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eToro vs. FXCM

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eToro and FXCM are leading online forex brokers with social trading tools. eToro has a long track record, and it offers excellent trading tools. It has a reliable proprietary platform and a dedicated social trading space. eToro has top-tier licenses from the ASIC and FCA. We recommend it for experienced traders, as it has limited research and educational tools. 

Broker NameeToroFXCM
Year Founded20071999
RegulationFCA, ASIC, CySECASIC, FCA, IIROC
Tradable AssetsStock, ETF, Forex, Fund, Bond, Options, Futures, CFD, Crypto, Warrants, Structured ProductsForex, CFDs
Min Deposit$200Starts from $50-£300 (depending on location)
Min Trade$0$0
PlatformsWeb, Social TradingTrading Station, MT4
DepositFree of chargeFree of charge
WithdrawalsFree of chargeFree of charge

FXCM is one of the leading forex brokers with beginner-friendly and advanced trading tools. It has an excellent education portal with tutorials and forex education topics. FXCM offers professional research tools and MT4. It has licenses from the IIROC, ASIC, and FCA. It is a top choice for traders of all levels of experience as it has a versatile portfolio. 

This article discusses the strengths and weaknesses of eToro and FXCM. 

Top findings from the eToro vs. FXCM review:  

  1. eToro is the leading social trading broker with access to major forex pairs. 
  1. FXCM is the leading forex broker with a reliable educational portal. 
  1. Both brokers offer an active trader discount and a virtual trading account. 

We recommend eToro to advanced traders who want access to premium social trading tools. FXCM is a better choice for beginners, as it offers valuable educational materials. 

Overall Rating

FeatureeToroFXCM
Overall44
Commissions & Fees43.5
Offering of Investments4.54
Platforms & Tools44.5
Mobile Trading44
Research44
Education44
Trust Score9393
WinnerYES
67% of retail CFD accounts lose moneyBetween 74-89% of retail CFD accounts lose money

Level of experience  

eToro is the leading social trading broker with professional tools. It offers premium research tools, including social sentiment and an economic calendar. eToro has limited research and education tools, which is why it’s a better choice for experienced traders. 

FXCM has many platform choices to match different trading styles and skills. It offers a reliable educational portal with helpful information. FXCM has forex education, webinars, and beginner and advanced trading videos. It is a top choice for new traders. 

Fees  

eToro has an initial deposit fee of $200, while FXCM starts from $50-£300, depending on your location. The average EUR/USD spread at eToro is 1, while at FXCM is 1.4. Both brokers offer an active trader discount. 

Assets  

eToro has 47 forex currency pairs, while FXCM has 39 available pairs. eToro offers access to 2314 CFDs, while FXCM has 82 available CFDs. 

Trading platform  

eToro has an outstanding social trading experience with dedicated platforms and tools. It offers a virtual trading account and a reliable social trading app. eToro is a top choice for professional traders, as its market data is limited. 

FXCM has a proprietary platform, Trading Station, and MetaTrader4. It provides access to many technical indicators and advanced tools. FXCM is a recommended choice for new traders because of its dedicated learning center. It provides access to third-party market data and daily technical levels. 

Banking services  

Banking services contribute to an excellent online trading experience. eToro has six funding solutions, including bank transfers, credit/debit cards, PayPal, and Skrill. FXCM offers bank transfers, credit/debit cards, and Skrill. 

Final verdict  

eToro and FXCM are leading online brokers. Both have strengths and weaknesses depending on your trading skills, knowledge, and needs. We recommend eToro to advanced traders who want access to premium social trading tools. FXCM is a better choice for new investors, as it has a dedicated learning center. 

eToro compared to other brokers:

eToro review


Methodology 

The mission of Business24-7 is to provide comprehensive, unbiased ratings and reviews of online providers. User experience, the mobile experience, customer service, costs and fees, security, the quality of trade executions, the products available on their platforms are all part of our six-month evaluation of a providers’s platform. The rating scale was based on thousands of data points that have been weighted into the scoring system.

Providers were also required to fill out a multi-point survey regarding every aspect of their platform. In-person demonstrations and evaluations were provided by the majority of the online providers we reviewed.

Stefan Grasic, along with our team of industry experts, conducted our reviews and developed this methodology for ranking what form is used in online investing.

Business24-7 maintains high editorial standards and provides the best advice and recommendations. The products and companies that we review may compensate us when you click on the links on this website. Click below to find out more about our review process and methodology.

Disclosure

All trading involves risk. More than 80% of investors lose in spread bet 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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Braden Chase is an investor, trading specialist, and former research specialist for Forex.com who helps aspiring investors develop the confidence and habits they need to make an income from the market. Braden has served as a registered commodity futures representative for domestic and internationally-regulated brokerages and has also spoken & moderated numerous forex and finance industry panels across the globe.

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