I’m trying to understand why eToro isn’t what it advertises, and I still don’t get it. I know absolutely nothing of Forex, but I saw eToro on a Facebook Add and figured I could just check it out.
The thing is, I know there is no easy money. And yet, I created an account on eToro with imaginary money, copied the best traders, and it seems I have a 2% profit over night, which seems WAY too good to be true.
Before I commit any time or money to this, what am I missing here? If this was real money, would I actually have made 2% profit from doing nothing, or is there a catch?
If these traders have a 99,6% of good trades, how can I lose any money copying them? Are there huge fees I am unaware of?
It can’t be right that I can just throw my money there and let it grow automatically…
have a look at my thread “Forex Trading Signals – Alternative to Robots?” here on
babypis. I’m trying to get a solution for this question and will continue next days.
May you’ll get some answers on your questions too.
If this was real money, would I actually have made 2% profit from doing nothing, or is there a catch?
Are there huge fees I am unaware of?
Yes, this is exactly how it works. The fees are the same in the demo account as they are with real money. So the percentage of profits are the same as the person you are copying.
If these traders have a 99,6% of good trades, how can I lose any money copying them?
Please keep in mind that past performance is not necessarily an indication of future results. So if a trader has done well in the past it’s usually a good indication but not any sort of guarantee.
Social trading is still in its infancy but eToro is glad to be at the forefront of this innovative new way of investing. We have many clients who are doing quite well using the CopyTrader so feel free to contact them directly on the Social Investment Network or come visit my wall with with any questions I’ll be glad to assist you personally.
Best regards,
Mati Greenspan
eToro Investment Analyst
Username: @Matisyahu3
If they are winning, you can’t, but you give them a small portion of your profit. But it’s not everyday that a good trader wins though. Also, remember to only invest on money where you can afford to lose.
This is good advice. As with any investment, you should not invest more than you can afford. Proper money management is the key to making money. Here’s a post I’ve written about how to manage a successful portfolio based on personal appatite for risk.
One correction on what you said though. The top traders in eToro are receiving direct payment from us, so those copying them do not have to pay any portion of their profits. The fees as with any broker are calculated by the spreads and there are no additional charges for copying someone else’s portfolio.
Let me know if you have any further questions on this.
Best regards,
Mati Greenspan
eToro Investment Analyst
Username: @Matisyahu3
