In my unbiased comparison of eToro vs Hargreaves Lansdown, I have taken into account the investment options, costs, and platform tools among other entities to bring you this definitive guide on why I believe eToro to be one of the best trading platforms compared to Hargreaves Lansdown.
- Is eToro better than Hargreaves Lansdown?
- Which platform is cheaper?
- Hargreaves Lansdown or eToro: Which platform offers most?
- Which platform has the best financial instruments?
- Which platform has the best research?
- Who has the best customer service?
- Who has the best education available?
- Which broker is better than eToro?
- Is Hargreaves Lansdown safe?
- FAQs about eToro vs Hargreaves Lansdown
Is eToro better than Hargreaves Lansdown?
Yes, eToro is better than Hargreaves Lansdown, not least due to its zero-commission trading and robust copy and social trading capabilities, which make it an excellent choice for active traders and beginners.
However, it is prudent to point out that for investors seeking access to funds or a tax wrapper, this is only available at Hargreaves Lansdown and more experienced traders, building their own portfolio, may benefit from the extensive list of investment options available at Hargreaves Lansdown.
Key takeaways
eToro has outperformed Hargreaves Lansdown in the following areas:
- Whilst Hargreaves Lansdown are one of the most expensive options available, eToro are a low-cost alternative that provide commission-free trading.
- eToro has one of the largest copy trading and social trading environments
- eToro provide live chat support
- eToro is very easy to use, even for beginners
 |  | |
| Read Review | Read Review |
Overall Rating
| Platform | ||
|---|---|---|
| Ratings | Overall Rating:
90%
Fees:
90%
Account opening:
100%
Deposit and withdrawal:
70%
Trading platform:
90%
Markets and products:
80%
Research:
70%
Customer service:
70%
Education:
50%
| Overall Rating:
80%
Fees:
60%
Account opening:
90%
Deposit and withdrawal:
80%
Trading platform:
80%
Markets and products:
80%
Research:
80%
Customer service:
90%
Education:
90%
|
Which platform is cheaper?
Fees
| Platform | ||
|---|---|---|
| Minimum DepositThe minimum amount required to open an account | $100 | £0 |
| Minimum TradeThe minimum amount to trade or buy shares | $1 | £1 |
| ETFs FeeFee per ETF trade | 0% | £11.95 |
| Investment Trusts FeeFee per investment trust trade | NA | £11.95 |
| Junior S&S ISA FeeSubscription fee per month and the platform fee | NA | 0.45% |
| Non Trading FeeFee for not trading in a period | $10 pcm after 1 year inactivity | £0 |
| Stocks & Shares ISA FeeSubscription fee per month and the platform fee | NA | 0.45% |
| Telephone Dealing FeeFee for trading over the telephone | NA | 1% £20 minimum |
| Withdrawal FeeFee for withdrawing funds from your account | $5 | £0 |
Winner: eToro
This is where the main difference lies between the two platforms with Hargreaves Lansdown being one of the highest cost platforms available, and eToro being one of the lowest cost platforms available.
Whilst Hargreaves Lansdown have a sliding scale when it comes to the platform fee, with accounts of over £250,000 enjoying a reduced fee of 0.25% and accounts over £1 million being further reduced to 0.1% of the account value, this still means that an account holding £250,000 will be paying £1,875 in platform fees before making a single trade. The same value account at eToro would pay nothing in account fees or trading fees.
Whilst eToro can’t compete with these numbers, they are still a very low-cost proposition and also offer zero commission trading on stocks. However, eToro make money with non-trading fees and the spread between the offer and bid price on any asset.
Hargreaves Lansdown or eToro: Which platform offers most?
Platforms & tools
| Platform | ||
|---|---|---|
| Android AppAn Android app available in the Google Play store | ||
| Copy TradingOffers the ability to copy other traders portfolios | ||
| Demo AccountOffers a demo account | ||
| iPhone AppAn app available for download from the iOS app store | ||
| Islamic AccountDoes the platform offer a sharia compliant Islamic account | ||
| MetaTrader 4Offers the MetaTrader 4 trading platform solution | ||
| MetaTrader 5Offers the MetaTrader 5 trading platform solution | ||
| Social TradingOffers the ability to share your trades on social media | ||
| Stock AlertsAbility to set price alerts, volume alerts | ||
| Web PlatformOffers a web-based browser trading platform |
Winner: Hargreaves Lansdown
Due to the fact that eToro have no downloadable desktop version of their platform, Hargreaves Lansdown have pulled ahead and would represent a better option for retail investors who prefer to trade via a desktop platform.
However, for beginner investors, eToro’s negative balance protection and stop-loss orders are an additional layer of protection to help reduce the risk of losing all their funds.
Which platform has the best financial instruments?
Investments available
| Platform | ||
|---|---|---|
| Auto InvestingAbility to set auto-investing options, usually per month | ||
| CFD TradingOffers CFD trading | ||
| Corporate BondsOffers corporate bonds | ||
| CryptoAbility to buy and sell cryptocurrency: Availability subject to regulations | ||
| Ethical InvestmentsOffers ethical investment themed funds and ETFs | ||
| ETFsAbility to trade ETFs: Availability subject to regulations | ||
| ForexAble to trade Forex | ||
| Fractional SharesAble to buy fractional shares | ||
| FundsAble to buy funds | ||
| Government Bonds (Gilts)Able to buy government bonds and Gilts | ||
| Investment TrustsAble to buy investment trusts | ||
| Junior S&S ISAAble to buy a junior stocks and shares ISA | ||
| General Investment Account (GIA)Able to buy and sell shares | ||
| Spread BettingAble speculate on rising and falling of financial markets | ||
| Stocks & Shares ISAAble to buy a stocks and shares ISA |
Winner: Draw
eToro is the clear front runner for investors looking for access to forex trading, cryptocurrency trading, CFDs, copy trading and fractional shares.
However, Hargreaves Lansdown provide access to a wide range of funds as well as an extensive list of stocks and other financial instruments that might suit experienced investors more.
It is also a major consideration that Hargreaves Lansdown provide an ISA account to protect any gains from the taxman and a pension account, which would be a tipping point for anyone saving for their retirement.
Which platform has the best research?
Research
| Platform | ||
|---|---|---|
| Research - SharesHas share trading research available | ||
| Research - CFDsHas CFD research available | ||
| Research - FundsHas funds research available | ||
| Research - ETFsHas research available for ETFs | ||
| Research - BondsHas research available for bonds |
Winner: Hargreaves Lansdown
Hargreaves Lansdown are one of the strongest platforms when it comes to research, providing investors with trading ideas, data on asset fundamentals, and a quality news flow.
The research is crisp and clean and easy to follow with a plethora of tools at your disposal.
However, for investors who are after comprehensive charting, this isn’t available at Hargreaves Lansdown whereas eToro have excellent interactive charts, trading ideas and analyst recommendations.
Who has the best customer service?
Customer service
| Platform | ||
|---|---|---|
| PhoneMain phone number for customer services | NA | 0117 900 9000 |
| Live chatHas live chat available | Yes | No |
| EmailMain email address for customer services | NA | Online messaging |
| 24/7 AvailabilityAvailable 24/7 for customer services | Yes | No |
| TrustPilot RatingThe TrustPilot rating of the platform | 4.4 - 20,229 reviews | 4.3 |
| TwitterThe Twitter account for the platform | https://twitter.com/eToro | @HLInvest |
Winner: eToro
Whilst Hargreaves Lansdown offer phone and email channels, which are not offered by eToro, I have nonetheless selected eToro as the winner here due to the fact that they offer live chat where Hargreaves Lansdown do not. Live chat is often the preferred method of communication for investors looking for immediate support.
Who has the best education available?
Education
| Platform | ||
|---|---|---|
| Share Trading GuidesHas guides on share trading | ||
| Funds EducationHas guides on trading funds | ||
| Retirement EducationHas guides and education on retirement | ||
| PodcastsHas podcasts available | ||
| VideosHas videos on education available |
Winner: eToro
Both these platforms offer a good level of education for beginners with tutorial videos, seminars, webinars, and articles all available.
However, for people just starting their investment journey, the demo account at eToro is a practical tool to help hone your investment skills and learn to navigate the platform before risking any of your personal funds.
Which broker is better than eToro?
The broker that could be considered better than eToro for Forex trading is Interactive Brokers who have superior trading tools and research. In addition, the mobile trading app at Interactive Brokers is often considered better.
However, Interactive Brokers cannot compete with eToro when it comes to social and copy trading.
Is Hargreaves Lansdown safe?
Yes, Hargreaves Lansdown is a well-established institution that is listed on the London Stock Exchange as well as being regulated by the Financial Conduct Authority. Both these things ensure that client funds remain safe in addition to protection from the Financial Services Compensation Scheme.
FAQs about eToro vs Hargreaves Lansdown
Is Hargreaves Lansdown any good?
Why is eToro not good?
eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.
Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% 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.
Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.
Copy Trading does not amount to investment advice. The value of your investments may go up or down. Your capital is at risk.
Cryptoassets are highly volatile and unregulated in the UK. No consumer protection. Tax on profits may apply. Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.
eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.
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