eToro vs Freetrade – Pricing, Features & Key Differences ExplainedVisit eToro

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eToro vs Freetrade – Pricing, Features & Key Differences Explained

eToro vs Freetrade – Pricing, Features & Key Differences Explained

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When deciding on eToro vs Freetrade, investors must consider the type of assets they want to trade.

Freetrade is the best option for those looking to trade in traditional assets such as stock and ETF investors.

Those looking for a platform offering a more diverse range of assets, including cryptocurrencies and social trading will find eToro better suited to their investment needs.

This article reviews eToro and Freetrade, popular trading platforms both new and experienced traders use.

We look at the main factors investors must consider when deciding on eToro vs Freetrade, including ease of use, costs and each platform's services.

Looking at the pros and cons of each platform enables those deciding on Freetrade vs eToro to choose which platform is best for their short-term and long-term investment needs.

What Are eToro or Freetrade Platforms?

Both eToro and Freetrade are well-known popular trading platforms that investors of all experience levels use.

Most known for its social trading features, eToro is used by novice and experienced traders looking for a community-led trading experience.

The platform is a social trading and multi-asset brokerage platform founded in 2007 by brothers Yoni and Ronen Assia and David Ring.

Its primary purpose is to enable users to trade a wide range of financial assets, including stocks, cryptocurrencies, commodities and more.

It also offers a unique social networking element that allows traders to follow and copy the strategies of other successful traders.

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Freetrade is a commission-free stock trading platform founded in 2016 by Adam Dodds.

Its primary selling point is to provide accessible and affordable access to stock markets, allowing users to buy and sell stocks with zero trading commissions.

Freetrade is most known for its user-friendly interface and commitment to making stock investing accessible to a broad audience, particularly in the United Kingdom and Europe.

eToro vs Freetrade: The Cost

Both eToro and Freetrade have different fee structures, impacting the overall costs for investors.

When deciding on eToro or Freetrade, factoring in the fee differences incurred when using each platform is essential.

Account Opening Fees

Both eToro and Freetrade do not charge any fees for opening an account.

Depositing Money

eToro may charge deposit fees depending on your payment method.

Payment methods such as credit cards can incur a deposit fee, or there may be currency conversion fees.

Note only some eToro card payments are supported so users should check their card is supported before choosing this option.

Freetrade does not charge any deposit fees.

Withdrawing Money

eToro charges a $5 withdrawal fee. Freetrade charges a £1 withdrawal fee for standard withdrawals.

Express withdrawals incur a £5 fee.

Transaction/Purchase Fees

eToro does not charge commissions on stock trades, but it makes money through spreads (the difference between the buy and sell prices) and overnight fees for CFD positions.

Cryptocurrency purchases on eToro may also involve spreads and overnight fees.

Freetrade is known for its commission-free stock trading, meaning there are no transaction fees for buying or selling stocks.

One factor to consider is fees for other assets, such as exchange-traded funds (ETFs) and foreign exchange transactions.

Closing the Account

Both eToro and Freetrade do not charge fees for closing an account.

Hidden Fees

eToro users should be aware of inactivity fees (after one year of inactivity), currency conversion fees and potential fees for holding leveraged positions overnight.

Freetrade charges foreign exchange fees when buying international stocks and fees associated with using the Freetrade Plus subscription service for additional features.

Freetrade vs eToro: Services and Products

Freetrade and eToro differ in the types of assets investors can trade. The choice between Freetrade or eToro depends on your investment goals and the types of assets you want to trade.

Outlined below are some comparisons between the two platforms.

What You Can Trade

Freetrade primarily offers commission-free stock trading. Users can buy and sell a wide range of individual stocks and exchange-traded funds (ETFs) on UK and US stock exchanges.

eToro offers a broader range of assets, including stocks, cryptocurrencies, commodities, indices and currencies.

Users can trade both traditional assets and cryptocurrencies like Bitcoin and Ethereum. Some but not all assets provide eToro dividends.

Trading Limitations

While Freetrade provides access to various stocks and ETFs, it may offer a different breadth of assets than more comprehensive platforms.

It focuses on stock and ETF investments.

There is also a Freetrade stocks and shares ISA available for tax-efficient investing in the UK.

eToro provides access to a wide variety of assets, making it suitable for traders interested in diversifying their portfolios across different markets.

eToro has also teamed up with Moneyfarm to offer an eToro ISA in the UK, allowing tax-efficient investing.

eToro is also well-known for its cryptocurrency offerings, allowing users to buy, sell and trade various cryptocurrencies directly on the platform.

Payment Options

Users can fund their Freetrade accounts through bank transfers, direct debits and debit card payments.

It's important to note that payment options may change, so always check the latest options on their platform.

Users can fund their eToro accounts using a variety of methods, including bank transfers, credit cards and various e-wallets like PayPal.

eToro vs Freetrade – Pricing, Features and Key Differences Explained
eToro vs Freetrade – Pricing, Features and Key Differences Explained

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.

Security Features

Freetrade employs industry-standard security practices, including encryption, to protect user data and transactions.

It also offers Two-Factor Authentication (2FA) for added security.

eToro also uses robust security measures, including data encryption and Two-Factor Authentication (2FA), to enhance user account security.


Freetrade and eToro UK are both authorized and regulated by the Financial Conduct Authority (FCA) in the United Kingdom, providing a level of regulatory oversight and protection for users.

eToro is also regulated by multiple authorities globally.

Freetrade vs. eToro: Ease of Use and Customer Service

Ease of use and accessibility of help and support are key considerations for those new to investing when choosing the right trading platform.

While experienced investors may have background knowledge and experience, the reliability and speed of response when help is needed is also an important factor when considering eToro vs. Freetrade.


eToro provides both a web platform and a mobile eToro app for iOS and Android devices.

The availability of web and mobile platforms offers flexibility for users.

Freetrade offers both a web platform and a mobile app, making it accessible on various devices.

The Freetrade app is available on iOS and Android.

Account Setup

Setting up an account with eToro involves identity verification, which can take a few days to complete.

The process may be longer due to regulatory requirements for customer due diligence.

Setting up a new account with Freetrade is generally quick and straightforward.

Users can sign up, complete identity verification and start trading within a matter of days, depending on the verification process.

Deposits and Withdrawals

Deposit times on eToro can vary depending on the payment method used.

Some methods, like bank transfers, may take several business days. eToro withdrawal processes can also take time, with eToro aiming to process them within one business day, but it may take longer for the funds to reach your bank account.

Deposits to Freetrade accounts are usually processed within a few hours to one business day, but it may take longer for funds to appear in your account. Withdrawals can also take a few business days to reach your bank account.

Customer Experience/Reviews

For new and experienced investors, ease of use of a platform is a crucial consideration to factor in when choosing a trading platform.

eToro is known for its intuitive and user-friendly platform, making it accessible to traders of different experience levels. Reviews often mention the social trading aspect as a unique selling point.

Freetrade is also praised for its user-friendly interface and simplicity, making it a good choice for beginners.

Customer Service

Accessing support when needed is essential in ensuring your trades are placed correctly and promptly.

Factoring in customer service, accessibility and opening hours is vital, especially for those new to investing.

eToro offers customer support through email and a ticketing system within the platform. The availability of support can vary by region, and it may not offer 24/7 support.

Freetrade also offers customer support via email and in-app chat.

Its support team typically responds within a reasonable time frame. This is generally during business hours.

The Pros and Cons of eToro vs. Freetrade

There are several pros and cons between Freetrade vs. eToro. Some of the main ones are detailed below.


  • User-friendly
  • Commission-free stock trading
  • Tax-efficient
  • Fractional shares
  • Wide range of stocks and ETFs


  • Limited asset range
  • No cryptocurrency trading
  • Limited features
  • Limited global market coverage

Pros of Using Freetrade

  • User-friendly – Freetrade is known for being a simple and easy-to-use trading platform. This makes Freetrade a good choice for beginner investors.

  • Commission-free stock trading – Freetrade offers commission-free trading for individual stocks and ETFs, allowing users to invest without incurring transaction fees.

  • Tax-efficient – Freetrade provides an Individual Savings Account (ISA) for UK investors. This provides tax benefits for UK residents, meaning they can invest up to a specified limit without paying capital gains tax or income tax on dividends. This results in tax-efficient investing.

  • Fractional shares – Freetrade allows users to buy fractional shares, which is helpful for those who want to invest in high-priced stocks but don't have the funds to buy whole shares.

  • Wide range of stocks and ETFs – Freetrade provides access to a variety of stocks and ETFs, allowing users to diversify their portfolios in these asset types.

Cons of Using Freetrade

  • Limited asset range – Freetrade's primary focus is on stocks and ETFs, so it may offer less diversity of assets than eToro.

  • No cryptocurrency trading – Freetrade does not support cryptocurrency trading, which could be a drawback for those interested in digital assets.

  • Limited features – Freetrade can lack some of the advanced trading features and tools that more experienced investors seek.

  • Limited global market coverage – Freetrade's market coverage is focused on the UK and European markets. There are limited options for those looking to trade in US stocks or access other international markets.


  • Diverse asset range
  • Social trading
  • Global reach
  • Regulation


  • Higher fees
  • Complex fee structure
  • Regulatory complexity
  • Limited technical analysis tools

Pros of Using eToro

  • Diverse asset range – eToro offers a wide range of assets to trade. These include stocks, a wide range of cryptocurrencies, forex, commodities and indices, as well as eToro options trading in the US. This provides users with many opportunities for diversification as their confidence, experience and investment strategies develop over the long term.

  • Social trading – eToro's unique social trading features allow users to follow and copy the strategies of successful traders, fostering a community-driven trading experience. This is a beneficial feature for novice traders, who can learn and develop from more experienced investors.

  • Global reach – eToro offers broad access to international markets and assets.

  • Regulation – eToro is regulated in several countries, including by the FCA in the UK. This reassures users regarding the safety of their funds and how the platform is operated.

Cons of Using eToro

  • Higher fees – eToro has higher fees than some competitors, particularly regarding spreads and overnight fees for certain positions. This fee structure means that costs can add up even though the platform offers commission-free trading.

  • Complex fee structure – Some users find eToro's fee structure complicated due to various fees associated with currency conversion, withdrawals and overnight positions.

  • Regulatory complexity – Compliance with different regulatory bodies in various countries can lead to differences in available features and products for users in different regions.

  • Limited technical analysis tools – Some advanced traders may find eToro's technical analysis tools limited compared to specialized charting platforms.

Final Thoughts

Choosing between Freetrade or eToro should be based on your specific investment goals, preferred assets and trading experience.

Freetrade is the best option for those looking to trade in traditional assets such as stock and ETF investors, especially those in the UK.

Those looking for a platform offering a more diverse range of assets, including cryptocurrencies and social trading, will find eToro better suited to their investment needs.

Both Freetrade and eToro offer accessible web and mobile platforms, and the ease of account setup is quick for both.

Deposit and withdrawal times can vary depending on factors such as payment methods.

Both eToro and Freetrade’s customer experiences and reviews highlight their user-friendly interfaces.

Both platforms offer customer support through email or in-app chat, but the availability of 24/7 support may vary depending on the location of the investor.

When choosing Freetrade vs eToro, by considering your short and long-term needs, your desire to learn about investment strategies and the assets you wish to trade, you will select the best platform for you currently and in the future.

WikiJob does not provide tax, investment or financial services and advice. The information is being presented without consideration of the investment objectives, risk tolerance or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. Investing involves risk including the possible loss of principal.

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