5 Best Copy Trading Platforms and Brokers in 2024

You can copy profitable traders with the greatest copy trading platforms. This is a fantastic way to acquire and sell assets without actively managing them, particularly if you are a novice investor.

We examine the top copy trading sites in 2024 in this guide. Continue reading to find out which copy trading platforms offer the most financial markets, the greatest investor pool, and the lowest fees.

What Is Copy Trading？

By combining community-driven insights with individual investment methods, copy trading allows users to mimic the real-time trades made by successful investors.

On a fundamental level, it makes financial markets accessible to anyone, allowing both novice and experienced traders to reap the benefits of a large trading community’s collective wisdom.

Rather than being transactional hubs, platforms that serve mainly as learning and strategy forums strengthen this mutually beneficial ecosystem.

These platforms provide a wide variety of services, from a wide range of tradable assets to comprehensive analytical tools, which has led to a personalized experience that can greatly impact traders’ performance.

Legal frameworks and technological developments have accelerated their dissemination while guaranteeing compliance, security, and transparency, all of which are crucial for copy-trading endeavors to remain trustworthy and productive.

5 Best Copy Trading Platforms and Brokers in 2024

This will be a comprehensive evaluation of the top copy trading brokers. We go over all the information investors require to select the best platform.

1. BTCC– Best Copy Trading  Platform for Crypto

Copy Trading is an exceptional method for novice and other traders to replicate the strategies of experienced traders and receive rewards. Clients have the opportunity to replicate the transactions of pro traders with the expectation of obtaining greater rewards through BTCC.

To the delight of its clients, BTCC Exchange has recently implemented a copy trading feature. Expert traders’ transactions can now be effortlessly replicated by BTCC users in real-time. In the long term, this effective approach enables them to enhance their profitability. The system initiates the process of replicating the trades of the expert traders the user follows after the user inputs parameters such as maximum margin and position size.

There are two methods by which one may participate in copy trading: fixed ratio and fixed quantity. This enables users to replicate traders by utilizing a predetermined position size or a specific ratio of the expert trader’s margin, contingent upon the user’s risk tolerance. The expert traders are also able to earn a profit share of 10% to 15% of the copier’s trade through copy trading.

Pros

• One of the widest ranges of futures, including Daily, Weekly, Quarterly, and Perpetual futures, is offered by the exchange.
• With flexible leverage ranging from 10x to 150x and one of the lowest trading fees in the market (0.03%), BTCC offers opportunities for even greater earnings through its copy trading tool.

Cons

• When measured against its peers, the exchange is more centralized.
• When it comes to fiat deposit possibilities, BTCC is less generous than other exchanges.

2.AvaTrade –Well-known Copy Trading App with 0% Commission Supporting Leveraged Markets

One of the best copy trading platforms, AvaTrade, allows users to trade over a thousand different leveraged CFDs. Among these are the top cryptocurrencies to invest in, as well as equities, indexes, exchange-traded funds (ETFs), options, foreign exchange (Forex), and commodities. The AvaSocial app, developed in-house and compatible with both iOS and Android, houses the AvaTrade copy trading tool.

Finding a good trader to mimic is a breeze using AvaSocial. Trader performance, maximum drawdown, average trade time, and other important data can be used to filter the results. Before moving further, you have the option to ask copy traders questions. Social trading tools for FX are also available on AvaTrade, where users can learn from each other and gain fresh perspectives.

When it comes to copy trading tools, AvaTrade is among the better options because it doesn’t charge any extra fees. In addition, there are zero commissions for trading and zero expenses for making deposits or withdrawals. When copy trading forex, AvaTrade earns money via a spread that starts at 0.9 pips. The maximum leverage that AvaTrade allows varies by country, however it is up to 1:400. Unfortunately, customers from the US are not accepted by AvaTrade.

Pros

• To sum up, 2024’s top copy trading platform
• For leveraged CFDs, the top copied trading platform
• Not a dime in copy trading fees or commissions
• Overseen by nine different governments
• Use $100,000 in virtual currency with one of the top FX demo accounts.Real-time assistance available through live chat throughout the clock

Cons

• CFDs exclusively; because to this, we are unable to accept customers from the United States.
• Put down at least $100

3. Pepperstone –Licensed Broker Utilizing Three-Copy Trading Strategies

Among the few brokerage platforms, Peperstone offers its customers the ability to use copy trading through three different providers: DupliTrade, Meta Trader Signals, and Signal Start. Once you’ve connected your account with your preferred provider, you’ll be good to go.

With Pepperstone, you won’t have to worry about FX because of their small spreads (0.7 pips for EUR/USD) and little slippage. It may be challenging to locate commodity or index traders on these sites. Copying numerous traders, though, can help spread your bets.

Pepperstone is a great option for manual traders too. Access over a thousand CFD assets, such as equities, FX, indices, commodities, and even cryptocurrencies, through industry-leading platforms such as TradingView, MT4, MT5, and cTrader.

Pros

• Implementing MT4 and MT5 copy trading
• As little as 0.7 pip spreads on the EUR/USD pair
• Copy tactics are not subject to any fees.

Cons

• The majority of these plans are forex-only

4. eToro –Top-Rated Broker for Copy Trading in Securities, Currencies, and More

For traders seeking a diverse portfolio, eToro is an excellent copy trading site. You can copy transactions for any of the many asset classes offered by this firm, including stocks, FX, cryptocurrencies, commodities, and options.

You may mimic a big selection of traders on eToro, which is regulated by prominent bodies in the US, UK, and Europe. For example, some dealers only deal in cryptocurrency or foreign exchange. There are those who put their energy into creating diverse, long-term portfolios that can outperform the market no matter what. That being said, there is a plethora of options available to you when selecting the type of traders you wish to emulate.

The fact that you can mimic other traders is a huge plus with eToro. You can greatly reduce your exposure to danger by doing this. Just $200 is all it takes to begin mimicking a new trader.

Copy trading is free on eToro, and the broker has some of the lowest commissions around. When you replicate stocks or ETFs, you won’t pay a commission. eToro’s cryptocurrency trading fees are a flat 1%, while the FX trading spreads start at a lowly 1.0 pips.

With eToro’s mobile app, you may copy trade wherever you go. Also, before you commit, you can try out any copy trading portfolios on eToro’s free demo account with $100,000 in paper money.

Pros

• More than 5,500 instruments are traded in copy.
• No costs associated with copy trading
• Copy trading via a mobile application
• Just $200 is needed to begin replicating each portfolio.

Cons

• No information on trading costs previously paid for duplicate portfolios
• $10 monthly fee following a 12-month period of inactivity

5.  Gate.io – Access Over 57,000 Trading Strategies

When it comes to copy trading exchanges, Gate.io is among the most well-known. Among the many popular features you’d expect to see in a modern cryptocurrency exchange, Gate.io offers users a diverse selection of cryptocurrencies and has been around since 2013, earning a reputation for its high liquidity levels.

You can select from more than 57,000 different traders using the well-designed copy trading tool. Users have the option to trade either spot or with leverage. Copy trading is a breeze to begin; all it takes is three simple steps.

Reasonably low fees are to be expected from a top exchange. Execution costs for maker-taker trades begin at 0.2%. Those who want to duplicate trade will have to pay their selected trader 8–10% of their gains.

On the flip side, you might anticipate to receive fees if other users utilize your copy trade method and their transactions are lucrative.

Those seeking a safe and liquid platform often choose Gate.io due to its extensive selection of over 1,700 coins and 200 futures pairs.

In addition to a popular, easy-to-use copy trading feature, the site offers crowdfunding opportunities, NFT markets, staking services, and the possibility to speculate with crypto derivatives.

On top of that, Gate.io is known for its easy and transparent trading, which is perfectly complemented by its simple interface. Help and assistance are literally at the tip of your fingertips on Gate.io, thanks to its renowned community culture.

Pros

• Reputable and well-established cryptocurrency exchange
• More than 1700 cryptocurrencies in circulation
• When liquidity is high, all trades are executed.
• Copy trade in three simple steps.

Cons

• Exorbitant costs associated with copy trading
• Unregulated trading might not be ideal for novices.

How Does Copy Trading Work?

One investment tool that provides a passive investing experience is copy trading. Put simply, it gives investors the ability to “copy” other traders. Usually, this is done in a proportionate manner depending on the investment amount.

• Let’s take an example where you spend $2,000 with a copy trader who focuses on large-cap companies.
• Ten percent of the trader’s bankroll is given to Disney.
• Since you made a $2,000 investment, $200 worth of Disney stock is immediately purchased.
• A few weeks later, the trader closes their 20% gain on the Disney position.
• You achieve gains on your passive investments of $40 (20% of $200) by replicating the exact same returns.

Most importantly, copy trading lets you emulate profitable traders with a track record of success. The majority of copy trading platforms give you access to real-time trader data so you can decide with confidence. For example, you may choose to emulate traders who have achieved gains of at least 25% for three years running.

Alternatively, you might concentrate on particular tactics like swing trading or long-term value investing. In any case, it’s critical to keep in mind that copy trading can result in losses. You are, after all, just replicating the trading performance of another individual. Imitating multiple traders from diverse markets and methods is the best way to manage risk.

How can I choose a Copy Trader?

It’s critical to select the best copy trader for your risk tolerance and financial objectives.

When investigating possible traders to follow, keep an eye out for the following:

• Historical Performance Since Launch: You should concentrate on traders who have produced the highest returns. But you should also take the duration of the performance into account. The trader’s longer history of activity is preferable. If the trader has just been using the platform for a few months, you won’t obtain the added authenticity to their outcomes that this provides.
• Average Trade Duration: This indicates the type of investment technique that is being employed. To find long-term investors, for instance, the average trade duration should be at least a year. On the other hand, the average time frame for following a day trader will probably be hours or minutes. Select a plan of action that supports your objectives.
• Preferred Markets: When trade copying, think about the markets you wish to be exposed to. Some traders concentrate on stocks, while others trade currency or cryptocurrencies. Covering a variety of asset classes will make your copy trading portfolio more balanced, therefore it’s a smart idea.
• Follower Count: Copy traders with a high follower count are worthy your attention. This is because their history on the platform is probably well-established. Make sure to contrast the present following count with earlier times. It’s encouraging if the number is rising.
• Risk Score: Traders are assigned a risk score by the top copied trading platforms. Usually, an algorithm is used to generate this, and it is based on several metrics. For instance, the kind of assets being traded, the degree of risk associated with each position, and the duration of time spent on the platform. You should anticipate larger returns if you invest in traders who have a high-risk score.

Is Copy Trading Legal in the U.S.?

If your broker is properly regulated by the SEC for stocks or the Commodity Futures Trading Commission (CFTC) for forex, then copy trading is indeed permitted in the US. Copy trading in cryptocurrencies requires a broker who is both licensed by FinCEN and registered as a Money Services Business (MSB). As far as the law is concerned, copy trading is usually considered a self-directed account.

To enable a fund manager to trade on your behalf prior to copy trading, a power of attorney form was necessary. A Letter of Direction (LoD) is a document that individual investors sign today. It allows the broker to automatically replicate the trades of other traders according to your specific instructions.

Amusing fact: The LoD, which is now part of every platform’s T&Cs, was an integral part of the invention that helped legitimize copy trading in the US, making it almost identical to a standard self-directed brokerage account. Having said that, limitations do persist in some nations. For instance, copy trading necessitates supplementary permits for money management in the United Kingdom.