Is eToro copy trading worth it? Two years of experience

What is copy trading?

Copy trading works on a straightforward principle. On the investment platform, you choose a trader whose strategy you want to copy. The platform provides certain data, such as their long-term performance, risk profile, and the list of assets they invest in. You decide how much to allocate to copy trading, and the system automatically mirrors the chosen trader’s actions in your account. If the trader buys or sells shares or other assets, the same trade is executed for you.

Put simply, the trader’s profit is your profit, and the trader’s loss is your loss.

This approach is suited mainly to beginners who do not have enough market knowledge or time to monitor investments every day. More experienced investors can also use it to diversify their portfolio or as inspiration for their own trades.

My experience with copy trading

I first looked into copy trading two years ago when I was deciding how to start investing efficiently through my broker. I did not have much time for in-depth, intensive market research and monitoring, so the simplicity of copy trading appealed to me. I selected several traders on eToro who had steady performance and were not taking excessive risk.

One of the first traders I copied focused on technology stocks—companies like Apple, Tesla, and Amazon. Thanks to his strategy, my portfolio gradually appreciated by about 10% during the first year. I admit I was tempted to copy traders focused on short-term speculation such as cryptocurrencies or forex. Be very careful. Keep in mind that these strategies can be highly risky.

The most stable choice proved to be investors in dividend stocks with a long-term horizon. One such investor delivered around 15% over two years.

On the other hand, I also came across traders who had excellent results in the past, but whose strategies failed when market conditions changed—especially due to political events. As with anything, copy trading should be approached with respect. Never put all your funds into it. Do not invest money you cannot afford to lose.

Who I copy

Based on my own experience on eToro, after careful consideration I started copying several traders. The first goes by the nickname JayNemesis. He focuses on technology stocks and ETFs. What stood out to me was his consistent long-term performance, well-thought-out strategy, and regular communication with the community.

Alongside him, I copied a trader with the handle Wesl3y, who applies a more conservative approach with an emphasis on steady growth and risk management. His portfolio is built to handle potential (sometimes quite large) market swings without major issues. This is useful for investors who want to balance more dynamic positions with something more conservative.

Overall, the results were positive. You cannot count on endless growth or gains every single month. What matters is long-term profitability.

Is copy trading worth it?

Whether copy trading is worth it depends mainly on whom you choose to copy, how effectively you diversify, and how long you hold the investment. In my case, it was worthwhile over the long term—especially when I stayed patient and did not switch the traders I copied after a short period, for example after a single month of weak performance. That is exactly what you should avoid.

Every investor should also account for risk and view copying other traders more as a complement to their own investment decisions.

If you plan to use copy trading for a larger part of your portfolio, you should be aware of the risks it brings. The value of your invested capital depends entirely on the decisions of other people.

You choose whose strategy you trust at the start. After that, it is up to the trader you selected to deliver performance. The key risk to highlight is, of course, the possibility of losing your capital. In some cases, copy trading can also lead to poor diversification. And in general, you always have very limited control over the trading strategies of the specific traders you copy.