| Feature | eToro | XM Trading |
|---|---|---|
| Founded | 2007 | 2009 |
| Regulation | FCA (UK), CySEC (Cyprus), ASIC (Australia), FinCEN (USA) | FCA (UK), CySEC (Cyprus), ASIC (Australia), DFSA (Dubai), IFSC (Belize) |
| Minimum Deposit | $50–$200 (depending on region) | $5 |
| Maximum Leverage | Up to 1:30 for retail clients (higher for professional clients) | Up to 1:1000 (depending on account type and region) |
| Spreads | Variable spreads starting from 1.0 pips on major currency pairs | Variable spreads starting from 0.6 pips; XM Zero accounts offer spreads from 0.0 pips with a commission of $3.50 per $100,000 traded |
| Trading Platforms | Proprietary web-based platform, mobile app (iOS and Android) | MetaTrader 4 (MT4), MetaTrader 5 (MT5), XM WebTrader, mobile apps for iOS and Android |
| Tradable Instruments | Over 5,000 instruments including Forex, Stocks, Commodities, Indices, ETFs, Cryptocurrencies | Over 1,000 instruments including Forex, Commodities, Indices, Stocks, Metals, Energies |
| Social/Copy Trading | Yes, through eToro's CopyTrader and CopyPortfolios | Yes, via MT4/MT5 platforms and XM's proprietary social trading features |
| Deposit Methods | Credit/Debit Cards, PayPal, Skrill, Neteller, Bank Transfer, and others (availability varies by region) | Credit/Debit Cards, Bank Transfer, Skrill, Neteller, WebMoney, and others |
| Withdrawal Fees | $5 per withdrawal | No withdrawal fees |
| Inactivity Fees | $10 per month after 12 months of inactivity | $5 per month after 90 days of inactivity |
| Educational Resources | eToro Academy offering courses, webinars, and tutorials | XM Learning Center with webinars, tutorials, and real-time trading sessions through XM Live |
| Customer Support | 24/5 support via live chat and email; phone support available in certain regions | 24/5 support via live chat, email, and phone; support available in multiple languages |
| Demo Account | Yes, unlimited duration | Yes, unlimited if active; expires after 60 days of inactivity |
| Islamic Account | Yes, swap-free accounts available | Yes, swap-free accounts available |
| Promotions/Bonuses | No deposit bonuses or promotions due to regulatory restrictions | Various promotions and bonuses, including deposit bonuses and trading contests (availability depends on region and regulatory restrictions) |
| Research Tools | Market news, analysis, and advanced charting tools integrated into the platform | Comprehensive research tools including market analysis, technical analysis, and economic calendars |
| Account Types | Retail and Professional accounts; tiered membership through eToro Club (Silver, Gold, Platinum, Platinum+, Diamond) | Micro, Standard, XM Ultra Low (Standard and Micro), Shares accounts; each with specific trading conditions tailored to different trader needs |
| Accepted Countries | Available in numerous countries; not available in certain regions due to regulatory constraints | Serves clients in over 190 countries; certain restrictions apply based on regional regulations |
| Additional Features | Innovative social trading platform with a large community; user-friendly interface suitable for beginners; offers fractional shares trading; provides access to a wide range of cryptocurrencies for trading and investment | Strong emphasis on trader education with a wealth of resources; offers VPS services for eligible clients; provides negative balance protection; supports automated trading through Expert Advisors (EAs) on MT4 and MT5 platforms |
| Asset Ownership | Direct ownership of stocks and cryptocurrencies in certain jurisdictions; CFD trading for other instruments | CFDs only, no direct ownership of underlying assets |
| Cryptocurrency Offering | Offers a wide range of cryptocurrencies for trading and investment, including Bitcoin, Ethereum, XRP, Litecoin, and more | Limited cryptocurrency offering as CFDs; no direct ownership |
| Account Currency Options | Accounts denominated in USD only | Multiple account currency options including USD, EUR, GBP, AUD, and more |
| Execution Model | Market Maker model; offers fast order execution with no commissions on stocks, but trading fees included in spreads | Hybrid model (Market Maker and ECN/STP execution); low latency with competitive spreads |
| Trading Costs | Spreads higher compared to ECN/STP brokers; no additional commissions on most instruments | Tight spreads for XM Zero accounts, but with commissions; spreads vary by account type |
| Scalping/High-Frequency | Discouraged due to wider spreads | Allowed; low latency execution supports scalping and high-frequency trading |
| Hedging Capability | Limited hedging features; depends on instrument | Fully supports hedging through MT4/MT5 platforms |
| Automated Trading | Limited; no support for Expert Advisors (EAs) | Fully supports automated trading with Expert Advisors (EAs) on MT4/MT5 |
| Advanced Charting | Offers basic charting tools and integrated analysis within the proprietary platform | Extensive charting tools available through MT4/MT5, including customizable indicators and scripts |
| Leverage Customization | Leverage fixed by regulations; limited customization for retail traders | Flexible leverage options up to 1:1000 depending on account type and region |
| Bonuses and Contests | No bonuses or trading contests due to regulatory restrictions | Offers trading contests and bonuses for eligible regions |
| Partnership Programs | Affiliate and Introducer Broker (IB) programs available | Affiliate, IB programs, and regional sponsorships available |
| Web and Mobile Features | Proprietary web-based and mobile apps optimized for social trading and beginner-friendly UI | WebTrader and MT4/MT5 mobile apps with advanced trading features and compatibility with multiple devices |
| Trust Level | Strong brand presence globally; popular among beginner investors | Long-established broker with a focus on professional traders and education |
| Research and Insights | Proprietary market insights, earnings reports, and investment strategies integrated into the platform | Daily research and insights from XM experts, economic calendar, and trading signals |
| News Integration | Integrated market news from leading sources within the eToro platform | Market news from trusted providers, available via MT4/MT5 and XM platforms |
| Accessibility | Intuitive platform ideal for beginner and casual traders | Comprehensive features designed for advanced and professional traders |
| User Community | Large active social trading community; users can follow and copy trades of top traders | Smaller but focused community with tools to enhance individual learning and collaboration |
| Corporate Accounts | Not available | Available for businesses, offering unique trading and investment features |
| VPS Hosting | Not available | Free VPS hosting for eligible clients who meet specific trading volume or deposit requirements |
| Negative Balance Protection | Guaranteed for retail clients as per regulatory requirements | Offered to all clients, ensuring traders cannot lose more than their account balance |
| Regional Presence | Offices in several countries including the UK, Cyprus, and the USA | Global presence with offices and partnerships in over 190 countries, strong regional focus in Asia, Middle East, and Europe |
| Regulatory Compliance | Adheres to stringent regulatory frameworks in various jurisdictions; complies with ESMA rules in the EU | Multiple international regulators; offers different trading conditions based on regulatory jurisdiction |
| Risk Management Tools | Stop Loss, Take Profit, Trailing Stops, Negative Balance Protection | Stop Loss, Take Profit, Trailing Stops, Negative Balance Protection, VPS for enhanced trading efficiency |
| Spread Transparency | Fixed spreads on stocks and ETFs; variable spreads for Forex and commodities | Transparent variable spreads; XM Zero accounts offer near-zero spreads with separate commissions |
| Order Types | Market, Limit, Stop, Trailing Stops | Market, Limit, Stop, Trailing Stops, Good Till Cancelled (GTC), and One-Cancels-the-Other (OCO) orders |
| Data Security | Two-factor authentication (2FA) for enhanced security; encrypted transactions | Industry-standard SSL encryption; secure client fund segregation in top-tier banks |
| Asset Diversification | Extensive multi-asset offering with a focus on stocks, ETFs, and crypto alongside traditional CFDs | Focus on Forex, metals, and energies with additional exposure to stocks and indices through CFDs |
| API Access | Limited API support for advanced trading strategies | API available through MT4/MT5 platforms, enabling algorithmic trading and custom integrations |
| Micro-Lot Trading | Not available | Available; micro accounts support lot sizes as low as 0.01 |
| Local Payment Options | Limited regional payment methods | Offers a variety of local payment options, including regional banking solutions |
| Account Verification | Online account verification process; requires government ID and proof of residence | Streamlined KYC process; identity and address verification within hours |
| Trading Signals | Basic market insights and social signals through CopyTrader | Advanced trading signals integrated with MT4/MT5 platforms, provided by third-party experts |
| Trading Styles Supported | Best suited for long-term investors and casual traders | Supports scalping, day trading, swing trading, and automated strategies |
| Withdrawal Processing Time | Typically 1–8 business days depending on payment method | Same-day processing for most withdrawal requests; varies slightly by method |
| Language Support | Platform and support available in over 20 languages | Support offered in over 25 languages, catering to a global audience |
| Swap Fees | Higher overnight fees for leveraged CFD positions | Competitive swap fees, with lower charges on specific account types |
| Corporate Social Responsibility (CSR) | Focus on financial literacy campaigns and democratizing investing | Active in community-building initiatives; sponsors educational events globally |
| Trading Education Format | Video tutorials, blog articles, and webinars through eToro Academy | Webinars, seminars, video tutorials, and real-time learning sessions through XM Live |
| Community Engagement | Active social trading network with interactive profiles and feeds | Emphasis on independent learning and mentorship through regional seminars |
| Trading Competitions | None due to regulatory constraints | Frequently held trading competitions with cash prizes or account bonuses |
| Fractional Share Trading | Yes, users can purchase fractional shares of stocks and ETFs | Not available |
| Customer Loyalty Programs | eToro Club tiers (Silver to Diamond) offering benefits like exclusive webinars and research | No explicit loyalty program; offers incentives like free VPS or bonuses based on trading volume |
| Advanced Risk Analytics | Limited risk analytics; relies heavily on user-defined parameters | Detailed risk analysis tools integrated into MT4/MT5, enabling better management of trading positions |
| Partnership Opportunities | Focused on affiliate marketing and influencer partnerships | Strong partnership programs for affiliates and introducer brokers |
| Regional Exclusions | Not available in countries like Canada, Iran, Japan, and North Korea due to regulatory constraints | Services restricted in the USA and a few other regions |
eToro and XM Trading offer different features tailored to various trader needs. eToro excels with its social trading and stock offerings, while XM focuses on low-cost trading with advanced tools and support for scalping.