eToro Popular Investor Program: What Is It and How to Become One
The Popular Investor program is unique to eToro. The trading platform eToro began in 2007 to make investing and online trading accessible to everyone. It maintains a balance of providing new traders the easy access needed to start building wealth while improving on the essential elements of the industry to benefit experienced professionals.
That means there are useful short-term options for those who prefer day-trading without sacrificing the long-term equity that investors pursue.
Over six million people around the world use eToro for portfolio management because of the collective wisdom and ease of use that is instantly available.
It is also a social platform, allowing new traders to copy the processes of experienced professionals through structures like the Popular Investor program.
What Does It Mean to Be a Popular Investor?
You can only become a Popular Investor on eToro if you apply to join the program and have other members copy your trades.
When that result occurs, then the eToro Popular Investor program makes it possible to earn a second income with your unique investment strategies. When other people decide to copy your trades, it is because they like your approach. You then you get paid if you are part of this fantastic opportunity.
Once you become an eToro Popular Investor, you could earn a 2% annual fee for the total amount that others use to build their portfolio. That means, if 1,000 people were to copy your trades with a total value of $20 million, then you would earn an additional $400,000 during the year. This payment is in addition to whatever earnings you generate with your trading activities.
Each payment is made to your account by the 10th of each month.
Instead of waiting for your funds like other platforms require, eToro has all payments to Popular Investors credited as withdrawable funds.
How You Can Become a Popular Investor
You must excel at trading to become a Popular Investor with eToro.
Many of the best traders on this platform have a consistent pattern of success with decades of experience behind the decisions that they make. You don’t need to have a specific qualification to gain this status, but you do need to be good at what you do.
Anyone can make a couple of successful trades at some point in their life. Even a broken clock tells the correct time once or twice per day.
What about my history on other platforms?
Your history of trading doesn’t count toward your status on this social platform either. You must establish data that supports your success through eToro to join this program.
If you want to earn monthly payments as a Popular Investor, then you must also meet all of the cumulative requirements of the program. That means you must maintain a minimum average equity level in your account, have the required number of verified copiers, and cannot copy other users or a CopyPortfolio with more than 25% of your equity.
The maximum assets under management (AUM) for someone with Elite status in the Popular Investor program is $30 million. To reach this tier, you must also have a minimum of $500,000 AUM from all of your copiers.
You must spend a minimum of two months in the program before you can receive your designation. When your AUM grows, so do the earnings that you receive from eToro.
What are the tiers?
- Rising Star
There are three lower tiers for which you can qualify if you don’t achieve Elite status immediately. You only need $500 in minimum average equity and one copier to achieve Cadet status, making it a low-risk way to try this program.
Your minimum AUM at the lowest status is only $200 as well.
You can also become a Rising Star or a Champion and receive additional benefits with each tier.
You must already be trading with eToro and meet the requirements of the Cadet tier for your application to be considered as a Popular Investor. That means your profile must include a picture of yourself, a real name, and a thorough description of your trading strategy.
Your historical and current risk score must be six or below as well.
eToro Popular Investor criteria
In order to become a Popular Investor, there are certain criteria at each tier you need to reach.
If you’re lucky enough to get to the Rising Star or above tier, eToro will pay you US$500, $1000 or above each month you meet the criteria for that tier.
There are also other benefits for those lucky enough to become an Popular Investor.
What Is the Trading Process on eToro?
You will only trade your account capital when you join eToro. It is up to the other members to decide if they want to copy your trades if you apply and are accepted into the Popular Investor program.
Copied traders will link their account to your activities. If you buy and sell, then so will they.
What makes this relationship such a unique and potentially lucrative benefit is that the trades are proportional. Instead of meeting a specific monetary requirement, your copied traders will use the same percentages that you do for each activity.
If you make a move that requires 2% of your portfolio value to go into a specific trade, then every copied trader’s account will take the same action.
When you sell, the same process applies.
You will not be accessing the capital of any other member at any time. That is why the eToro Popular Investor program receives so much trust.
All it takes is for one person to copy you to join this program. When you can show a pattern of success, then more members will trust your decisions with their money. Their wealth grows, you earn a second income, and hopefully, everyone has a successful experience.
There will always be risks when trading and investing. eToro is not an exception to that principle. What this platform and program offer is the opportunity to benefit from your experience as a Popular Investor immediately.
How to Improve Your Member Status
There are many benefits to consider with the Popular Investor program if you can grow beyond the Cadet tier. Fee-free withdrawals begin at Rising Star, and you will receive a Financial Times subscription as a Champion.
When you reach Elite, then you’ll have access to a platinum account manager as well. Here are some ways that you can begin to grow your presence on this platform.
1. Continue to trade regularly.
It is more likely that you will receive copiers when investments are happening. Waiting months to see a first trade will not create results. Try to maintain a steady pace that follows the strategy you described on your account.
2. Trading regularly doesn’t mean overtrading.
eToro assigns a risk profile to each account. You will want to be trading in a way that can maximize gains without using a significant portion of your assets. Most Popular Investors use less than 3% of their account capital, using a low level of leverage, to limit the adverse impacts that could happen to their copiers.
3. Specialize in a specific area.
The best investors on eToro typically stick to a specific strategy that generates long-term results. A lot of members tend to focus their copying on particular asset classes. Instead of trying to be everything to everyone, it helps to carve out a niche where your expertise can shine.
Informed members are more likely to copy you if they know the specifics about your investment strategy. Leave a weekly post on your feed that outlines the reasons behind each trade so that your experience can help other investors begin to build their wealth too. Most Popular Investors see their AUM grow because of their actions rather than an ability to spam asset pages with ridiculous self-promotion.
5. Take some time to answer questions.
Although you won’t be touching the assets of your copiers, eToro does give you the option to answer their questions. Most of the people who follow you will not have extensive trading experience. Providing them with answers can help each copier to understand why you make specific choices with your account. When there is a greater understanding of your position, then there is a higher chance that you’ll get copied.
6. Start an investment blog.
When you begin the process of becoming a Popular Investor, then you are creating a brand for yourself. It can help to expand your online presence to a personal investment blog where you can write with greater detail about your decisions.
Don’t be afraid to talk about your experiences with your family, friends, and followers on your favorite social media platforms. You still need a successful history of trading on eToro to become a Popular Investor, but this brand outreach effort can help you to grow over time as well. Don’t be afraid to promote your Twitter or Instagram.
Although you don’t receive a monthly payment as a Cadet, Rising Stars and Champions earn $500 or $1,000 respectively.
When you reach Elite status, then you will earn an additional 2% annual AUM in addition to the $1,000 per month.
Are You Ready to Get Started on Your Journey?
When you trade on eToro, you can grow your wealth in several different ways. That is why the Popular Investor program is such a beneficial opportunity for the experienced trader.
Not only are you growing your portfolio with this program, but you are also helping many others benefit financially from your experience.
Joining eToro means that you can access a multi-asset platform that allows you to invest in stocks, crypto-assets, and contracts for difference (CFDs). If you speculate on rising or falling prices, then the risk of loss can increase quickly.
If you are interested in becoming a Popular Investor, then now is an excellent time to get started. Establish your expertise in the next 60 days, and then you might have a meaningful second income to use for additional trading if you want.
What to do now?
You can join eToro by clicking on this link.
If you’ve already joined eToro and you are interested in copying other traders, then you can check out my CopyTrader post. I’ll go through everything you need to look for when you think you found the right trader. If you are having trouble finding the right trader, then I suggest taking a look at this page to help break it down for you.