EToro Debuts ETF Trading & Commission Free-Stocks
Commission-free trading and exchange-traded funds for stocks is coming to the eToro platform. This information comes from the social trading company itself in an announcement made on Monday, May 6, 2019. EToro has an advantage over the competition as they have direct access to ETF’s and Stocks while other retail brokers only have contracts-for-difference. It’s because of this that this firm is able to now provide commission-free trading and ETF’s directly on their platform.
The company, as of Monday’s announcement, will no longer be charging management or commission fees. The announcement also revealed that eToro themselves would cover all stamp duty costs. This is a tactic that will help eToro in user growth.
During the announcement, the United Kingdom Managing Director for eToro stated, “We want to encourage more people to invest in stocks. Removing commission free is an important first-step, but it’s not enough. We need to get people excited about investing.”
New Service available only in Europe
EToro providing their users with commission free trading is the result of a controversial twelve months in Europe and the United Kingdom. The FCA in Britain and Europe has both adopted a new structure that obfuscates fees. There are also bans on exit fee charges for retail investment services in the United Kingdom.
The rapid changes in regulation across Europe in terms to foreign exchange and CFD Trading have allowed for retail brokerage firms across the continent to expand their services. Clients and traders across Europe are now getting multi-asset trading opportunities.
Granted, the new changes in regulation have been shrouded in some controversy. There has only ever been one other broker that has been successful with having no fees on various forms of stock trading. Critics claim that this creates conflicts of interest. Regardless this new service by eToro will surely be loved by traders and clients of their platform.