Copy trading is a form of social trading that involves traders replicating the trades of seasoned experts. It involves a platform akin to a social media site, where traders of different expertise levels can interact. Seasoned traders display their account information for other individuals to copy, from which they earn a commission or charge subscription fees. Those that copy these experts benefit from an interactive learning experience while reducing the risk of loss.
Best Copy Trading Platforms 2022
| Name | Founded | Demo | Min deposit | Commissions | Assets for copy trading | Regulator |
|---|---|---|---|---|---|---|
| TechBerry | 2015 | Available | $5000 | Starts from 15% of profits. | Forex and CFDs | FDIC |
| AvaTrade | 2006 | Available | $100 | Trading fees | Forex and CFDs | ASIC, IIROC, CBI, JFSA. |
| ZuluTrade | 2014 | Not available | $100 | Trading fees | Crypto, CFDs, forex, commodities, stocks | HCMC. |
| NAGA | 2015 | Available | $250 | Trading fees | Forex, shares CFDs, ETFs | CySEC |
| OctaFX | 2011 | Available | $100 | Trading fees | 35 forex pairs, 5 crypto pairs, 5 commodities, 10 index CFDs | CySEC |
| FXTM | 2011 | Available | $50 | $0.8 per 1 lot. | Forex, commodities, indices, CFDs, stocks | CySEC, FCA, FSC Mauritius, CMA |
| Pepperstone | 2010 | Available | $200 | Trading fees | Forex and CFDs | FCA, ASIC, DFSA, SCB, CMA, CySEC, BaFIN |
| Vantage | 2009 | Available | $200 | 0 for Standard STP, $3 for Raw ECN, $2 for Pro ECN. | Forex, CFDs, Stocks, Indices | ASIC, CIMA, FCA. |
| DupliTrade | 2017 | Not available | $5000 | Trading fees | Forex, stock CFDs, crypto, commodities, indices. | CySEC |
| InstaForex | 2007 | Available | $1 | 0.03 – 0.07% | Forex, stocks, indices, commodities, crypto, CFDs | CySEC, FSC, BVI |
| PrimeXBT | 2018 | Not available | 0.001BTC | 0.05% | Crypto, forex, commodities | N/A |
| NordFX | 2008 | Available | $10 | 0 – 0.06% | CFDs, forex, crypto | VFSC |
| BDSWISS | 2012 | Available | $100 | $0 for Classic and VIP, $5 for Raw. | Forex, CFDs | FSC, FSA. |
| FBS | 2009 | Available | $1 | 5% | Forex, Stocks CFDs, indices, metals, crypto | CySEC |
1. TechBerry
This is an automated copy trading platform. It has a variety of subscription plans, as well as a 14-day free trial. TechBerry promises their clients a monthly profit of 11.2%. Notably, they only charge service fees on profits.
Copy trade with TechBerry
TechBerry uses state of the art AI technology to analyze the strategies of more than 10,000 expert traders on its platform. It then creates the most profitable strategy for picking only the best trades. Users then pay an annual subscription to copy its trades.
Pros
- Partners with over 50 regulated brokers.
- Offers loss protection.
- Promises a monthly profit of 11.2%.
Cons
- Strategy providers have to meet stringent requirements.
- Some paid plans are quite expensive.
2. AvaTrade
This is a world-renowned brand that offers forex and CFD trading. It is licensed in Australia, Canada, Ireland and Japan, which makes it relatively low-risk. It offers 55 currency pairs, and more than 1000 CFDs of various instruments. It can be accessed on web as well as mobile, for both Android and iOS. It is compatible with MT4, MT5 and its proprietary mobile platforms.
Copy trade with AvaTrade
AvaTrade is known for continually improving their copy trading feature, which makes it a worthy competitor to industry leaders. Its users can copy trade on ZuluTrade, DupliTrade, as well as the native Signals market on MetaTrader. UK clients can also utilize its recently launched service, AvaSocial.
Pros
- Wide array of research tools.
- Free withdrawals and deposits.
- Offers numerous copy trading platforms.
Cons
- Only offers CFDs and forex.
- Charges inactivity fees.
3. ZuluTrade
This is a popular trading platform that was founded in 2014. Today, it boasts trading volumes north of $800 billion. On it, traders can earn passive income by sharing their trades with their fellow users.
Copy trade with ZuluTrade
This is one of the leading platforms for copy trading. On it, you can access the profiles of other traders, the capital they trade with, the capital held by their followers and their annual ROI. You can copy trade crypto, forex, stocks, commodities and more than 40 other assets on offer. However, residents of the UK cannot trade crypto on ZuluTrade.
Pros
- Compatible with both MT4 and MT5.
- Offers automated trading for crypto.
- Offers a wide variety of tradable assets.
- Available on web, android and iOS.
Cons
- UK clients can’t trade crypto.
- Doesn’t offer leverage.
4. NAGA
This is a social trading platform that offers numerous financial instruments, and more than 9,000 strategy providers. Each of these strategy providers is subjected to a rigorous multi-stage selection process. The platform also features a most traded tab for the most popular instruments.
Copy trade with NAGA
Their copy trading feature offers numerous statistics of the strategy providers. You can view their profitability, trade direction, risk management and many more. You can also see their number of followers, their win rate, who they follow, who they copy, their profits and losses.
Pros
- Numerous education and research tools.
- More than 1000 financial instruments offered.
- Passive income for strategy providers.
- You can interact with other traders like on a social network.
Cons
- Minimum deposit is relatively high.
5. OctaFX
OctaFX is a popular brokerage that was founded in 2011. Today, it boasts more than 6 million trading accounts. Its popularity stems mainly from its swap free trading, generous bonuses and numerous incentives.
Copy trade with OctaFx
The copy trading service of OctaFX has gained widespread popularity, especially among younger traders. It is offered as an app, and has gained more than 10 million downloads.
Pros
- Several educational tools.
- Wide range of tradable assets.
- Intuitive mobile app.
- Offers leverage.
Cons
- Unregulated in its home country.
6. FXTM
FXTM is a renowned forex broker who’s regulated by the FCA, Mauritius’s FSC, CySEC and South Africa’s FSCA. Their certification by UK’s FCA means that in the event of FXTM’s bankruptcy, its clients are eligible for compensation of up to 85,000 Euros. It has also passed audits by PricewaterhouseCoopers Ltd (PwC), proving the broker’s transparency.
Copy trade with FXTM
FXTM boasts an excellent copy trading feature called FXTM Invest. Users can follow strategy providers, who the platform provides all relevant information on. There is also a leaderboard to enable users identify the leading managers. What’s more, the platform maintains that the performance of their top earners is audited and verified.
Pros
- Transparent forex trading environment.
- Works with both MT4 and MT5, and features a mobile app.
- Excellent copy trading platform.
- Low minimum deposit requirements.
- Offers a free demo account.
Cons
- Doesn’t offer cryptocurrency trading.
- Limited choice of commodities on offer.
8. Pepperstone
This is an Australian brokerage that was established in 2010. Today, it has grown into a household name in forex and CFDs. It has offices in Melbourne, Dubai, Nairobi, Nassau, Dusseldorf, Limassol and London.
Copy trade with Pepperstone
Pepperstone itself doesn’t offer copy trading. Instead, it partners with three platforms to offer its clients access to these services. These platforms are MyFxBook, MQL5 and DupliTrade. Users wishing to copy trade can select any of these services.
Pros
- Regulated in several jurisdictions.
- Offers NDD brokerage.
- Offers numerous research and trading tools.
- Plenty of useful educational material.
- Offers three copy trading platforms.
Cons
- Available instruments limited to forex and CFDs.
- Support is not available 24/7.
- High minimum deposit for copy trading on DupliTrade and MyFxBook.
9. Vantage
Based in Australia, this is one of the world’s leading brokerages for forex and CFDs. It is regulated in 3 jurisdictions. It offers its clients access to over 300 currency pairs, commodities, stock CFDs and much more. It is compatible with the MetaTrader platforms, as well as a slew of third-party platforms and tools.
Copy trade with Vantage
Vantage has partnered with AutoTrade to bring their forex traders automated copy trading services. AutoTrade boasts an interactive community of more than 90,000 traders. It also displays in-depth analysis and statistics on its strategy providers. Users can manage and customize each copied trade as they see fit.
Pros
- User-friendly platform.
- Regulated in multiple jurisdictions.
- Offers a demo version.
- Exemplary customer service.
Cons
- Limited range of trading instruments.
- Lacks comprehensive research and educational material.
10. Duplitrade
This is a copy trading platform that provides its clients with trading strategies and signals. It is partnered with 12 regulated brokers, including AvaTrade and Pepperstone.
Copy trade with Duplitrade
Their copy trading function allows automated trading of crypto assets like Bitcoin, Bitcoin Cash, Ethereum, Dash, LTC and Ripple. It allows users to mimc the trades of expert traders, set the proportion of a copied trade, and adjust the trade parameters. It makes money by charging the brokers rather than the clients.
Pros
- Offers automated copy trading.
- Doesn’t charge fees or commissions to clients.
- Offers wide variety of tradable assets.
Cons
- High minimum deposit.
11. InstaForex
This is a Cyprus-based brokerage platform that offers a wide array of services to its clients. On it, users can trade a variety of instruments including forex, cryptocurrencies, commodities and CFDs. Notably, it doesn’t charge any deposit or withdrawal fees. It is compatible with MT4 and MT5, as well as its proprietary platforms.
Copy trade with InstaForex
Users can access copy trading services through InstaForex’s ForexCopy feature. This feature allows them to automatically copy trades of any of the numerous strategy providers on ForexCopy. Though it is fully automated, copy traders can adjust settings, and even cancel a copied order.
Pros
- Low minimum deposit to start copying.
- Large selection of strategy providers with transparent statistics.
- Control over trading decisions.
- Flexible payment scheme.
Cons
- Trading fees on some instruments could run high.
12. PrimeXBT
Launched in 2018 in Seychelles, this is an online platform for trading crypto, forex, stock indices and commodities. It offers the largest cap crypto coins, all major forex pairs, as well as several popular commodities. Its intuitive platform makes it suitable for beginners and experts alike.
Copy trade with PrimeXBT
PrimeXBT users can access copy trading services through Covesting. Expert traders can set up and manage a strategy, which other traders follow. Covesting displays tons of useful performance metrics to help traders choose the best strategy providers. The strategy providers in turn earn secondary income through success fees from their followers.
Pros
- Utilizes numerous security measures to keep client funds safe.
- Charges relatively low fees.
- Can trade over 50 instruments.
- Responsive customer support.
Cons
- Has no demo account.
- Supports just a few cryptocurrencies.
13. NordFX
Founded in 2008, this is a popular brokerage platform with a bevy of tradable instruments on offer. With it, users can trade CFDs, 33 forex pairs, gold, silver, oil and 11 crypto coins. The firm behind this exchange is duly regulated in Vanuatu. It charges no commissions, other than for Zero account subscribers who are charged at 0.0035% for forex and 0.06% for crypto. It is compatible with the MT4 platform.
Copy trade with NordFX
Experienced traders on NordFX can sell their strategies using the Pro account. They set their own subscription prices, and are paid only when their copied strategies result in profit. Traders who wish to copy them can view their profitability over a day, month or all-time. What’s more, copied trades are executed automatically, which saves time.
Pros
- Contains a wide range of trading tools.
- Offers a wide array of tradable instruments.
- Charges competitive spreads.
- Offers several subscription tiers.
Cons
- It’s not licensed by tier 1 regulators.
- Limited selection of compatible trading platforms.
14. BDSwiss
This is an award-winning brokerage that was established in 2012 in Switzerland. To date, it boasts clients numbering upwards of 1.5 million from all over the globe.
Copy trade with BDSwiss
BDSwiss launched its copy trading feature in late 2020. It allows users to choose whether to automate their copy trading, or do it manually. They can also clearly view the success rate of each trader when choosing strategy providers.
Pros
- Exemplary customer service.
- User friendly platform.
- Numerous educational and research tools.
- Features a demo account.
Cons
- Only offers Forex and CFDs.
15. FBS
This is an award-winning broker that also offers copy trading services. It is duly regulated by the Cyprus Securities and Exchange Commission (CySEC). They have a web platform as well as mobile apps for Android and iOS. However, copy trading is only available on mobile. All their platforms also feature plenty of educational and research material.
Copy trade with FBS
The copy trading feature is presented on mobile to enable users to trade on the go. It features more than 600 strategy providers. Crypto traders can also automate the copy trading process. Supported tokens include Bitcoin, Ethereum, LTC, Ripple, Dash and 5 others.
Pros
- Provides automated trading.
- Low minimum investment.
- Supports MT4 and MT5, plus their proprietary platforms.
Cons
- Charges inactivity and overnight fees.
Copy trading history
The origin of copy trading can be traced back to 2005, when Tradency introduced automated trading. A few years later, eToro introduced its CopyTrader feature and copy trading grew steadily in popularity. However, it wasn’t until cryptocurrencies became mainstream a decade or so later that this social trading style really caught on. Nowadays, it’s the easiest way for novice traders to onboard themselves onto most, if not all financial markets.
Copy trading strategy
The truth is, nearly 90% of all traders of speculative assets lose money. Even when copy trading, it is very easy to replicate losing trades. To avoid that, here are some few factors to look out for when selecting a strategy to copy.
Risk management
Oftentimes, the trader you intend to copy will have more capital, or different investment goals than your own. This may lead them to take bigger risks than you would be comfortable with. Before you copy a seemingly successful trader blindly, ensure you scrutinize their risk management measures thoroughly. Some platforms will allow you to manually adjust your stop loss and other settings, so you don’t risk more than you can afford to lose.
Automated or flexible
Some copy trading platforms will fully automate the whole process. Such platforms will only require the trader to select the signal providers to copy and the capital allocation to each. They will then automatically mirror all the trades made by the signal provider. Other platforms will allow you to review all the positions of your signal provider, and choose which to copy. If you wish to have more control over your capital, you should opt for a more flexible system.
Deposit
The minimum deposit can be a good tell-tale sign on whether the copy trading platform you intend to use is the right fit for you. As a rule of thumb, you should never trade with more money than you can afford to lose. Therefore, avoid platforms with high minimum deposit requirements, especially if you’re a beginner.
Leverage
Most platforms that offer copy trading will offer margin trading services. When trading the FX market, leverage can be instrumental in amplifying your profits. Even if you don’t always intend to use leverage, it would be a good option to have it available for when you need it.
Regulation
It is always advisable to do your trading through a licensed and regulated broker. Even when copy trading, ensure that your chosen platform has been regulated by the proper statutory body. This is the easiest way to avoid falling prey to scammers.
Why is it worth considering copy trading?
As a beginner, copy trading can help you profit from the unpredictable financial markets, even as you learn the ropes. As an expert trader, copy trading can earn you passive income. In some instances, the platform pays you a commission for the traffic you bring to their site. In other cases, the traders who copy you pay a subscription fee.
How to successfully copy trades
The biggest challenge of copy trading is selecting who to copy. The choice of trader(s) to copy should be based on:
- Their proven track record – a good signal provider should have a good track record, preferably spanning years.
- Returns – You should choose someone with consistent, rather than sporadic returns.
- Number of followers– The more followers a signal provider has, the more likely they are to post regular successes.
- Historical drawdown– The drawdown of a trader can help you gauge the maximum losses their strategy could potentially generate.
- Their risk management – You should ensure that your strategy provider’s risk appetite matches your own.
Additionally, it would be a good idea to copy a variety of traders. This can help you diversify your portfolio, as they’ll likely trade different assets. Following different strategies will also lower your risk exposure.
Is copy trading risk free?
Not at all. About 70-90% of all traders lose money. This means that it is very likely to copy the trades of a losing trader. To reduce this risk, other than carefully choosing your service provider, always do your due diligence. Your own research should confirm their signals before you can begin trading them. Also it is better to choose diversified and automated solution, that doesn’t rely on one human trader.
Where is copy trading accepted?
There are several platforms that offer copy trading. These include AvaTrade, B2Broker, ZuluTrade, Forex Copier, Duplitrade, FBS, FXTM, NAGA and Duplikium, among others. What’s more, copy trading can be applied to most, if not all financial assets.
Conventional trading vs copy trading
Conventional trading will typically have a steeper learning curve for beginners. Taking forex for example, before you can start trading currencies, you need to learn the different analysis methods. You also need to learn their price dynamics, and what causes their price moves.
Copy trading, in contrast, allows you to mimic a seasoned expert. Through your interactions with the experienced trader, you will get valuable insights on the strategies they employ. What’s more, you will earn profits even as you learn from their expertise.
What’s the difference between copy trading, social trading and mirror trading?
| Trading platforms | Key features | Pros | Cons |
| Copy trading | -Traders replicate all trades of one or more traders on the platform. -Often involves automated trading. | -Easy to track winning traders. -Lends itself well to automation. -Prevents emotional trading. | -Highly risky if the copied trader makes a bad trade. |
| Social trading | -Traders can selectively choose which strategies to mimic. -Often involves manual trading. -Signal providers are under no obligation to share their account details. | – Grants traders more autonomy to make decisions. – Gives traders access to a community that can provide multiple opinions on a specific investment decision. -Traders can access more information to help them make investment decisions. | – Requires greater time commitment. – Overload of information may lead to missed opportunities. – News that has been overly hyped could result in erroneous market signals. – There’s a transparency deficit. |
| Mirror trading | -Uses algorithms to blend several winning strategies into one. – Requires automated trading. -Users choose from a list of trading criteria, after which algorithms apply a general strategy. | – Its fully automated, hence less time commitment. – Strategies from several traders diversifies your risk exposure. – Avoids emotional trading. – Mirrored strategies are required to display consistent results. | -It’s not always clear why algorithms make the trading decisions they mirror. – Algorithmic trading often requires technical knowledge to understand. – Some strategies may only be suited for specific market conditions. |
Wrap up
Copy trading is a popular trading style that emanated from automated trading. With it, beginners can earn profits from the markets even as they get their footing. Experts in turn earn secondary income from any of their copied trades that result in profit. This trading style offers an interactive experience, the result of which is just as entertaining as it is educational.