Interactive Brokers
eToro
eToro and Interactive Brokers (IBKR) represent two ends of the margin trading spectrum.
Category Breakdown
Margin Rates
🏆 Interactive BrokersIBKR: 5.33%+ vs eToro: varies (higher)
Global Market Access
🏆 Interactive Brokers150+ markets vs limited CFD markets
Platform Power
🏆 Interactive BrokersTWS is industry-leading
Ease of Use
🏆 eToroFar simpler for beginners
Copy Trading
🏆 eToroIndustry-leading CopyTrader
Product Range
🏆 Interactive BrokersStocks, options, futures, bonds, funds, forex
Regulation
🏆 Interactive BrokersMore jurisdictions, publicly traded
Educational Resources
🏆 eToroBetter for learning
Detailed Analysis
💰 Fees
IBKR has dramatically lower margin interest rates (5-6% vs eToro's overnight CFD fees that can be much higher annually). eToro offers zero commission stock trading but makes money on spreads.
⚡ Leverage
eToro offers up to 30x on forex (EU/UK regulated). IBKR offers up to 4x via portfolio margin on stocks but access to leveraged futures and options for higher effective leverage.
🖥️ Platform & Features
IBKR's Trader Workstation is far more powerful but has a steep learning curve. eToro's platform is beautiful and simple.
🔒 Security
Both are well-regulated. IBKR is publicly traded with $400B+ in client equity. eToro is newer but holds FCA, CySEC, and ASIC licenses.
🎓 For Beginners
eToro wins easily for beginners with CopyTrader and an intuitive interface. IBKR is built for professionals.
🏆 Our Verdict
Interactive Brokers is objectively better for margin trading with lower rates, more markets, and professional tools. eToro is the better choice for beginners who want social/copy trading and a simpler experience.