So, you want to make money or setup a passive income stream, in this post – What is eToro and how to invest to make money? We’ll take a short look at investing using the etoro platform.
Let’s start with what is etoro then we’ll look at using that platform to setup a passive income source:
What is eToro?
It is social trading and multi-asset brokerage company that has registered offices in Cyprus, Israel, China and the United Kingdom. That said there are people using this platform to invest from countries like India, Africa, Bangladesh, Pakistan and many others.
The eToro online trading platform has both manual trading and social trading features. Social trading enables our clients or you in this case to follow the financial trading activity of other clients (people who are already on the platform, well established and making money), and use the CopyTrader system to replicate everything they do in real-time. This is a game changer, now imagine you are new to investing, don’t really understand what investing in stocks or ETFs is all about. Should you abstain from investing?
I’d so no, while you learn the basics and as long as the money you are investing is not your rainy-day fund or daily life line. And you can afford to take some losses without ending up on the street, I personally have done so the decision is yours but start small and using CopyTrader system, it allows you to start somewhere while you gain the confidence to select and invest in your own choice of companies.
To support this process, the eToro platform operates in full transparency, displaying each client’s relevant data, such as gain percentage, risk score and portfolio composition. Giving you the full choice of who to follow and how much to follow them with. You can find out more on CopyTraders here
For manual traders, this is suitable once you know which stocks you want to buy and how much you would like to invest, eToro provides a selection of stocks, currencies, commodities, cryptocurrencies, ETFs and indices through its own innovative trading platform. Using the professional tools and analyses on eToro, traders like you and me can track and invest in a variety of financial instruments.
The next great option provided on this investment platform is called CopyPortfolios. eToro’s CopyPortfolios are ready-made investment portfolios, which are comprised of either top traders from the platform or several financial assets following a predetermined market strategy.
Combined with this features eToro is also giving you and I the ability to buy and sell assets free of charge. Meaning you don’t have to pay to buy and hold stocks, ETFs etc. Making it very good starting point for beginners.
Sign-up free and get yourself a demo trading account, practice and learn before quickly moving onto the real trading account, it does not cost you anything. I have one here, ZAtrading, follow or copy me if you want.
Next, we’ll look briefly at investing using eToro, this is just an overview to learn more make sure to follow my post and I’ll be uploading more details on how to really make money online using eToro.
How to invest to make money on eToro?
I’ll start with the earnings disclaimer first – I am not asking you to invest in anything using eToro. This post is simply providing you with details on how eToro can or may be able to help you get started in investing and making some money. How much you make is dependent on what level of training and experience you develop. It is also dependent on many other factors; my recommendation is only to invest the amount that you can easily live without if lost or the value reduces due to investing in shares that go down in value.
I’ve always had an interest in the financial markets and investing, like most people I think, but I had no real idea how to break through the walls and actually trade, especially when investment houses charge fees to buy and sell shares it all seemed to difficult.
That all changed when eToro hit the market, it opened the doors and allowed me and people like me to start trading online. eToro is up to 20 times cheaper and easier than traditional stockbrokers, with 0% commission on real stocks – no brainer, as now I am able to buy and sell shares without worrying about paying a fee.
Go ahead and register with eToro here – Register with eToro
Then open a demo or eToro Practice account, giving you $100k for practice investing. You have access to everything, I used it when I began on the investment platform and was very easy as well as enjoyable to take $100k to $300k then make losses back down to $90k. They have training on the site so as you go through the training material, good idea to make as well as lose money, helping you train your mindset.
Remember trading or investing is not purely about putting money into a stock or ETF, it is also important for you to develop the investing mindset. Having the right mindset is crucial when it comes to gaining success in investment.
For example – you buy some shares using eToro. As it is on your mobile you keep a constant eye on the price of those shares going up and down during the day. Each time it goes into the red and the amount you invested goes into negative. You break into a sweat and panic, you decide to sell, only to realise that moments after you sold at a loss the stock price shoots up by 30-50%. Had you developed your investing mindset; you would not have made that hasty decision. This is an example of how things can go wrong and you end up losing money.
With investing you need to learn the basics so use the etoro practice account and learn. Then only buy less risky stock to build up your confidence, gradually move to bigger investment amounts and slightly risker asset types like cryptocurrencies, forex, leveraging etc.
That’s it in this post, subscribe to this blog and make sure to get the latest articles in your inbox. Good luck, if you do decide to join eToro then consider following me – ZAtrading, by no means am I the best – far from it, but learning to get there and keen to share the knowledge and experiences along the way.
You can register here for a free practice account: eToro Practice Account registration
