eToro Copy Trading System: What are the Popular Investor Level Requirements and Benefits

eToro Copy Trading System: What are the Popular Investor Level Requirements and Benefits


What is the minimum trade size on eToro?

As of 6 December 2020, the minimum trade sizes for all eToro users are:
 

Asset Class

Minimum Trade Size

Stocks and ETFs 

$50

Crypto 

$25

Currencies

$1,000

Commodities

$1,000

Indices

$1,000



Please note that the minimum trade size includes leverage*.

For example:
If an eToro user opens a position on oil (commodity), for which the minimum trade size is $1,000, they may invest a smaller amount, as long as the leveraged position reaches the minimum. For this example, the user may invest $100 using X10 leverage and still meet the minimum trade size requirement.

* Use of leverage may be subject to limits in accordance with European Securities and Markets Authority (ESMA) measures.

Please note that the minimum amount required to copy another trader is $500, and there is a minimum amount for each copied position of $2. To learn more about Copy Trading, click here.

 

What is ‘Pending Close’?

A position can be closed only when the market you are trading is open.

If you click the ‘Close’ button when the market is closed (for example, during weekends or market breaks), this will create an order to close the trade when the market re-opens. The position line will show Pending Close until the market re-opens. The position will then close at the first available rate in the market.

While a position is in ‘Pending Close’ status, you have the option to click the Cancel button in order to keep the position open.

If you stop copying a trader who is trading markets that are closed at that moment, this will create orders to close the copied trades when those markets re-open. The whole copy will stay in ‘Pending Close’ status until all trades within the copy relationship are closed. The funds in the copy will move back to your available balance only once the entire copy is closed. It is not possible to cancel the closure while the copy is in ‘Pending Close’ status.

 

What are the Popular Investor level requirements?

Start Earning as a Popular Investor!

The Popular Investor program has 4 levels: Cadet, Champion, Elite and Elite Pro. Each level has its own requirements and benefits.

Before applying for the program, please complete your eToro profile requirements:
  1. Verify your account
  2. Add a real picture of yourself
  3. Share your real name to your profile, via Settings
  4. Write about your trading strategy in the Bio area of your profile describing how you trade to existing and potential copiers
On applying to the program you must agree to the Responsible Trading requirements.

If you meet the criteria below, you will be accepted to the program at Cadet level:
  • You must not have open positions exceeding the leverages outlined in the Responsible Trading requirements
  • You must not have had a risk score higher than 6 in the 2 calendar months prior to joining the program
  • You must not have had a monthly loss of more than 20% in the previous 6 months (unless the market experienced such a drop)
  • You are not copying other users or CopyPortfolios
  • You have at least 2 months of trading history in your Stats page
  • The account has a minimum average equity of $1,000
  • You have had an average of at least 1 verified copier for the last month
  • You have had an average AUM of at least $500 for the last month
 
If you meet the criteria below, you will move to Champion level:
  • You have been at Cadet level for at least 2 months
  • Your account has an average equity of at least $5,000
  • You have had an average of at least 10 verified copiers for the last month
  • You have had an average AUM of at least $50,000 for the last month
Champion Popular Investors receive a fixed payment of $400 per month ($800 if their AUM grew by at least 1% in the previous month), a reimbursement of up to $100 for books on trading and investing, fee-free withdrawals, and other benefits.

If you meet the criteria below, you will move to Elite level:
  • You have been at Champion level for at least 4 months
  • Your account has an average equity of at least $25,000
  • You have had an average AUM of at least $500,000 for the last month
Elite Popular Investors receive a payment equal to 1.5% of their annual average AUM (2% if their AUM grew by at least 1% in the previous month), a further reimbursement of up to $100 for books on trading and investing, fee-free withdrawals, a GuruFocus premium membership, and other benefits.
 

If you meet the criteria below, you will move to Elite Pro level:
  • You have been at Elite level for at least 2 months
  • Your account has an average equity of at least $50,000
  • You have had an average AUM of at least $10,000,000 for the last month
Elite Pro Popular Investors receive a payment equal to 2% of their annual average AUM (2.5% if their AUM grew by at least 1% in the previous month), a further reimbursement of up to $100 for books on trading and investing, fee-free withdrawals, a GuruFocus premium membership, and other benefits.

 
Any change in levels occurs after the monthly Popular Investor payments, which take place up until the 10th of each month. The calculation for the monthly payments is based on data collated during the previous calendar month.
 

Does it cost me to copy another trader?

Absolutely not. There are no additional charges for copy trading. eToro is a social trading platform that allows you to copy other traders of your choice so that any trades they open will automatically open in your account with a proportional percentage of your allocated funds.

eToros commission comes from the SELL/BUY spread of the trades you place and the good news is that spreads remain the same regardless of whether you are copying someone or trading manually.

Better yet, if youre a successful trader and want to gain a loyal following, you can join our awesome Popular Investor Program and get paid for being copied.


Why am I blocked from copying other traders?

Welcome to the exciting world of copy trading!

Due to regulation requirements (CopyTrading Investment Management services), Copy Trading Services will be provided following an assessment of the information you provided in the “complete your profile” questionnaire.

That means that if your objectives or financial situation do not match the risk you are taking in the Copy Trading Services, we may choose to prevent your account from opening new Copy positions. However, this will not affect open positions.

If your objectives or financial situation have changed, we encourage you to update your profile.

 

Risk Score explained

The risk score shows the risk the investor is taking, and is calculated using a special formula we have developed right here at eToro.

The score is calculated for each user from 1 to 10, where 1 is the lowest possible risk, and 10 is the highest possible risk.

Please visit this blog post for a detailed explanation.

How can I stop copying someone?

1. Log into your portfolio

2. Click on the settings wheel on the side of the trader you wish to stop copying

3. Select the Stop Copying option from the drop down menu.
 

How are the invested amount and P/L of my copy calculated?

When copying a trader, you will see the invested amount, P/L and value of the copy in your portfolio.
eToro Copy Trading System: What are the Popular Investor Level Requirements and Benefits
Invested: This figure shows the initial amount invested in the copy including any funds that were later added to the copy. Any funds that were removed will not be calculated in this column.

For example: if you started copying Trader A with $200, added $400 and then removed $300, the invested amount will show as $600 (200 + 400) and not $300 (200 + 400 - 300).

P/L ($): This figure shows the profit and loss in dollars that the trader has made throughout the lifetime of the copy. This figure only takes the net profit/loss of the positions into consideration.

P/L (%): This figure shows the percentage of profit and loss that the trader has made throughout the lifetime of the copy compared to the figure shown in the Invested column. This figure only takes the net profit/loss of the positions into consideration.

Value: Click here to see how the total value of your copy is calculated.

You can find a summary of the funds added to/removed from a copy by clicking on the trader in your portfolio page and then hovering with your mouse over the Money In/Out amount at the top of the page.
eToro Copy Trading System: What are the Popular Investor Level Requirements and Benefits
You can see all transactions which have been made in a copy by clicking on the trader in your portfolio page, scrolling down to the bottom right of the page and clicking on View.
eToro Copy Trading System: What are the Popular Investor Level Requirements and Benefits

 

Why are trades not being copied on eToro?

There are a couple of reasons why you may not see the positions of a trader you are copying replicated in your portfolio.

1) You did not copy open trades.

Before starting your copy, you have a choice:
eToro Copy Trading System: What are the Popular Investor Level Requirements and Benefits
  • Tick the Copy Open Trades box to copy all the trader’s positions that are currently open. This is the default option.
The existing open positions will be opened in your account with the market rates available at the time of copying (not the rates at which the original trades were opened).
  • Untick the Copy Open Trades box to copy only future positions that the trader will open.
The positions that the trader currently has open will not be copied. New trades will open at the same rate as the copied trader opens them.

Some traders may not open any new positions after you copy them.

You always have the option to stop copying a trader and then copy the trader again, changing between option (1) and (2).

2) The minimum amount for a copied trade is $2 - trades below this amount will not open in your copy.

Trades are copied according to a certain ratio between you and the trader you are copying. The ratio is determined by the amount you choose to invest in the copy and the trader’s realized equity. If the Copied Trader has a trade using 5% of his realized equity, a trade will be opened for you using 5% of the amount you allocated to copy that trader.

Before you copy a trader, you can see in the traders bio - or tag him/her in a post to ask - how much it is recommended to allocate to the copy in order to avoid trades not opening. Remember that the decision of how much to allocate is yours and yours alone.
 

What are Copy Dividends?

If the trader you are copying withdraws funds, the proportional amount will be removed from your copy allocation and sent back to your account balance. This amount is called the Copy Dividend.

Copy Dividends mean that you get to enjoy the profits of the traders you are copying while you are copying them (not only once the copy relationship has ended).

For example, Trader X has $10,000 in his account. You allocate $1,000 to this trader and after a few weeks, he makes a profit of $2,000. If Trader X decides to withdraw the profit, the proportional amount for you - $200 - will be removed from your copy allocation and sent back to your account balance so that you too can enjoy the profits without having to wait for the copy to close.

Additionally, if the trader you are copying adds funds to his or her account, you will receive a notification so that you can decide whether you wish to add more funds to the copy allocation.  

Please note: If you do not have funds in your copy balance, you will not receive the Copy Dividend.


How does CopyTrader work?

All you need to do to start copy trading is to open an account, then use the eToro platform to search for the top social investors. When youve spotted a trader youd like to copy, allocate a portion of your funds for copying him and let the copy trading begin.


What is AUM?

AUM (Assets under Management) is the total cash equity used to copy a trader or invest in a CopyPortfolio (including unrealized profit and loss).

eToro traders who have signed up to the Popular Investor Program must have a certain amount of AUM in order to advance through the levels.
 

What is Copy Stop Loss on eToro?

Copy Stop Loss (CSL) is a feature that gives you the ability to manage your trades effectively by providing risk management in each “copy relationship” based on real time Profit/Loss values. It is essentially an automated risk control system that allows you to set controls for the entire copy relationship at a dollar value. The CSL amount represents the copy equity that needs to be reached in order for the entire copy to close automatically, NOT the amount you are willing to lose.

For example:

Trader A is copied by Trader B with $100 and a CSL set at $60 – meaning Trader B does not want the copy relationship to lose more than $40 before CSL triggers. Trader A has 2 positions: one that has gained $10, another that just dropped to -$50. At that point, CSL triggers and both positions – the losing position, and the gaining position are closed and the copy relationship with that trader is disconnected.

The default CSL is set at 60%* of your copy equity so that once youve lost 40% of your investment, the copy will close. You will be able to edit your CSL upon copying a trader and at any point thereafter; however it is important to note that every time you edit your CSL, the new value will reflect as a percentage of your copy equity at the time of the edit and not the original allocated amount.

*The default CSL in a CopyPortfolio is set at 5% of your invested amount so that once the value has dropped below 95% of your investment, the CopyPortfolio will close.
 

How is the value of my copy calculated on eToro?

When copying a trader, you will see the current value of the copy in your portfolio.

This figure shows the exact amount of money you would get back in your account balance if you were to stop copying the trader.

It takes into consideration the initial invested amount, funds that were added to/removed from the copy, profits/losses and any fees or dividends that were credited/debited on the copied positions.

The value of your copy balance is calculated as follows: INITIAL + MONEY IN/OUT + P/L - FEES = VALUE

In the example below: $1,000.00 initial investment - $100.00 money out + $498.36 profits - $46.48 fees = $1,351.88 value
eToro Copy Trading System: What are the Popular Investor Level Requirements and Benefits
 

What does responsible trading mean?

If you are being copied by other eToro users, you are passively managing the funds of other people, and we strongly encourage you to practise responsible trading at all times.

All eToro users can see your daily, weekly and monthly risk score. Your risk score serves as an indicator of how much their portfolio is at risk by copying you.

If you consistently reach a risk score of 8 or higher, you may be blocked from being copied.

For Popular Investors, the maximum risk score we allow is 6.

A trader who wishes to become a Popular Investor must not have had a risk score higher than 6 in the 2 calendar months prior to joining the program. In addition, potential Popular Investors will not be accepted to the program if they have open positions exceeding the leverages below:

For retail clients of eToro (Europe) Ltd (CySEC regulated) and eToro (UK) Ltd (FCA regulated):
  • x30 for major currency pairs (such as EUR/USD)
  • x20 for non-major currency pairs (such as EUR/NZD), Gold and major indices
  • x10 for commodities other than Gold and non-major equity indices
  • x5 for CFD stocks and ETFs
  • x2 for crypto crosses
  • x1 for cryptocurrencies.

For Professional clients and clients of eToro Australia Capital Ltd (ASIC regulated):
  • x50 for currency pairs
  • x25 for commodities and indices
  • x5 for CFD stocks and ETFs
  • x2 for crypto crosses
  • x1 for cryptocurrencies.
Existing Popular Investors who reach a risk score of 7, or open positions exceeding the leverages above, will not receive their payment that month.
 

How long does it take for trades to be executed in my account once I copy someone?

Trades are typically executed in less than a second from the instant the trader you copied executes their own trades.

Pause Copy on eToro

With the new version of CopyTrader, we are proud to present “Pause Copy”, a feature that allows you to stop copying a trader without actually closing all the currently opened positions.

“Pause copy” can be activated from the portfolio page on eToro by clicking on the settings button and “Pause Copy.”
eToro Copy Trading System: What are the Popular Investor Level Requirements and Benefits
When “Pause copy” is activated there will be no new trades opened under that copy relationship. However, all the currently opened trades will still be copying the SL/TP and close actions from the Copied Trader.
 


What type of crypto positions open when I copy someone?

On eToro, some positions are secured with real assets, and others use CFDs. For more information, click here.

When you copy another trader who is investing in cryptoassets, or when you invest in a CopyPortfolio containing cryptoassets, the type of crypto positions that open for you may not be the same as the original positions you copied.

This depends on the eToro entity that is applicable to your account and the regulatory framework it follows, and in some cases, your country of residence. To find out which regulation your account is under, please click here.

 
Clients of eToro (Europe) Ltd:
  • Real crypto trades are copied as real positions.
  • CFD crypto trades are copied as CFD positions.
 
Clients of eToro (UK) Ltd and residents of the UK who are clients of eToro (Europe) Ltd:
  • Real crypto trades are copied as real positions.
  • CFD crypto trading is not permitted according to Financial Conduct Authority (FCA) regulation from 6 January 2021. Therefore, CFD crypto trades are not copied unless a corresponding and equivalent real position can be opened in place of the CFD.
 
Clients of eToro Aus Capital Pty Ltd:
  • All crypto trades are copied as CFD positions.
 
Residents of France:
  • eToro is in the process of registering as a crypto service provider with the Autorité des marchés financiers (AMF). Until the registration process is finalised, real crypto trades are copied as CFD positions.
  • CFD crypto trades are copied as CFD positions.
 
Residents of the Netherlands:
  • eToro is in the process of registering as a crypto service provider with De Nederlandsche Bank NV (DNB). Until the registration process is finalised, eToro does not provide crypto services to users in the Netherlands. Cryptoasset positions are not copied.
 

Updates in the copy trader system on eToro

As of 26/7/15, we have made three new changes in the way you copy a trader:

1. The maximum copy allocation is now 100% of your equity.

2. Profiles with risk scores 9 and 10 will no longer be available for copying.

We want to protect our customers from inadvertently exposing their funds to high risk trading strategies.

3. A revised profile questionnaire will determine what kind of limitations – if any – you might have on your Copy Trading activity.

Due to regulation requirements, from now on, our Copy Trading Services will be provided following an assessment performed

on the basis of the information you provided in the “complete your profile” questionnaire you were asked to fill out.

The assessment of your answers will determine what kind of limitations – if any – you might have on your Copy Trading activity.

*We invite you to make sure that your answers reflect your current investment objectives and financial situation.
 


Can I copy more than one investor?

Yes, you can copy up to 100 different investors at any given time.


High risk score traders

Traders who have a consistently high risk score may be blocked from being copied.

We routinely review profiles to determine who can be copied, in the best interests of the eToro Community and according to eToros terms and conditions.

Or, discover other traders, and diversify your portfolio.

 

How does eToro choose the top ranked traders?

The rankings are based on total gain or winning ratio. We use several different filters and criteria to rank our top traders. Filters include, but are not limited to, the following and may differ for the various time periods selected:
  • Minimum number of positions opened or closed over a specific time period
  • Minimal winning ratio for a specific time period
  • Number of days/weeks in which the investor was active (had at least one open position)
  • Minimal average position duration
  • Maximum ratio of high leveraged trades
  • Maximum leverage amount placed in a single trade
  • Minimal total investment for the period
 
We are continuously improving our ranking algorithms and, therefore, our ranking criteria may change from time to time. If you want to keep up with our product updates, please follow our blog. If you believe you should have been ranked and don’t see your name on the list, you are more than welcome to contact us.


Can I get my traders’ details?

Due to privacy regulations, we are not permitted to disclose such information.


Can I ask the copied trader for advice or recommendations?

We always encourage communication among members of our community. You can reach out to any trader in the community by commenting or opening a discussion on their profile page.


Can I copy a trader that is not listed in the rankings?

Of course! We give you the freedom to copy whoever you like.

If you have spotted someone you want to copy, go ahead! Functionality remains exactly the same as for a ranked investor.
Thank you for rating.
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