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How and when to withdraw profits and when does a loss arise?

  • Writer: Tomasz Tomczyk
    Tomasz Tomczyk
  • Jan 14, 2021
  • 1 min read

Updated: Feb 22, 2021

To make a profit, you must of course close one or more positions from your wallet, or close a copy (in whole or in part) of another eToro user's portfolio.


After executing the order to close the position from your portfolio or copy of another user, the funds appear on the account from which you can make a withdrawal order. In most cases, the payment will be made to the same means of payment that was used to pay in capital for investments. Remember about the withdraw fee of 5$ regardless of the withdraw amount. You need to be a Platinium eToro member to be exempt from this fee (invest at least $ 25,000)


You don't need to close out all of a company's positions or liquidate another user's entire copy to make a profit. The system allows the possibility of withdrawing only a part of the funds from the copy, or closing only some positions open for a given company share.


When does a loss arise?

The real financial loss only arises when you sell the position in your portfolio (or close another user's copy) below the opening price in the past. The current valuation of shares or a copy of a portfolio is only an estimation of their value at the current price of the shares. Profit or loss only appears at the time of the sale. Therefore, in many cases, if you believe in a company or the investor you copied, it is worth waiting before sanctioning a loss by selling the position.



 
 
 

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© 2021 by Tomasz Tomczyk

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