Wikitoro author Nick Zelver Written by Nick Zelver
Wikitoro fact checker Wikitoro Team Fact checked by Wikitoro Team
Updated Mar, 2024

Yes, on eToro there are plenty of stocks, although not all, that offer dividends to shareholders. This can either in the form of stock, cash or both, depending on the company. If you have an account under eToro USA LLC, any gross cash dividends will be credited to your 'Cash Available' balance. Additionally, if dividends are paid in stock, they will be added to your portfolio as a new position.

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76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

 

Investing in stocks on eToro can be a rewarding experience, especially when it comes to dividends. Many of the stocks available on the platform distribute dividends, offering an additional income stream for investors. These dividends are typically paid out in two forms: cash or additional stock shares.

As a US client of this broker, I've noticed that when a company I've invested in declares a cash dividend, the gross amount is conveniently credited to my 'Cash Available' balance. This process is seamless and transparent, allowing me to reinvest these funds or withdraw them as I see fit. On occasions when dividends are paid in the form of stocks, they are added to my portfolio as a new position, effectively increasing my shareholding in that company.

 

Using the Economic Calendar Helps

From my experience, staying informed about upcoming dividend payments is crucial for strategic investment planning. eToro provides an Economic Calendar on their website and app, which I've found incredibly useful. This calendar lists all the important dates related to dividends for various stocks each month. By keeping an eye on this calendar, I can anticipate when dividends are due and plan my investments accordingly.

It's important to note:  The amount and frequency of dividends can vary significantly between companies. Some pay quarterly, while others might distribute dividends semi-annually or annually. The dividend yield, which is the dividend per share divided by the stock price, is a key metric I use to assess the attractiveness of a stock as a dividend investment.

 

Necessary Tax Documentation

In my journey with this broker, I've also learned that dividends are subject to taxation, and the rate can vary depending on individual circumstances and the tax laws of one's country. For US clients, eToro handles the necessary tax documentation, which simplifies the process considerably.

 

To Sum It Up

Receiving eToro dividends has been a straightforward and beneficial aspect of my investment experience. It's a passive way to earn income from my investments, and it complements my broader investment strategy.

However, like all aspects of investing, it's important to conduct thorough research and consider the overall health and performance of the company before investing for dividends.

 

eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.

Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.

Copy Trading does not amount to investment advice. The value of your investments may go up or down. Your capital is at risk.

Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply. Don't invest unless you're prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.

eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.

Wikitoro author Nick Zelver About Nick Zelver

Nick is the Senior Content Editor at Wikitoro.org with over 15 years in online marketing. A graduate of Toronto Metropolitan University, he has strategized for More Sales Inc. and led online sales at GlassesUSA.com. His journey through digital marketing, e-commerce, and account management has equipped him with a unique perspective. Every article he pens is infused with his real-world experiences, aiming to guide and inform readers.

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76% of retail investor accounts lose money