eToro vs Trading 212
I have traded with both and I think Trading 212 is a better platform for investing for the following reasons:
1. Trading 212 ISA Account (Tax-free): this is an Individual Savings Account offered by Trading 212 and it comes as both Stocks ISA and Cash ISA. UK traders can use money saved in their ISA account to invest in stocks without paying any Income or Capital Gains taxes. eToro does not offer ISA Account and so Trading 212 is the winner here.
2. Number of Instruments: Trading 212 offers over 13,000 instruments for trading while eToro offers around 7,000.
3. FX Conversion Fees: Trading 212 fx conversion fee is 0.5% for CFDs and 0.1% for ISA accounts while eToro charges 0.75% fx conversion fees.
4. Minimum Investment (Smart Portfolios): both brokers offer ready-made investment portfolios but eToro requires a $500 minimum investment while Trading 212 requires a $1 minimum investment. Trading 212 also automates the investment so it keeps recurring according to your specified timing.
5. Daily Interest Payment on Unused Cash: Trading 212 pays you interest on a daily basis while eToro pays on a monthly basis.
However, when it comes to CFD trading I think eToro is a better option because their spreads are lower from 1 pip, and eToro has social trading which Trading 212 does not offer.
I have traded with both and I think Trading 212 is a better platform for investing for the following reasons:
1. Trading 212 ISA Account (Tax-free): this is an Individual Savings Account offered by Trading 212 and it comes as both Stocks ISA and Cash ISA. UK traders can use money saved in their ISA account to invest in stocks without paying any Income or Capital Gains taxes. eToro does not offer ISA Account and so Trading 212 is the winner here.
2. Number of Instruments: Trading 212 offers over 13,000 instruments for trading while eToro offers around 7,000.
3. FX Conversion Fees: Trading 212 fx conversion fee is 0.5% for CFDs and 0.1% for ISA accounts while eToro charges 0.75% fx conversion fees.
4. Minimum Investment (Smart Portfolios): both brokers offer ready-made investment portfolios but eToro requires a $500 minimum investment while Trading 212 requires a $1 minimum investment. Trading 212 also automates the investment so it keeps recurring according to your specified timing.
5. Daily Interest Payment on Unused Cash: Trading 212 pays you interest on a daily basis while eToro pays on a monthly basis.
However, when it comes to CFD trading I think eToro is a better option because their spreads are lower from 1 pip, and eToro has social trading which Trading 212 does not offer.
eToro also offers a Stock ISA Account for UK clients but because the ISA is offered in partnership with Moneyfarm, the account doesn't work as smoothly as that of Trading 212 due to delays in deposits reflecting because of the communication process between Moneyfarm and eToro.
Basically, I think Trading212 offers better ISA Accounts than eToro and I agree with you that Trading212 is a better investing platform than eToro.
One of the issues I think eToro has is that, they have become too big (in terms of number of clients) and because of their size, their quality of service has reduced.
eToro also offers a Stock ISA Account for UK clients but because the ISA is offered in partnership with Moneyfarm, the account doesn't work as smoothly as that of Trading 212 due to delays in deposits reflecting because of the communication process between Moneyfarm and eToro.
Basically, I think Trading212 offers better ISA Accounts than eToro and I agree with you that Trading212 is a better investing platform than eToro.
One of the issues I think eToro has is that, they have become too big (in terms of number of clients) and because of their size, their quality of service has reduced.
eToro is my preferred option for Cryptocurrency as they have 100+ crypto you can actually buy and hold. Trading 212 on the other hand offers Crypto ETFs