Global investment platform eToro has announced that clients can now invest directly in shares on the platform.
This means that for the first time investors can hold shares, cryptocurrencies, ETFs and thousands of other financial assets all in one portfolio. eToro will charge no ticket or management fees to users buying shares. The pricing is highly competitive and transparent as fees are included in the spread which is just 0.09% per side.* For UK shares, eToro will absorb stamp duty.**
Yoni Assia, Founder and CEO of eToro said:
“eToro enables people to invest in the assets they want to own, from newly available assets such as cryptocurrencies, to more traditional options like shares or commodities. We want investors to be able to hold all these assets in a single portfolio.”
“Price really matters and we think ticket and management fees are exactly the kind of old world practices that put many people off investing. That’s why we’re not charging them, and absorbing stamp duty to boot. We’re making it easy to invest, and that means rethinking some of the outdated practices investors might be used to from other investment providers. It also means we’ll continue to expand the range of assets we make available to our 10 million users.”
Until now eToro has enabled users to invest in shares via a ‘contract for difference‘ (CFD), meaning they have the option to apply leverage to their investments, or even take short positions. Now, users also have the option to own the underlying asset.
eToro users buying shares will be charged no ticket or management fees. The pricing is transparent as fees are included in the spread which is just 0.09% per side.
For UK shares, eToro will absorb stamp duty meaning costs will be particularly competitive. Stamp duty is charged at 0.5% on transactions over £1,000. With other investment platforms, a £10,000 investment in a UK listed company such as Lloyds Banking Group PLC (LLOY) usually incurs a £50 stamp duty charge for the investor (on top of the platform’s own fees and charges). On eToro the investor pays no stamp duty, and the total fee for investing is just £21.*
Over the last 10 years, eToro has been gradually expanding the range of assets it enables users to invest in. Thousands of shares are now available across European, Asian and US markets with more due to be added to the platform in the coming months. In addition, there are 10 cryptocurrencies available on eToro, and further coins will be added throughout the year.
Yoni Assia continued:
“Over the last 12 months we’ve seen our investment community grow to over 10 million people around the world. Many of our customers are investing for the first time and they’re investing in cryptocurrencies. They’ve told us that they want to invest in other things, just as easily as eToro allows them to buy into cryptocurrencies, and to be able to have everything in one portfolio. Now, people can invest in shares with the same ease they enjoy when investing in cryptocurrencies.”
The option to buy shares (buying the underlying asset rather than investing through a CFD) is now live on the eToro platform, meaning that eToro users can:
- Buy shares with the cost of stamp duty excluded from the price
- Receive dividends on the ex-dividend date rather than waiting for issuance
- Enjoy instant execution & settlement at a fixed price
- Copy hundreds of Popular Investors and match their performance in the markets
- Invest in eToro’s specially curated CopyFund portfolios
- Apply leverage or open a short position to trade stocks via CFD.
Notes to editors
* Investors can also be charged:
$25 withdrawal fee when removing funds from the platform
Conversion fee (GBP/USD) of 50 pips when depositing and withdrawing funds from the platform
When depositing accounts run 12 months without any login an inactivity fee of $10 per month may be charged against uninvested balances (no investments are closed to fund this charge), and the fee is only applicable if there are still funds in the available balance.