Copy trading lets you automatically replicate another trader’s orders in your own account, which suits people with little time or experience. However, the quality of copy-trading services varies considerably between brokers. This article introduces 5 notable options and the criteria to evaluate them. See more knowledge on the ITF Blog.

How does copy trading work?

You choose a trader (or strategy) to follow, set your capital and risk level, and the system copies their open/close orders accordingly. Two common forms are copy trading (each person has their own account) and PAMM/MAM (pooled account management).

Criteria for evaluating a copy-trading broker

• Transparency: the trader’s history, drawdown and track record are disclosed.

• Copy speed and slippage.

• Fee structure: profit-sharing fees, subscription fees.

• Risk-control tools: stop copying, loss limits, capital ratio.

• Broker reliability (licenses, withdrawal process).

1. IC Markets

Supports cTrader Copy – a built-in copy-trading solution on cTrader – as well as third-party services such as Myfxbook AutoTrade and ZuluTrade. Strengths are low trading costs and transparency tools.

2. Vantage

Offers social/copy-trading solutions and connects to third-party platforms. Suitable for people who want to try different styles of strategy; read the profit-sharing fee terms carefully.

3. Lirunex

According to review sites and the broker’s website, Lirunex supports copy trading and PAMM/MAM on MT4/MT5. See more in ITF’s detailed Lirunex review.

4. Pepperstone

Has its own copy-trading app and supports several trading platforms. Some reviews note it does not support cTrader Copy, so check the actual features for your region.

5. eToro

One of the best-known social-trading platforms, convenient for beginners. However, products and served regions may be limited by regulation, so check availability where you live.

Notes when copying trades

Past profits do not guarantee future results. Spread capital across several strategies, start with small capital and monitor regularly. After this article, see our guide on choosing a good copy-trading strategy to learn how to filter effective traders.

Conclusion

A good copy-trading broker is transparent, reasonably priced and has clear risk-control tools. Start small and evaluate over the long term. If you want to see available strategies and get support connecting, see more at forexcryptoinvestment.com.

Trading Forex, Crypto and leveraged products carries a high level of risk and may not be suitable for all investors. The content of this document is for educational and reference purposes only and is not investment advice. Price forecasts by institutions and experts do not guarantee future results. Consider your objectives, experience and risk tolerance carefully before trading.