We’re excited to announce that stocks are officially live on the eToro platform!
You can now diversify your portfolio with investments in US stocks, ETFs, and crypto — all in one place. Plus, you can invest in fractions of any of those assets, with as little as $10.
Get more for your money with 0% commissions, and gain access to your very own community of 20M+ global investors — it’s a win-win all around. Brush up on your stocks knowledge, then explore all your newest offerings on eToro.
What are stocks?
Stocks are an investment in a company and that company’s profits. When a business is growing and seeing success, its stock becomes more desirable, and its stock price might grow. When it’s seeing less success, or investors are selling at a high rate, its price might drop. An investment in a company’s stock often underlines some kind of belief in a company — you think it will succeed, or you want it to succeed, so you invest in its success.
Stock investing also opens you up to dividends. These are payments that some companies make out of their quarterly or annual retained earnings back to their stockholders, as a sort of thank you for being part of their success. Not every company pays dividends, but for those that do, your dividend will be added to your eToro account when the company distributes its dividends.
As companies grow, you’ll notice that some of their stock prices start to climb incredibly high — sometimes, into the hundreds of thousands of dollars. That’s why we allow you to invest in a fraction of a company’s stock for as little as $10. This kind of investing allows you to still share in a company’s market movements, without such a huge financial commitment.
What are ETFs?
ETFs, or Exchange Traded Funds, are often referred to as a “basket” of securities (such as stocks). Simply put, they’re a collection of anything from stocks to bonds, commodities, and currencies that can be invested in with a single trade, rather than having to collect them all separately. They often act as an easy way to diversify your portfolio, as they can expose you to many different industries or assets with just one investment.
Unlike just buying a bunch of separate stocks, however, investors don’t actually own the individual stocks inside the “basket” of the ETF. Instead, they own a piece of the basket itself, and the performance of said basket relies on tracking all the assets within it. So, the value of the ETF may vary slightly from the underlying assets.
What’s in the basket can be determined in many different ways — sometimes it’s the size or industry of the company; other times, it’s the ethics that certain companies follow. The possibilities are endless. In any case, ETFs can be a good way to invest in a group of stocks or commodities that share some common traits, while still adding diversity to your portfolio.
Not sure where to start?
All the choice between stocks, ETFs, and crypto can definitely be overwhelming. Luckily, on eToro, you have the opportunity to interact with 20M+ investors worldwide and learn from their expertise — a great way to build connections, confidence, and knowledge about investing. Post questions, get answers, and observe what others are saying about your favorite stocks, ETFs, and cryptos. Plus, eToro offers you a unique virtual portfolio, where you can play around with $100K (in virtual money) to explore, learn, and hone your skills before you invest a single (real) cent.
Ready to get started?