to achieve because fees, commissions, and spread data are often not easily accessible. But our annual analysis for both trading platforms revealed that XM forex has better prices.
Safety concerns for forex and CFDs trading with eToro and XM Group
Since we’re committed to keeping track of over 30 forex and CFD brokers using several international databases, we came up with the following conclusion. eToro and XM Group come with two global Tier-1 licenses and one Tier-2 license. For this reason, we rated both eToro and XM Group with a trust score of 91.00.
What to choose: eToro vs. XM Group?
After analyzing all the features and capabilities of both trading platforms, we concluded that eToro provides a better experience. The best part is that eToro comes with superior market research and an excellent mobile trading app.
Are these forex broker tools suitable for MetaTrader and copy trading?
The most common and frequently used platform for forex and CFD trading is MetaTrader 4. XM Group offers access to MetaTrader 4, while eToro does not. Copy trading is a fantastic trading style that eToro has pioneered. XM Group also offers copy trading through MetaTrader 4; however, the copy-trading platform at eToro is easier to use, faster, and more intuitive than MetaTrader 4.
Which forex pairs and CFDs are available with eToro and XM Group?
XM Group offers 57 currency pairs (e.g., USD/EUR), while eToro has only 47. However, we recommend eToro because it offers 1980 CFDs compared to XM Group, which only provides 1247. That’s a difference of over 700 financial instruments.
Verdict
When it comes to choosing between eToro and XM Group, based on our research and testing, eToro is the better broker.
