Considering the huge number of brokers available today, these two companies, eToro and FXTM, have managed to set themselves apart. This is good for traders around the world, although it also makes the choice between them more difficult. To find the best broker for you, therefore, you would have to look at specific features about the brokers.
eToro was launched in 2007 with the goal of tapping into the rapidly growing retail Forex market, and by now the company boasts of having over 9 million clients worldwide. The company’s services have also morphed over the years to better serve its clients, which has made eToro one of the most popular brokers in the world.
Not to be outdone, FXTM is also a global company, although with less clients compared to eToro. It was founded in 2011 and now has over a million clients worldwide. Nevertheless, this company’s services are very competitive, as you shall see in the next sections.
To start trading on eToro, you need to make a deposit of at least $200, after which you need to make $50 deposits or more. The good news is that these deposits are free, but withdrawals will cost you $25. You will be able to make your deposits through various methods including credit card, wire transfer and electronic wallets such as Skrill, Neteller, Perfect Money, etc.
On FXTM, however, the minimum requirement is $100 or equivalent in EUR or GBP. For subsequent deposits, you would still need to have a minimum of $100. Withdrawals here are free to make, making it more affordable compare to eToro, and there are also a lot more funding methods. Where eToro sticks to mainstream funding methods, FXTM includes local transfers such as those in Kenya, Nigeria, Ghana, Indonesia, India, Pakistan, etc. as well as cryptocurrencies.
Winner is FXTM for having more funding methods and cheaper withdrawals.
Regulation enhances security of client funds, and eToro is not short of regulation through its subsidiaries. eToro UK operates in the EU with a license from the FCA (FRN 583263), eToro Europe has a license from CySEC (license number 109/10) to operate across Europe while eToro AUS is available thanks to a license from ASIC (Services License 491139). These licenses allow clients from all over the world to join, with the exception of the US and Japan.
FXTM has even more subsidiaries and licenses including ForexTime UK (FRN 777911) from the FCA, ForexTime Limited (185/12) from CySEC, Exinity Limited (license number C113012295) from the FSC of Mauritius and ForexTime (FSP No. 46614) from FSCA of South Africa. Hence, FXTM can also sign up clients from all over the world.
Winner is FXTM.
Trading on eToro is done either on PC/Mac from a web-based platform or on mobile from downloadable apps for iOS and Android. Whereas one can trade on FXTM from MetaTrader 4, MetaTrader 5, a web-based platform as well as apps for mobile devices.
Therefore, winner is FXTM.
Brokers are supposed to give access to different markets, and eToro offers CFDs for stocks, Forex pairs, commodities, indices, ETFs and cryptocurrencies. If one opts out of using leverage, they would have access to real assets including stocks, ETFs and cryptocurrencies. Meanwhile, FXTM only offers CFDs for stocks, cryptocurrencies, commodities, indices and Forex pairs.
Winner is eToro
After all categories are considered, the final winner is FXTM