Etoro vs XM Compared 2024: Pros, Cons, and More!

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Traders consistently seek trusted and reliable trading platforms that suit their trading styles and preferences. Etoro and Exness are top-tier regulated brokers providing online trading services worldwide. Etoro is known for its social trading and multi-asset platform, regulated in four tier-1 jurisdictions and one tier-4 jurisdiction including CySEC, FCA, Finra, FSA-S, and SIPC. On the other hand, Exness specializes in online forex and CFD trading, regulated by two tier-1 jurisdictions, one tier-2 jurisdictions, and tourtTier-4 jurisdictions, including  FSA-S, CBCS, FSC Mauritius, FSCA, CySEC, FCA, BVI FSC. While these brokers offer similar services, they each have their own strengths and weaknesses.

In this article, I have compared Etoro and Exness in terms of trading platforms, Pros, Cons, regulations, tradable assets, fees, customer support, and overall trading experience score. This analysis aims to help you determine which broker better suits your trading style and preferences.

eToro vs XM: In a Nutshell

eToro:

eToro is a multi-asset investment company that offers 5000+ trading instruments for clients worldwide. Its headquarters are located in Central Israel. The platform is known for its advanced proprietary social investing and copy-trading platform. eToro is regulated by multiple regulatory authorities including FCA, ASIC, CySEC, FINRA, SEC, and SIPC. etoro is also available on NASDAQ with the FTCV ticker.   It has built a huge community comprising over 30 million traders who interact with each other while investors automatically copy the trades of expert traders. Additionally, you can trade real stocks, ETFs, and cryptos with eToro. To learn more, you can read our review on Etoro. 

Etoro Overview

Etoro Overview
  • Founded In: 2007
  • Founder: Yoni Assia, Ronen Assia
  • Headquarters: UK
  • Minimum Deposit: $50
  • Maximum Leverage: 30:1 EU, 50:1  USA
  • Regulations: SEC, FINRA, FCA, CySEC, FSA-S, SIPC
  • Trading platform: eToro Trading Platforms
  • Account Types: Standard, Professional, Corporate
  • Payment Options: Bank Wire (BankTransfer/SWIFT), VISA, MasterCard, Giropay, Local Bank Deposits, Local Bank Transfers, Neteller, PayPal, Skrill, UnionPay, WebMoney, Yandex Money

XM:

Founded in 2009, XM is a forex and CFD broker that offers online trading services globally. It provides access to over 1000+ trading instruments including forex, cryptocurrencies, stock CFDs turbo stocks, commodities, equity indices, thematic indices, precious metals, energies, and shares. The broker is regulated by multiple reputable regulatory authorities, including FSC, ASIC, CySEC, DFSA, and FSCA. The broker offers a full edition of the popular MT4 and MT5 platforms, which include numerous proprietary indicators. XM offers a maximum leverage of 1:1000 to its clients. It is a low-cost broker with spreads starting from as low as 0.6 pips. To learn more, you can read our review on XM.

XM Overview

XM Overview
  • Founded In: 2009
  • Founder: Constantinos Cleanthous
  • Headquarters: Limassol, Cyprus.
  • Trading Instruments: 1000+ trading instruments including forex, cryptocurrencies, stock CFDs turbo stocks, commodities, equity indices, thematic indices, precious metals, energies, shares
  • Minimum Deposit: $5 for Micro, Standard, Ultra low accounts, and $10,000 for share accounts
  • Maximum Leverage: up1000:1 for Standard, Micro, and Ultra-low accounts, No leverage for share account
  • Regulations: FSC, ASIC, CySEC, DFSA, FSCA
  • Trading platform: MT4, MT5, XM trading apps 
  • Spreads: As low as 0.6pips 
  • Account Types: Standard, Micro, Ultra-low, Share  accounts
  • Trading Styles: Allows all trading styles including scalping, news trading, copy trading, EA trading
  • Payment Options: Bank Wire (BankTransfer/SWIFT), VISA, MasterCard, Neteller, Skrill
  • Funding Currencies: USD, EUR, GBP, JPY, CHF,‎ AUD, HUF, PLN, SGD, ZAR
  • US Traders: Not Accepted

eToro vs : XM Features

eToro:

XM:

  • Trading Instruments: 1000+ including  Forex, Crypto CFDs, Indices CFDs, Commodities CFDs, Stocks CFDs, Turbo Stocks CFDs, Metals CFDs, Energies CFDs
  • Maximum leverage: up to 1000:1 
  •  Minimum Deposit: $5 or Equivalent
  • Account Types: Micro, Standard, Ultra Low, Shares Accounts 
  • Fees: Starting from 0.6 in Ultra-low account, 1 Pips for standard account, and 1 Pips for Micro account
  • PAMM/ MAM:  Not Available 
  • Scalping: Allowed 
  • News Trading: Allowed
  • EA/ Robot Trading: Allowed 

eToro vs XM: Pros and Cons

eToro:

Pros
  • Regulated in numerous jurisdictions including CySEC, FCA, ASIC, FinCEN, MSB, FSA Seychelles, FSC Gibraltar, and FSA Malta.
  • Trading over 5,000 forex and CFD assets plus real stocks/ETFs and Cryptocurrencies.
  • A large community of social traders
  • Trading tools like market sentiments, news feed, Trading Central analysis, etc.
  • Investors can copy the trades of expert traders or invest in ‘CopyPortfolios’
  • Real Stocks and ETFs are Available 
  • Negative Balance Protection
Cons
  • Traders pay withdrawal fees, inactivity fees, and conversion fees.
  • You have no other platform choice than the eToro platform.
  • You cannot automate your strategies via trading robots.
  • No multiple account types; you can only have a retail account or a professional account.
  • Margin trading is not available to U.S. users
  • No limit orders for stocks.
  • Not Available in American Samoa, Guam, Hawaii, Nevada, New York, Puerto Rico and US Virgin Islands

XM:

Pros
  • Regulated by CySEC, ASIC, DFSA in UAE, and FSC Belize.
  • Easy and fast account opening
  • Minimum deposit is $5
  • Over 1000 forex/CFDs are available for trading.
  • MT4 and MT5 are the available trading platforms.
  • Quality research, market analysis, and access to trading tools like Autochartist.
  • Quality training for newbies and ‘ultra-low micro account’ for beginners.
  • High leverage up to 1000:1 (this leverage is not available to all the entities of the Group)
Cons
  • Dormant fees are charged after 3 months of no account activity.
  • Trading of real stocks is not available to European traders.
  • Traders have no other choice apart from the MetaTrader platforms.
  • Limited tradable assets.
  • No passive investment services (social trading platform, PAMM accounts);
  • Funding with PayPal is unavailable

eToro vs XM: Side-by-Side Comparison

Etoro
XM
Product
Product
Etoro
XM
Founded In
Founded In
2007
2009
Founded By
Founded By
Yoni Assia
Constantinos Cleanthous
Headquarters
Headquarters
London, United Kingdom
Limassol, Cyprus
Regulations
Regulations
CySec (Cyprus) , FCA (UK).
FSC
Min Deposit
Min Deposit
$50
$5
Max Leverage
Max Leverage
30:1
1000:1
Tradable Assets
Tradable Assets
Offer you over 5,000 instruments from a wide range of asset classes: Stocks, Indices, ETFs, Currencies, Commodities, Crypto
Forex , Commodities, Stock ,Indices , Crypto , Turbo Stocks Equity indices , Precious Metals , Energies
Fees
Fees
Spread from 2.0 pips
Spread from 1.0 pips, Only Share Account
Platforms and Tools
Platforms and Tools
eToro trading platform
MT4, MT5
US Traders
US Traders
Allowed
Not Allowed

eToro Vs XM: Our Scores and Ratings

We rated both brokers, eToro and XM, on a scale of 1 to 10, with 0.1 increments. To achieve a comprehensive rating, we broadly grouped all services offered by brokers into 6 macro categories and assigned percentage weights to them. Each macro category is subdivided into several data points which contributes to the total score of 1.0-10.0 assigned to each macro category. Since all categories are not equally important, our weight percentage plays a significant role in assessing the broker accurately. For example, Regulation and Security contributes a total weight of 40% to the whole ratings because this is the most important rating category. To learn more, read our methodology.

eToro:

9.1
Total Score
Regulation and Security (40%)10
Fees and Commissions (20%)8
Trading (15%)9
Trading tools (10%)7
Customer Support (10%)9.5
Trading Education (5%)9

XM:

9.3
Total Score
Regulation and Security (40%)9.6
Fees and Commissions (20%)9.5
Trading (15%)8.4
Trading tools (10%)8.6
Customer Support (10%)9.5
Trading Education (5%)9.4

Final Verdict:

Both eToro and XM are regulated online trading platforms in the industry, offering services to traders and investors. However, there are some differences between them. eToro is a multi-asset and social trading platform, providing over 5000+ trading instruments, including Forex, CFDs, real stocks, and cryptocurrencies. It offers both leverage and non-leverage tradable assets. On the other hand, XM is a forex and CFD broker offering Forex, Commodities, Stock, Indices, Crypto, Turbo Stocks, Equity indices, Precious Metals, and Energies. 

Our score for eToro is 8.5, and for XM, it is 9.3 (based on our research; a score above 8 is considered safe and trustworthy). If you are seeking a social trading platform where you can copy other successful traders and have a one-stop solution for various types of trading, you may choose eToro. However, if you want to trade forex and CFDs, you may choose XM.

Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89 % of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Written by

Jason Paine is a forex trader, researcher, and tech enthusiast. He is passionate about financial markets and cutting-edge technology. With a dynamic 16-year trading career, he's on a mission to guide fellow traders. Having navigated diverse forex brokers, Jason shares his insights at Brokersway to bridge the gap between traders and the right brokerage.

DisclosureAt Brokersway we're committed to delivering unbiased information. our opinions are our own and are not influenced by the payment we receive from our advertising partners. While we adhere to strict editorial integrity, this post may contain references to products from our partners. Here's an explanation of how we make money.

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