eToro vs Interactive Brokers Comparison & Reviews

FeatureeToroInteractive Brokers
Platform TypeSocial trading platform, broker for retail tradersComprehensive brokerage platform for professional and retail traders
Commission FeesZero commission on stocks and ETFs (spread applies)Low commissions, tiered pricing, volume-based discounts
Account Minimum$50$0 for IBKR Lite, $100 for IBKR Pro
RegulationFCA (UK), ASIC (Australia), CySEC (Cyprus), SEC (US)SEC (US), FINRA (US), FCA (UK), ASIC (Australia), multiple global regulators
Asset ClassesStocks, ETFs, Cryptocurrencies, Forex, Commodities, Indices, CFDsStocks, ETFs, Options, Futures, Forex, Bonds, Mutual Funds, Cryptocurrencies
Cryptocurrency TradingYes, over 30 cryptocurrenciesYes, 4 cryptocurrencies directly, others via ETFs or futures
Fractional SharesYesYes
LeverageUp to 30:1 for retail clients, varies by jurisdictionUp to 50:1 for Forex, varies by asset class and jurisdiction
Research ToolsLimited proprietary research, community insightsExtensive research tools, news feeds, technical and fundamental analysis tools
Social TradingYes, copy trading and social networkNo
Trading PlatformProprietary platform (web and mobile), easy to useTrader Workstation (TWS), highly advanced, mobile and web platforms available
Educational ResourcesBasic trading guides, webinars, tutorialsComprehensive resources including webinars, trading courses, research tools
API AccessNoYes, for algorithmic trading
Order TypesMarket, limitWide range including market, limit, stop, trailing stop, conditional orders
Customer SupportEmail and chat support, 24/5Email, phone, chat, 24/7 support available
Fees for Inactivity$10 per month after 12 months of inactivity$0 for IBKR Lite, $10 or $20 per month for IBKR Pro depending on trading activity
Deposit and Withdrawal FeesFree deposits, $5 withdrawal feeFree ACH deposits and withdrawals, fees for wire transfers and other methods
Currency Conversion Fees0.50%Spot rate plus up to 1% (depends on trade volume and account type)
Mobile AppUser-friendly, designed for beginner to intermediate tradersFeature-rich, designed for professional traders
Global Market AccessLimited to 19 countriesAccess to over 150 global markets
Demo AccountYes, unlimited virtual accountYes, with $1,000,000 in virtual funds
Best ForBeginner traders, social and copy trading enthusiastsExperienced traders, professionals, algorithmic traders
Account Base CurrenciesLimited to USDMultiple currencies, including USD, EUR, GBP, AUD, and more
Payment MethodsCredit/Debit Cards, Bank Transfers, PayPal, Skrill, NetellerBank Transfers, ACH, SEPA, SWIFT, no support for e-wallets
Margin RatesNot applicable for retail accountsTiered, starting from 1.5% for high balances
Payout DividendsSupports fractional dividendsFull dividend payouts
Account TypesIndividual accounts onlyIndividual, Joint, Institutional, Trust, Retirement accounts (IRA in the US)
Regulatory ProtectionInvestor Compensation Fund (up to €20,000, EU), segregated fundsSIPC protection (up to $500,000), segregated funds
Portfolio Diversification ToolsCopyPortfolio for thematic investmentsPortfolioAnalyst for performance tracking and diversification
Customizable Trading InterfaceLimited customizationHighly customizable trading interface
Trading AlgorithmsNot supportedFull support for algorithmic trading through IBKR API
Spread CostFixed spread, higher on some assetsVariable spread, lower cost on high-volume trades
Retirement Investment OptionsNot availableAvailable (IRA accounts in the US)
Tax Documentation SupportBasic tax reportsAdvanced tax reporting tools, including integration with TurboTax
Reputation for BeginnersVery user-friendly, community support through social tradingSteeper learning curve due to advanced tools
Advanced ChartingBasic charting tools with limited technical indicatorsAdvanced charting tools with custom indicators and scripting options
Interest on Cash BalancesNot providedInterest paid on uninvested cash (varies by account type and balance)
Short SellingLimitedFull short-selling capabilities
Integration with Third-Party ToolsNot supportedIntegrates with third-party platforms like MetaTrader, NinjaTrader
Corporate Action HandlingLimited support for voting rights, dividendsFull support for corporate actions, including rights issues, proxy voting
Account Opening SpeedQuick, online approval within minutesLonger due diligence, approval may take days
Access to IPOsNot availableAvailable for qualified clients
Pension Fund InvestmentNot availableSupported for eligible clients (through retirement accounts)
Commission-Free ETFsAll supported ETFs are commission-freeOnly for IBKR Lite clients, not for IBKR Pro
Copy Trading for FundsCopyPortfolios (eToro-curated thematic funds)Not available
Corporate ClientsNoYes, corporate and institutional accounts supported
Market Data SubscriptionFree basic real-time dataCharges for advanced real-time data feeds
Trading TutorialsBeginner-focused tutorials and trading guidesAdvanced guides, webinars, and white papers
Community FeaturesSocial feed, user discussions, leaderboardsNone
Security FeaturesTwo-factor authentication, segregated accountsTwo-factor authentication, biometric login, advanced risk controls
Access to Emerging MarketsLimited to a few marketsBroad access to emerging market exchanges
Portfolio Hedging ToolsLimitedComprehensive tools including options, futures, and forex
Fee TransparencyTransparent fee structure, no hidden feesTransparent but more complex fee structure
Investor Sentiment IndicatorsYes, based on the social trading networkNo
Performance ReportingBasic account performance trackingDetailed performance analytics through PortfolioAnalyst
Trading CompetitionsOccasional competitions to engage usersNot available
Integration with Robo-AdvisorsNot availableSupports robo-advisory tools through third-party integrations
Mobile Push NotificationsAlerts for trades, price movements, and social updatesAlerts for trades and market updates
Forex Pair Availability47 currency pairsOver 100 currency pairs
Advanced Risk ManagementBasic stop loss and take profit levelsAdvanced features like margin alerts, real-time risk analysis
Access for Non-US ResidentsAvailable in most countries except a few restricted regionsBroad access, but restricted in some jurisdictions
Market HoursLimited pre-market or after-hours tradingExtensive pre-market and after-hours trading
Interest on MarginNot applicableCompetitive, tiered margin interest rates
Account LinkingCannot link to external investment or bank accountsCan link to external accounts for transfers and consolidated reporting
Environmental, Social, Governance (ESG) InvestmentsThematic portfolios like "Renewable Energy"Offers ESG research tools but no dedicated thematic portfolios
IPO ParticipationNot availableAvailable for qualified investors
Multiple Language Support20+ languages supported10+ languages supported
Transfer Fees for AssetsFees for transferring assets outFree inbound, fees for outbound transfers
Customer Reviews and RatingsGenerally positive for ease of use and beginner-friendly featuresHighly rated by advanced traders for robust tools but criticized for complexity
Custom Indicators for TradingLimitedFully customizable technical indicators
Access to BondsNoExtensive selection of government and corporate bonds
Collateral for LoansNot availableSecurities-based lending available for eligible clients
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eToro is ideal for beginner and social traders with zero commissions and copy trading, while Interactive Brokers caters to advanced traders with diverse asset classes, low fees, and advanced tools.