Our detailed comparison sets eToro against Interactive Investor to ask which is going to be the better platform for your investing journey.
In this comparison, we will take a look at the pros and cons of each, as well as their key differences in terms of fees and commissions, trading platforms and apps, customer service, regulation and security.
Of course, there is no clear ‘best’ since each platform has distinctive strengths and weaknesses, and their appropriateness will depend on your own investment goals, preferences, and risk tolerance.
Let’s dive into how these two differ.
eToro vs Interactive Investor: Our Verdict
Undoubtedly, both eToro and Interactive Investor are safe and well-run platforms, and we find no clear winner.
Choose eToro if you’re interested in copy trading, CFDs, crypto, or require the use of fractional shares. It lacks the breadth of investments of Interactive Investor, and it’s insistence on USD as the default currency means UK investors have to exchange everything back into GBP, incurring a conversion fee in the process. These are small quibbles though: eToro is a leading broker and it’s commission-free trading is largely good value. It’s mobile apps are amongst the best in the business and, as a day trading platform, it’s also the one to choose.
Choose Interactive Investor if you need an ISA or SIPP tax wrapper, or require a broader range of investments. They charge on a flat-fee subscription model, offer excellent research reports, articles, and analyst ratings, but their mobile App lacks the sophistication of eToro. Interactive Investor is ideal for a UK based investor who is more interested in long term investments as opposed to needing the bells and whistles of a trading APP.
76% of retail investor accounts lose money when trading CFDs with this provider (eToro). Please also note that investing in financial instruments, commodities, and other assets carries inherent risks. The value of your investments can go up or down, and you may lose some or all of the capital you have invested. Always ensure you understand these risks before engaging in any trading or investment activities
eToro vs Interactive Investor Pros and Cons
| Feature | eToro | Interactive Investor |
|---|---|---|
| Investment Options | Auto Investing CFD Trading Crypto Ethical Investments ETFs Forex Fractional Shares | Auto Investing Corporate Bonds Ethical Investments ETFs Forex Funds Government Bonds (Gilts) Investment Trusts Stocks & Shares ISA |
| Copy Trading | Yes | No |
| Fees | Commission-free on stock trades | Flat fee per trade, with discounts available for frequent traders |
| Cost | Higher fees for non-trading activities, such as withdrawal and inactivity fees | Offers a range of pricing plans to suit different investment needs |
| Research and Analysis Tools | Limited compared to Interactive Investor | Extensive research tools and resources |
| Usability | User-friendly platform and mobile app that are easy to navigate | Offers a more complex platform, but with extensive customization options |
| Crypto | Offers a range of cryptocurrencies for trading and investing | Does not currently offer cryptocurrency trading or investment options |
| ISA/SIPP | No | Offers both ISA and SIPP accounts for tax-efficient investing |
| Customer Support | Web ticketing system only | Offers customer support through email, phone, and live chat |
| Regulation and Security | Regulated by the Financial Conduct Authority (FCA) in the UK, as well as other regulatory bodies in the countries where it operates, offers two-factor authentication and SSL encryption for added security | Regulated by the Financial Conduct Authority (FCA) in the UK, provides client money protection and uses two-factor authentication for added security |
eToro vs Interactive Investor: Key Differences
here are some key differences between eToro and Interactive Investor:
- Investment options, Interactive Investor offers a more extensive range of traditional investment options, such as corporate bonds, funds, government bonds (gilts), and investment trusts, which eToro does not offer. Conversely, eToro provides access to cryptocurrencies, CFD trading, and fractional shares, which Interactive Investor does not currently support.
- Copy Trading: eToro’s social trading features allow users to follow and copy successful traders, while Interactive Investor does not offer this feature.
- Fees: The two platforms have different fee structures. eToro offers no commission fees on stock trades, but makes money via charging spreads on trades, with additional fees for some account features. Interactive Investor offers a flat fee per trade, with discounts available for frequent traders.
- Research and Analysis Tools: Interactive Investor offers more extensive research tools and resources than eToro, making it a good option for investors relying heavily on analysis.
- Usability: While both platforms offer user-friendly platforms and mobile apps, eToro’s platform and app is easier easier to navigate.
- ISA/SIPP Accounts: eToro does not offer an ISA or SIPP, which may be off-putting for investors requiring these wrappers. Interactive Investor has both.
- Customer Support: eToro offers a web ticketing feature only, unless you’re on one on of their higher plans. Interactive Investor allows messaging support through the app, or phone support Monday to Friday.
eToro vs Interactive Investor Fees and Commissions
Overall, the two platforms have very different fee structures.
eToro offers no commission fees on stock trades but charges spreads on trades that vary depending on the asset being traded, whereas Interactive Investor charges a flat fee per trade.
With Interactive Investor, you must choose one of the paid monthly subscriptions which entitle you to various amounts of free trades per month, free regular investing, and reduced fees for subsequent trades.
| Fee Category | eToro | Interactive Investor |
|---|---|---|
| Platform | eToro | Interactive Investor |
| Minimum Deposit | $10/£10/€10 | £0 |
| Minimum Trade | $1 | N/A |
| ETFs Fee | 0% | £7.99 |
| Investment Trusts Fee | N/A | £7.99 |
| Non-Trading Fee | $10 pcm after 1 year inactivity | £0 |
| Stocks & Shares ISA Fee | N/A | from £4.99 per month |
| Telephone Dealing Fee | N/A | £49 |
| Withdrawal Fee | $5 | £0 |
eToro:
- No commission fees on stock trades
- Spreads on trades vary depending on the asset being traded
- Deposit fee: 0.5% (minimum fee of $5)
- Withdrawal fee: $5
- Inactivity fee: $10 per month after 12 months of inactivity
- Overnight/weekend fees (for CFD trades)
- Currency conversion fees
Note that eToro also charges higher fees for non-trading activities, such as withdrawal and inactivity fees.
Interactive Investor:
- Subscribe to either £4.99, £9.99, £12.99 or £19.99 per month accounts.
- UK shares, funds, and US shares, £3.99 to £5.99 depending on plan
- Other international shares £19.99
- Discounts available for frequent traders
- Monthly account fee of £4.99 or £9.99 for ISA and SIPP accounts
- No deposit or withdrawal fees
- No inactivity fees
eToro vs Interactive Investor Trading Platforms and Apps
Both eToro and Interactive Investor offer mobile apps and web trading platforms, but eToro’s offerings stand out in terms of usability and security features.
Overall, eToro provides an exceptional user experience, delivering a high level of ease-of-use and maintaining consistency across its web platform and mobile app. When it comes to charting, the mobile app is responsive and closely mirrors the web platform experience.
On the other hand, Interactive Investor’s mobile app, while functional and and efficient, is quite basic by comparison. The app enables users to execute trades, access watchlists (which synchronize with the desktop version), view fundamental charts across various timeframes, and stay updated with the latest news and analysis. We’d like to see the app incorporating more research and fundamental data available on the website, as well as expanding its charting capabilities.
Overall, both platforms offer user-friendly trading platforms and mobile apps. eToro’s platform and app are generally considered easier to navigate, while Interactive Investor’s platform is more complex but offers more advanced customization options and research tools.
eToro vs Interactive Investor Customer Service
eToro:
- eToro offers customer support through web ticketing only, for most users.
- The platform also offers an extensive online help centre, which includes a range of resources such as tutorials, FAQs, and video guides.
Interactive Investor:
- Interactive Investor offers customer support through email, phone, and in-app messaging.
- The platform also offers an extensive online help centre, which includes a range of resources such as tutorials, FAQs, and video guides.
eToro vs Interactive Investor Regulation and Security
eToro:
- eToro is regulated by the Financial Conduct Authority (FCA) in the UK and other regulatory bodies in its operating countries.
- The platform offers two-factor authentication and SSL encryption for added security.
- Client funds are also kept in segregated accounts to ensure their safety.
Interactive Investor:
- Interactive Investor is also regulated by the UK’s Financial Conduct Authority (FCA).
- The platform provides client money protection and uses two-factor authentication for added security.
- Client funds are also kept in segregated accounts to ensure their safety.
Overall, both platforms are regulated by the FCA in the UK and provide similar security measures to protect client funds and data. It’s important to choose a well-regulated platform that takes security seriously, to ensure the safety of your investments and personal information.
