What is an Elevated Risk Stock (ERS)?

This information is specifically for clients of etoro (UK) Ltd, regulated by the Financial Conduct Authority (FCA). Find out which regulation your account is under.  Note: This ERS feature came into effect on 9 July 2024.

Elevated Risk Stock (ERS) is a label given to certain stocks and ETFs that are characterised by increased volatility and/or low liquidity.

The status is not necessarily permanent, as volatility and liquidity can change over time. Depending on these metrics, the asset may move in or out of the categorisation.

As a safeguard, etoro clients that display certain characteristics (low risk appetite and/or low income) cannot open new positions on ERS-labeled instruments. If these clients already hold positions on an asset that becomes ERS-labeled, the position won’t be affected. However, they can't open new positions on that instrument.

The above only applies to manual orders. Positions in copy and Smart Portfolios will open regardless of whether the product is classified as ERS or not.