eToro relies on social trading and is successful with it!
The topic of social trading is playing an important role at eToro. The broker has managed to become the most important broker for social trading activities in Europe in recent years. The growth at eToro is significantly greater than is the case with other brokers and eToro should continue to grow in the future.
The topic of social trading has become very important in recent years. Especially during the Corona crisis, many traders decided to open a securities account and start buying and selling shares. Trading is now possible digitally and mobile via apps and without any great effort. In the long term, it is therefore conceivable that we will no longer use a computer, but that everything will work via apps. In general, thisSocial Trading is a topic that has become significantly more important. In contrast to classic trading, it is possible that a lot is possible via social trading, including communication with other people. In concrete terms, this means that with social trading you can see which securities other traders are buying and selling. It is also possible to see which traders are particularly successful. Trading in classic shares as well as trading in Forex products are possible without any problems via social trading. In any case, traders can trade very well in social trading and exchange ideas about their strategies. In the long term, it is possible that a different atmosphere will emerge than is the case with classic trading. Thus, traders can always develop a different interest in securities and trading opportunities.
TheSocial Trading Trends lassen sich nicht nur in Deutschland, sondern auch in Europa sowie in anderen Regionen der Welt sehen. Musterdepots, die als Social Trader Depots klassifiziert werden lassen sich in verschiedenen Zeitungen finden. Somit gibt es die Möglichkeit, regelmäßig einem Depot über eine lange Zeit zu folgen und davon zu profitieren. Langfristig gesehen ist es möglich, dass man als Trader in the social trading segment, you can definitely perceive very good options and see whether a strategy is successful or not. There are shareholders and professional traders who report from their portfolio in many areas. In concrete terms, this means that there is the possibility, for example, of following bloggers who regularly publish their portfolio and talk about where and how they make their investments. In the long term, it is conceivable that with the right sample portfolios, one's own strategy can be developed, or that one can learn something new in any case.
For eToro traders, social trading also means that it is possible to learn a great deal from others in any case. The platform has extensive statistics on which traders are doing how well and what returns have been achieved over what period of time.
The current times are particularly interesting for traders because the stock market is very volatile. This means that the prices of the stocks rise quickly and sharply, but also fall in value just as quickly. In concrete terms, this means that you can make a lot of money through the rapid movements in the stock market. In the long term, it is conceivable that you can definitely benefit from social trading with the stock market, provided you choose the right strategy. In addition to the traders who act particularly quickly, there are also traders who work with a particularly long-term orientation. In concrete terms, this means that you have the option, for example, to buy shares that you want to hold for a time horizon of 5 to 10 years. Some securities can also be bought very cheaply during a crisis and then held for eternity. Many traders use crises to build up a portfolio from which they will benefit for a lifetime. If you choose companies whose business model is definitelysustainable and long-term oriented if it works, it is possible that very high returns can be realized. It is often regular dividend payments that ensure that investors get the right returns.
AT&T is an example of a Dividend Aristocrat!
In the area of dividend yields, it is primarily US corporations that are very popular with investors worldwide. That means opting for corporations that have typically been paying dividends for many decades. It is not uncommon for the dividend to have increased significantly in recent years. It should also be mentioned that the corporations are considered so-called dividend aristocrats. This means that the dividend has increased every year for over, say, 25 years. The US group AT&T (see AT&T dividend) has been active on the market for many years and has been paying an increasing dividend since 1984. Due to the currently very low price level, the yield from the dividend isabout 7.5% and is therefore relatively high. The group pays the dividend once a quarter, which is of course very interesting and contributes to the fact that you can regularly see an attractive return in the portfolio. In general, it is common for US companies to pay dividends to shareholders once a quarter. This makes it possible in the long term that secure returns can be achieved.
What advantages does eToro offer over other brokers?
When choosing a broker, it is important that you choose a company that is well positioned in any case and that yours is too based in Europe. In concrete terms, this means that you make sure that there is regulation because the company is based in Europe. So-called offshore brokers do not have their registered office in Europe and are therefore generally not subject to any regulation. This often leads to customers being dissatisfied, because it can also happen that you don't get your money back or that payouts don't work. In general, it should be mentioned that as a broker, you naturally have certainobligations towards customers. This also means that funds are paid out. There is some form of regulation at eToro. Due to the fact that the company is based in Cyprus, there isregulation by the CySEC in any case.
The broker eToro advertises on its homepage that there is a corresponding regulation. In any case, this builds up a lot of trust with the traders. It should also be noted that eToro has been on the market as a broker for many years. This means that the broker has good reviews and is positively received by many customers.
What can I trade at eToro?
The trading options at eToro are very varied. In addition to the social trading aspects, it is also possible to be active in CFD and Forex trading. This means that as a trader you can also trade CFDs with eToro without any problems. Trading in cryptocurrencies is also possible with eToro, as is the case with some other brokers. Here eToro is much better and more broadly positioned and sometimes offers a larger number ofcryptocurrencies than is the case with the competition.
There are numerous underlying assets to consider when deciding to trade on eToro. This means that you can use currency pairs, for example, or stocks as well as indices and commodities. Many of these underlying assets cannot be traded with other brokers. It should also be noted that with eToro you have the option of trading viathe software eToro OpenBook. If you want, you can also use the web trader and the mobile app to design the entire trade and benefit from it.
What are the advantages of forex trading in general?
It is generally possible that you can experience a lot through forex trading. High profits as well as high losses can be realized with this type of trading without any problems. It should also be noted that in the area of Forex trading you can quickly achieve even more with leverage than you would without. In the long term, traders can make a lot of profits, especially if they are familiar with the matter and if they are able to understand and interpret trading signals. There are many traders who are so green behind the ears that they don't understand the subject matter and therefore quickly make a large loss. In the long term, this is by no means interesting, but it shows that trading know-how is often lacking. At eToro there are numerous ways to acquire the relevant know-how digitally and to benefit from it. It is possible that you can acquire the know-how in any case and thus achieve corresponding profits. However, this process can take several months or even years. Achieving long-term profits is not that easy on the stock exchange and does not always work. Trading is often too hectic and it quickly happens that traders are ignorant and thus sell titles that would have meant a profit in the long term.