Updated: February 21, 2021
Social trading and multi-asset brokerage company, eToro has launched commission-free trading for US stocks to the Asia-Pacific.
This zero-commission offering applies to all stocks on its platform that is traded on the Nasdaq and New York Stock Exchange (NYSE). And this makes them the first platform to offer commission-free stocks and fractional shares globally.
Last 2018, eToro first shifted its stock offering in Europe from CFDs to ownership of underlying stock. And then a year later, eToro introduced zero-commission stocks, sparking a new era in online trading.
At that point forward, traders from Europe can own underlying stocks from any global exchanges offered on eToro; and users under ASIC regulation can do the same with stocks traded on Wall Street.
eToro offers thousands of stocks from 17 global exchanges on its platform, and it’s expected that the company’s stock offering will continue to grow in the future.
Alongside the growth in stock selection, traders and investors have also begun putting more emphasis on stock investments, as the number of stock trades on eToro grew sixfold throughout 2019 and Q1, 2020.
Furthermore, as of Q1 2020, stocks account for nearly a third of all trades carried out on eToro, which have interestingly grown from previous quarters despite the coronavirus pandemic.
Most popular stocks on eToro
As mentioned, with the introduction of ownership of underlying assets and 0% commission, people have been trading and investing stocks more on eToro. And below are the most popular stocks since these offerings started.
Leading the list is this well-known electric carmaker, which between 2019-2020 became the most valuable automotive company in US history. One of the reasons the Tesla stock is so popular on eToro is its high volatility.
On the one hand, it is a carmaker, positioning it in the traditional industry sector. On the other, it is a tech company, led by one of the world’s most famous and somewhat controversial innovators, Elon Musk.
This unique combination of factors, coupled with its overall positive trajectory in recent years, has made the TSLA stock more than twice as popular as the next stock on the list, Apple.
Short for Facebook, Amazon, Apple, Netflix, and Google, this group is very popular with tech investors around the world.
On eToro, the situation is not very different, as three of the FAANG stocks are in the top five most traded stocks on eToro.
Tech has been a very popular sector in markets in recent years, as giants such as Amazon, Apple, and Microsoft have become some of the most valuable publicly-traded companies in the world.
The meat substitute giant went public in July 2019 and has remained in the top 10 on eToro ever since.
Does this mean that a lot of traders and investors on eToro are vegan? There’s no way to tell, but it sure looks like many believe that the company has growth potential in the future.
Trade and invest in these US stocks
My primary reason for signing up for eToro was to be able to trade and invest in US stocks. And you can do it too, thanks to eToro.
eToro now has more than 13 million registered users from over 100 countries.
The platform enables people to invest in assets such as stocks, commodities, and crypto-assets. Users can also choose how they invest – they can execute a trade themselves, copy another user, or invest in a portfolio.
Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 67% 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.