Written by ForexBrokers.com
In this head to head comparison of eToro vs FXCM, we will compare the trading platforms, mobile apps, range of investments, costs, market research, and more. Let's dive in.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 51% and 89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
eToro, established in 2007, and FXCM, founded in 1999, are prominent names in the online trading world, each boasting high trust ratings. According to ForexBrokers.com, eToro scores an impressive 96 out of 99, while FXCM follows closely with a score of 95. Both companies are publicly traded and operate with a commendable level of transparency, but neither functions as a bank.
When it comes to regulatory credentials, eToro holds three Tier-1 licenses signifying a high level of trust, alongside one Tier-2 license. On the other hand, FXCM is slightly ahead with four Tier-1 licenses and two Tier-2 licenses, offering a robust safety net for traders. This regulatory backing reflects the commitment both brokers have towards maintaining high standards and safeguarding investor interests.
| Feature |
eToro
|
FXCM
|
|---|---|---|
| Year Founded | 2007 | 1999 |
| Publicly Traded (Listed) | Yes | Yes |
| Bank | No | No |
| Tier-1 Licenses | 3 | 4 |
| Tier-2 Licenses | 1 | 2 |
| Tier-3 Licenses | 0 | 0 |
| Tier-4 Licenses | 1 | 0 |
eToro and FXCM present distinct offerings when it comes to commissions and fees, each catering to different trading preferences. eToro, a market-maker broker, provides a typical variable spread of 1 pip on the EUR/USD, which is slightly above the industry average. Retail traders often prefer eToro for its innovative social copy trading features rather than its spreads. This broker also offers a VIP program known as eToro Club, which includes five membership tiers offering exclusive benefits such as access to Trading Central, lower withdrawal and deposit fees, and dedicated account management. With an overall rating of 4.5 stars and a ranking of #22 among 63 brokers for commissions and fees, eToro stands as a solid choice for traders seeking a social trading focus.
On the other hand, FXCM delivers slightly higher average spreads across its entities, particularly noted in its St. Vincent and the Grenadines offering. Despite this, FXCM's commission-based accounts showcase average spreads of 0.28 pips, excluding commissions, as of May 2024. Through its Active Trader Rebate Program, FXCM offers noteworthy discounts on trading volumes over $10 million per month, yet the broker's overall pricing for active traders still faces stiff competition from others like Tickmill and FP Markets. FXCM earns a 4-star rating with a commission and fees ranking of #24 out of 63 brokers, making it a viable option for those who can leverage its rebate program effectively.
Both eToro and FXCM cater to specific trading needs, with eToro focusing on a broader social trading experience enhanced by its VIP benefits, and FXCM offering variable pricing and rebates for high-volume traders. Each broker's strength lies in different aspects of their service, making the choice largely dependent on individual trading strategies and preferences.
| Feature |
eToro
|
FXCM
|
|---|---|---|
| Minimum Deposit | $50-$10,000 | Starts from $50 |
| Average Spread EUR/USD - Standard | 1 | 0.78 |
| All-in Cost EUR/USD - Active | N/A | 0.78 |
| Active Trader or VIP Discounts | Yes | Yes |
| ACH or SEPA Transfers | Yes | Yes |
| PayPal (Deposit/Withdraw) | Yes | Yes |
| Skrill (Deposit/Withdraw) | Yes | Yes |
| Visa/Mastercard (Credit/Debit) | Yes | Yes |
| Bank Wire (Deposit/Withdraw) | Yes | Yes |
Dive deeper: Best Low Spread Forex Brokers.
When comparing the range of investments offered by eToro and FXCM, eToro stands out with a significantly broader selection. eToro provides access to 5,461 tradeable symbols, dwarfing FXCM's offering of 440. In terms of forex trading, both brokers allow trading as CFDs, with eToro offering 55 forex pairs compared to 43 pairs at FXCM. Moreover, eToro provides the ability to buy actual U.S. and international exchange-traded securities, such as Apple and Vodafone shares, which is not available with FXCM. Both platforms support copy trading and the purchase of cryptocurrency derivatives, but eToro allows users to directly buy real cryptocurrencies, a feature absent from FXCM's offerings.
These differences in investment options are reflected in their ratings and rankings for the range of investments category. eToro receives a top rating of 5 stars and is ranked #10 among 63 brokers, emphasizing its comprehensive selection. Contrarily, FXCM is rated 3.5 stars, placing it at a lower rank of #47. This comprehensive access to a wide variety of investments, from traditional stocks to digital currencies, highlights eToro as a more versatile platform for diverse investment needs. Overall, for those seeking extensive market opportunities, eToro proves to be the more accommodating choice.
| Feature |
eToro
|
FXCM
|
|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes |
| Tradeable Symbols (Total) | 5461 | 440 |
| Forex Pairs (Total) | 55 | 43 |
| U.S. Stock Trading (Non CFD) | Yes | No |
| Int'l Stock Trading (Non CFD) | Yes | No |
| Social Trading / Copy Trading | Yes | Yes |
| Cryptocurrency (Physical) | Yes | No |
| Cryptocurrency (Derivative) | Yes | Yes |
| Disclaimers | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). |
Dive deeper: Best Copy Trading Platforms.
When comparing eToro and FXCM, both brokers provide some compelling options for trading platforms and tools. For those interested in simulated or demo trading, both eToro and FXCM have a virtual demo account available, which is ideal for beginners to practice without financial risk. They each offer unique proprietary platforms, with eToro focusing on an entirely web-based experience, while FXCM provides both web and Windows desktop platforms. However, only FXCM supports the popular MetaTrader 4 platform, a favorite among experienced traders, while eToro does not. In addition, copy trading is available with both brokers, though FXCM further extends its reach by supporting ZuluTrade, which eToro does not.
When it comes to charting tools, eToro stands out with an impressive 161 drawing tools, much more than FXCM’s 10. Nevertheless, FXCM facilitates trading directly from a stock chart, a feature eToro lacks. Regarding watch lists, FXCM again offers more versatility with 13 columns for fields, compared to eToro’s six. Despite these differences, both platforms are highly regarded for their trading tools, with FXCM edging out slightly in overall ratings at five stars, compared to eToro’s 4.5. This marginal difference is also reflected in their rankings by ForexBrokers.com, where FXCM ranks sixth and eToro eighth among 63 brokers.
| Feature |
eToro
|
FXCM
|
|---|---|---|
| Virtual Trading (Demo) | Yes | Yes |
| Proprietary Platform | Yes | Yes |
| Desktop Platform (Windows) | No | Yes |
| Web Platform | Yes | Yes |
| Social Trading / Copy Trading | Yes | Yes |
| MetaTrader 4 (MT4) | No | Yes |
| MetaTrader 5 (MT5) | No | No |
| DupliTrade | No | No |
| ZuluTrade | No | Yes |
| Charting - Indicators / Studies (Total) | 104 | 115 |
| Charting - Drawing Tools (Total) | 161 | 10 |
| Charting - Trade From Chart | No | Yes |
| Watchlists - Total Fields | 6 | 13 |
Dive deeper: Best MetaTrader 4 Brokers, Best MetaTrader 5 Brokers.
When comparing eToro and FXCM for mobile trading, both platforms provide iPhone and Android apps, ensuring convenience for users. Traders who rely on stock or forex price alerts will find both apps supportive of this feature. Additionally, both platforms offer watchlist symbol syncing, allowing for seamless tracking between mobile and online accounts. However, eToro stands out by providing a more extensive selection of technical studies, offering 104 compared to FXCM's 59. On the other hand, FXCM users benefit from the ability to draw trendlines and auto-save chart drawings, features not available on eToro's app.
eToro and FXCM both allow users to view various time frames on charts and create watchlists with real-time quotes. Despite having similar star ratings of 4.5 for mobile trading apps, eToro is ranked higher at #10 compared to FXCM's #16 according to ForexBrokers.com. This higher ranking might reflect eToro's wider range of technical studies, though FXCM's additional charting features may appeal to those who frequently perform in-depth technical analysis on the go.
| Feature |
eToro
|
FXCM
|
|---|---|---|
| Android App | Yes | Yes |
| Apple iOS App | Yes | Yes |
| Mobile Alerts - Basic Fields | Yes | Yes |
| Watchlist Syncing | Yes | Yes |
| Mobile Charting - Indicators / Studies | 104 | 59 |
| Mobile Charting - Draw Trendlines | No | Yes |
| Mobile Charting - Multiple Time Frames | Yes | Yes |
| Mobile Charting - Drawings Autosave | No | Yes |
| Mobile Watchlist | Yes | Yes |
Dive deeper: Best Forex Trading Apps.
When comparing eToro and FXCM in the realm of market research, both online brokers offer their users a variety of tools and resources to aid in trading decisions. Both platforms provide daily market commentary, allowing traders to stay informed with current insights. Additionally, both eToro and FXCM integrate Trading Central's technical analytics, offering valuable tools for technical analysis. They also feature sentiment-based trading tools that showcase the ratio of long or short positions across various currency pairs, as well as market research from TipRanks. Furthermore, both platforms include an economic calendar to help traders track upcoming global news events that could influence market activity.
Despite these similarities, there are distinct differences between eToro and FXCM. While FXCM offers forex news from premier sources like Bloomberg and Reuters, eToro does not provide this service. Neither broker offers research tools from Acuity Trading or Autochartist. Overall, both brokers boast strong ratings for their research capabilities, each receiving a score of 4.5 out of 5 stars. According to ForexBrokers.com, FXCM is ranked slightly higher at #11 compared to eToro's ranking at #13 out of 63 brokers in the Research category. These factors suggest that while both platforms excel in providing comprehensive market insights, FXCM slightly edges out eToro in this competitive comparison.
| Feature |
eToro
|
FXCM
|
|---|---|---|
| Daily Market Commentary | Yes | Yes |
| Forex News (Top-Tier Sources) | No | Yes |
| Autochartist | No | No |
| Trading Central (Recognia) | Yes | Yes |
| Social Sentiment - Currency Pairs | Yes | Yes |
| TipRanks | Yes | Yes |
| Signal Centre (Acuity Trading) | No | No |
| Economic Calendar | Yes | Yes |
Dive deeper: Best Brokers for Forex Research.
When it comes to educational resources for beginners, both eToro and FXCM demonstrate a commitment to providing comprehensive learning materials. Both platforms offer a wide variety of educational content, including at least ten articles, videos, and archived webinars specifically focused on forex or CFDs. They also provide monthly online educational client webinars with a searchable archive of past sessions, making it easy for new traders to learn at their own pace. Each broker offers at least ten beginner and ten advanced educational videos to cater to users at different skill levels and provide an extensive investor dictionary with definitions of over 50 investing terms.
Despite both receiving a 4.5-star rating for their educational offerings, eToro stands out slightly in the competitive landscape. According to ForexBrokers.com, eToro is ranked 5th out of 63 brokers in the Education category, compared to FXCM's 14th place rank. This higher ranking may suggest eToro's educational resources are more highly regarded or better meet the needs of beginner investors, but both platforms offer a strong foundation for those starting in the world of trading.
| Feature |
eToro
|
FXCM
|
|---|---|---|
| Education (Forex or CFDs) | Yes | Yes |
| Client Webinars | Yes | Yes |
| Client Webinars (Archived) | Yes | Yes |
| Videos - Beginner Trading Videos | Yes | Yes |
| Videos - Advanced Trading Videos | Yes | Yes |
| Investor Dictionary (Glossary) | Yes | Yes |
Dive deeper: Best Forex Brokers for Beginners.
After testing 63 of the best forex brokers, our research and account testing finds that eToro is better than FXCM. eToro finished with an overall rank of #9, while FXCM finished with an overall rank of #15.
eToro is a winner for its easy-to-use copy-trading platform, where traders can copy the trades of experienced investors – or receive exclusive perks for sharing their own trading strategies.
| Feature |
eToro
|
FXCM
|
|---|---|---|
| Overall Rating |
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| Trust Score | 96 | 95 |
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eToro offers the ability to buy both actual delivered cryptocurrencies and cryptocurrency derivatives, while FXCM allows only the purchase of cryptocurrency derivatives, not the actual cryptocurrencies themselves.
Both eToro and FXCM provide versatile funding options for their users, including ACH or SEPA transfers, PayPal, Skrill, Visa or Mastercard, and bank wires, making them equally accessible for online trading transactions.
Please note:
We review each broker’s overall global offering – a “Yes” checkmark in our Compare Tool does not guarantee the availability of any specific features in your country of residence. To verify the availability of any features within your country of residence, please contact the broker directly.
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0 of 5| Overall Rating | eToro | FXCM | |
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| Trust Score | 96 | 95 | |
| Winner | check_circle | ||
| Review | eToro Review | FXCM Review |
| Broker Screenshots | eToro | FXCM | |
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| Regulation | eToro | FXCM | |
|---|---|---|---|
| Trust Score | 96 | 95 | |
| Year Founded | 2007 | 1999 | |
| Publicly Traded (Listed) | Yes | Yes | |
| Bank | No | No | |
| Regulated in one or more EU or EEA countries (MiFID). | Yes | Yes | |
| Tier-1 Licenses | 3 | 4 | |
| Tier-2 Licenses | 1 | 2 | |
| Tier-3 Licenses | 0 | 0 | |
| Tier-4 Licenses | 1 | 0 |
| Tier-1 Licenses (Highly Trusted) | eToro | FXCM | |
|---|---|---|---|
| Australia (ASIC Authorised) | Yes | Yes | |
| Canada (CIRO Authorised) | No | Yes | |
| Hong Kong (SFC Authorised) | No | No | |
| Japan (SFC Authorised) | No | No | |
| Singapore (MAS Authorised) | No | No | |
| Switzerland (FINMA Authorised) | No | No | |
| United Kingdom (U.K.) (FCA Authorised) | Yes | Yes | |
| USA (CFTC Authorized) | No | No | |
| New Zealand (FMA Authorised) | No | No | |
| Regulated in one or more EU or EEA countries (MiFID). | Yes | Yes |
| Tier-2 Licenses (Trusted) | eToro | FXCM | |
|---|---|---|---|
| Kenya (CMA Authorised) | No | No | |
| Israel (ISA Authorised) | No | Yes | |
| South Africa (FSCA Authorised) | No | Yes | |
| UAE (DFSA/Central Bank Authorised) | No | No | |
| India (SEBI Authorised) | No | No | |
| Jordan (JSC Authorised) | No | No |
| Investments | eToro | FXCM | |
|---|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes | |
| Tradeable Symbols (Total) | 5461 | 440 | |
| Forex Pairs (Total) | 55 | 43 | |
| U.S. Stock Trading (Non CFD) | Yes | No | |
| Int'l Stock Trading (Non CFD) | Yes | No | |
| Social Trading / Copy Trading | Yes | Yes | |
| Cryptocurrency (Physical) | Yes | No | |
| Cryptocurrency (Derivative) | Yes | Yes | |
| Disclaimers | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). |
| Cost | eToro | FXCM | |
|---|---|---|---|
| Average Spread EUR/USD - Standard | 1 | 0.78 | |
| All-in Cost EUR/USD - Active | N/A | 0.78 | |
| Active Trader or VIP Discounts | Yes | Yes | |
| Inactivity Fee | Yes | Yes | |
| Execution: Agency Broker | Yes | Yes | |
| Execution: Market Maker | Yes | Yes |
| Funding | eToro | FXCM | |
|---|---|---|---|
| Minimum Deposit | $50-$10,000 | Starts from $50 | |
| PayPal (Deposit/Withdraw) | Yes | Yes | |
| Skrill (Deposit/Withdraw) | Yes | Yes | |
| Visa/Mastercard (Credit/Debit) | Yes | Yes | |
| Bank Wire (Deposit/Withdraw) | Yes | Yes | |
| ACH or SEPA Transfers | Yes | Yes |
| Trading Platforms | eToro | FXCM | |
|---|---|---|---|
| Proprietary Platform | Yes | Yes | |
| Desktop Platform (Windows) | No | Yes | |
| Web Platform | Yes | Yes | |
| Social Trading / Copy Trading | Yes | Yes | |
| MetaTrader 4 (MT4) | No | Yes | |
| MetaTrader 5 (MT5) | No | No | |
| cTrader | No | No | |
| DupliTrade | No | No | |
| ZuluTrade | No | Yes |
| Trading Tools | eToro | FXCM | |
|---|---|---|---|
| Virtual Trading (Demo) | Yes | Yes | |
| Alerts - Basic Fields | Yes | Yes | |
| Watchlists - Total Fields | 6 | 13 | |
| Charting - Indicators / Studies (Total) | 104 | 115 | |
| Charting - Drawing Tools (Total) | 161 | 10 | |
| Charting - Trade From Chart | No | Yes | |
| Charts can be saved | Yes | Yes |
| Mobile Trading | eToro | FXCM | |
|---|---|---|---|
| Android App | Yes | Yes | |
| Apple iOS App | Yes | Yes | |
| Mobile Alerts - Basic Fields | Yes | Yes | |
| Mobile Watchlist | Yes | Yes | |
| Watchlist Syncing | Yes | Yes | |
| Mobile Charting - Indicators / Studies | 104 | 59 | |
| Mobile Charting - Draw Trendlines | No | Yes | |
| Mobile Charting - Multiple Time Frames | Yes | Yes | |
| Mobile Charting - Drawings Autosave | No | Yes | |
| Mobile Economic Calendar | No | Yes |
| Research | eToro | FXCM | |
|---|---|---|---|
| Daily Market Commentary | Yes | Yes | |
| Forex News (Top-Tier Sources) | No | Yes | |
| Autochartist | No | No | |
| Trading Central (Recognia) | Yes | Yes | |
| TipRanks | Yes | Yes | |
| Social Sentiment - Currency Pairs | Yes | Yes | |
| Economic Calendar | Yes | Yes |
| Education | eToro | FXCM | |
|---|---|---|---|
| Education (Forex or CFDs) | Yes | Yes | |
| Client Webinars | Yes | Yes | |
| Client Webinars (Archived) | Yes | Yes | |
| Videos - Beginner Trading Videos | Yes | Yes | |
| Videos - Advanced Trading Videos | Yes | Yes | |
| Investor Dictionary (Glossary) | Yes | Yes |
| Major Forex Pairs | eToro | FXCM | |
|---|---|---|---|
| GBP/USD | Yes | Yes | |
| USD/JPY | Yes | Yes | |
| EUR/USD | Yes | Yes | |
| USD/CHF | Yes | Yes | |
| USD/CAD | Yes | Yes | |
| NZD/USD | Yes | Yes | |
| AUD/USD | Yes | Yes | |
| Review | eToro Review | FXCM Review |
| Overall | eToro | FXCM | |
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| Trust Score | 96 | 95 | |
| Winner | check_circle | ||
| Review | eToro Review | FXCM Review |
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