In eToro the so-called “social trading stars” act as a kind of investment guide for the rest of users. In this way, eToro allows less experienced users to allocate part of their funds to the most successful investors (Popular Investors) to “copy” the operations they perform in real time. The technology of the CopyTrader system, developed and patented by eToro, offers the possibility of saving time and benefiting from the knowledge and experience of other investors.
To know who to follow and “copy” we can use the “Search for people” tool that filters and offers results according to parameters such as the risk classification, the level of profits or the type of assets, among others.
Transparency is the basis of this platform that allows investors from anywhere in the world to get in touch and interact, learn from each other, “copy” each other and consult the histories, the success / failure ratio, portfolios and classifications of your clients’ risk.
An alternative of confidence to the online investment in Europe
The eToro philosophy puts its focus on users. In fact, their business model revolves around the success they achieve, since this success in turn affects the company itself. The rates are NOT very competitive but any type of investor has a place in the platform. Less experienced investors can invest by automatically copying the leading investors, as we explained, and the star investors, belonging to the Popular Investors Program, by sharing their investment experience with the other users, obtain a second source of income.
Also published on Medium.