How to invest in Zynga from Ireland

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👌Difficulty Low
☢️Commissions Zero
💲Minimum deposit 200$
🪙Instruments: Stocks like Zynga, crypto, forex, commodities
⚖️Regulated by: Cyprus Securities and Exchange Commission (CySec), United Kingdom's Financial Conduct Authority (FCA), Australian Securities and Investments Commission (ASIC)
🌐 Official website: www.etoro.com *
* Your capital is at risk.

How to buy

For those who live in Ireland, the best way to invest in Zynga shares is, definitely, this popular broker.

eToro*, one of the main brokers around the world, is registered and licensed, among others, by the Australian Securities and Investments Commission (ASIC).

We recommend eToro because you can create an account for free with this broker, and its fees for trading online are very low. Besides, eToro is available in your language, accepts users from Ireland, it is really easy to manage, and its friendly interface is ideal for those who are starting to trade with cryptocurrencies and stocks.

How to sign up, step by step

The first thing you need to do is click here and fill in the fields on the right: enter your name, email, and set a password.

Now check your email inbox: you should have received an email from eToro, click on the button and your account will be verified.

Once on eToro, you just have to click on “Deposit funds”, in the page menu.

There, you can choose how much money you want to add to your account (the minimum is $ 200) and the payment method:

As you can see in the image, the first deposit can be made by credit card, PayPal, or bank transfer.

If you have a choice, we do not recommend bank transfer because it takes longer, and it can be very frustrating to see the price of Zynga rising while you wait for your transfer to be done.

How to make your first trade

As soon as eToro has confirmed the receipt of your credit, you just have to search for “Zynga” in the search bar, click on “Invest” and choose the amount in dollars you want to invest.

*67% 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
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. Your capital is at risk.

Zynga business explained

Zynga is a multinational company in the video game sector whose market niche is focused on web social games. Founded in 2007, in its beginning it had a great boom thanks to its alliance with Facebook, where users of the platform had access to the games.

Many of these games were truly iconic, surely you will have played some of them or at least the name will ring a bell. Among the best known are FarmVille, CityVille, Mafia Wars, and CastleVille, having a large number of users on Facebook.

Currently, Zynga has its own web platform where it offers its games separately from Facebook, although some of them are still present in the social network. In them we can find that the company states that it has offices in Canada, United Kingdom and India, in addition to the United States.

Likewise, they also state that currently more than one billion people have played their games both on their website and on Facebook or any mobile platform. This is of vital importance when we analyze its business model.

According to the platform, its most popular games are FarmVille, Zynga Poker, Words with Friends and CSR (a car game). Although these are quite old, it also has more up-to-date titles such as a game based on Harry Potter and another on Games of Thrones.

Zynga's business model

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Their way of generating money is very simple, they create an addictive game and publish it for free, but with some limitations that only disappear if the user pays.

An example of this are the games in which, if the user loses, he must wait a certain time to play again. But if the user pays a small sum of money, he does not have to wait this time, but can continue playing immediately.

In addition, there is the income from real money gambling games in which he usually earns a commission. Although in this case Zynga is as if it were a casino and therefore applies the rule “the house always wins”.

Zynga as an investment

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Its share price is quite low and the stock has some peculiarities.

The first and most salient is that its stock market performance the last 5 years has far outperformed the growth of the SP500 and the NASDAQ Composite Index.

The second is that, in the same period of time, although the company has had a constant growth with little volatility, the accumulated return is more than 500% and still has the possibility of continuing to grow.

And obviously, this has put Zynga in the eye of investors looking for companies with good long-term returns in the market.

What is leverage?

In case you still don't know what “leverage” is, we'll describe it briefly: it is the possibility to invest a higher amount than you actually have. For example, you can enter with $ 100, but if you use x2 leverage, you will be investing $ 200.

About leverage, Take Profit and Stop Loss

Assuming that, for example, you are positive that Zynga price is going up, and that you have $ 1,000 for “going long”, you must know that you can increase your investment and make more money.

Perhaps you could go to your bank, ask for a loan, put something as collateral, wait for it to be accepted and receiving the money, and then obtain Zynga… However, once you've managed doing all that, probably Zynga would be already at a much higher price, and investing wouldn't be a good idea at that moment.

Thanks to leverage, you can get that amount of money just by clicking your mouse. It's just like a loan, but much easier and quicker, and with the benefit that you will be getting it directly from eToro. Before trading, you will how much leverage to use as in the screenshot:

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When operating with other kinds of assets you can use higher leverage. This is because cryptocurrencies are a value that is invested in the medium-long term, and leverage is used primarily for short-term operations or day trading. That said, I'm going to explain better how leverage works.

If for your investment of $ 1,000, you choose leverage x2, your investment is 2 * $ 1,000, that is to say, $ 2,000. eToro puts the remaining amount to reach that figure.

A few days later, as you thought, Zynga price raises its price by 20% and your money has appreciated reaching $ 2,400. But you don't want to take too much risk, so it's time to sell back.

You need to pay back the $ 1,000. You have $ 1,400 left, of which $ 1000 was yours initially, so you'll have earned $ 400.

By starting with $ 1000 and getting $ 400, you'll be earning 40% of your investment. That is pretty good.

It may sound too good to be true. The trick is that the risk of losing out also increases. If everything goes as you planned, you will earn profits in little time; but if the opposite happens, you will also lose more really fast.

Let's imagine that the price didn't increase by 20%, but it decreased also by 20%, you won't lose $ 20 but double, $ 40. That is why the terms “Take Profit” and “Stop Loss” are so important when using leverage.

Take Profit is a limit you can set when trading: you set the platform to sell your assets once they get to a point above the entry price. For instance, you can buy Zynga shares at $ 100 and ask eToro to close your position automatically when it reaches $ 120. It is very useful to avoid being blinded by greed: a 20% profit is usually very good, but once you see the price has risen, you might consider you can earn even more, which is not always the case. Consequently, you might lose money if you don't close on time. So, Take Profit helps you reduce risks when trading.

On the other hand, when using leverage you should always use Stop Loss, because a small decrease in the price of an asset can lead to a substantial loss. Consider that eToro will recommend a limit for Stop Loss, but it is better to set it closer to current price than that.

Instruments you can trade in eToro

Besides stocks, there are other financial instruments available in eToro.

What are ETFs?

What do you know about Exchange-traded funds? They are passively managed funds, known for merging the benefits of stocks and mutual funds, because they can be exchanged regularly at market price, but offer much more diversity and the fees are significantly lower.

Index Funds

This is the best option for people who can invest in the long term, mostly for beginners, because it is less expensive, diversified, and the risk is lower.

You may think differently, but benchmark returns are very difficult to beat and very few fund managers have done it, apart from some famous cases, like Warren Buffett's.

In practice, if a fund manager achieves to beat the benchmark, it is only for a short period or on a specific occasion. Or perhaps they would charge very high fees and indexing would be a better decision (with minimal commissions).

With index funds, you won't be concerned about that: most of the time, they beat active managers in the long term, and the commissions are minimal.

Foreign exchange

What is known as Forex trading consists in the trading of currencies. Put differently, is the conversion of one currency to another to make a profit through the operation.

In case you decide to exchange the EUR/USD pair, you speculate how many dollars it will take to buy a euro, with the expectation that the euro will rise compared to the dollar. Then, if you bought each euro for 1.15 USD and you sell them back when they cost 1.20 USD, you'll be earning that margin.

As you may have deduced, this type of trading requires investing a lot, because prices rarely increase that much, or using much leverage, which could be incautious. In case you are just starting to trade, it is not a good idea to begin with Forex, because it's not the safest option.

You can trade with almost all well-known currency pairs on eToro but keep in mind that Forex trading works with CFDs, therefore the underlying asset won't be yours.

Commodity market

The major benefit of investing in commodities is that their price varies less than that of other financial assets. Actually, their stability is what makes people often invest in raw materials, to take refuge from market volatility or inflation. However, the prices of commodities are defined by their demand. Therefore, if a given economic situation provokes higher demand, the prices will also rise.

Remember that the only intended profit from the investment in raw materials will be the hypothetical capital gain after the sale since, unlike stocks, these don't distribute dividends or pay interest.

Commodities are commonly categorized into two kinds: first, we have hard raw materials, which are precious metals (gold, silver, copper, and platinum), industrial metals, and oil; in second place are soft raw materials, which are agricultural products like sugar, cocoa, soybeans, among others.

Payment methods on eToro

Among the payment methods accepted on eToro you will find: credit card, PayPal, bank transfer, Neteller, and Skrill. There is not much to say here: making a deposit with eToro is very easy. Just go to “Deposit funds”, choose an amount and the payment method you prefer.

Evidently, for security policies, you should be the account or credit card holder.

The minimum you can deposit is $ 200 and there is a maximum limit of how much you can deposit if you are not verified. Therefore, if you plan to operate with higher amounts, you should verify your account previously.

The platform allows deposits in any currency, but charges a commission for making the conversion to USD. That is why we recommend, if it is in your hands, using USD directly.

Investment strategies

You can operate cryptocurrencies using several methods: from buying and waiting to day trading (and benefit from market volatility).

My recommendation for those who are beginning to trade is something in the middle: placing a dynamic stop-loss (15-20% under the highest price) and wait for it to work its magic.

Therefore, if for example you acquire a cryptocurrency at $ 10, it reaches $ 20 and then falls to $ 12, your position will be closed at $ 16-17 and you will have earned a decent profit.

It may sound way better to sell when the price is at its peak, but unless you're psychic, that's impossible. The mentioned strategy is much more realistic and, well applied, it can work very well.

And when you have gained more experience, you can take your first steps with advanced trading strategies, like using leverage or going short.

eToro Interface

As we have referred among the positive aspects of eToro, the best thing about this online broker is its extraordinary simplicity: anyone can trade without having to read endless explanations.

You won't have any issues with the interface if you are familiar with any of the most common social networks.

We will explain, roughly, the registration process and the different sections that you will see.

You will have to fill in some requested data when registering.

Additionally, you will have to answer some questions about your experience as an investor.

But don't feel like you are taking an exam. The only intention is to know more about you and determine which financial instruments they should recommend according to your knowledge and experience.

Let's get to know the different sections of the platform.

In “Set Price Alerts”, you have, as its name says, the option to put alarms on the price of certain securities. This is very helpful when you are after a security which price is decreasing, but it seems to you that it will decrease even more.

In “News Feed”, users interact and share valuable information.

In “Discover” you will find the tabs: “Instruments”, “People” and “CopyPortfolios”. As we mentioned in this guide, the six types of instruments on eToro are:

  • Cryptocurrencies
  • Exchange-Traded Funds
  • Shares
  • Raw materials
  • Forex trading
  • Index funds

In “People” are all the profiles and historical performances of other users, and you can replicate their movements with just one click. This is where the “social trading” concept is best applied.

You can search for those investors that you find more interesting: by risk level, types of financial assets, average earnings… Just indicate the amount you want to invest and eToro itself will replicate the movements of the selected investor, in proportion. This means that if you have $ 1000 and the trader puts 10% in an asset, eToro will invest also 10% of your funds (in this case $ 100) in that same asset.

Also, here you will see CopyPortfolios classified into three categories, Top Trader, Market, and Partner.

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The advantage of copying to CopyPortfolios instead of specific traders is that this way you will diversify the risk. There are all kinds of portfolios that you can identify easily and are divided by sectors. Thus, if you think a specific sector, like biotechnology or oil, will have good incomes in the future, you should look for that specific portfolio.

Have you heard about “social trading”?

eToro was the first platform that proposed social trading, and this new concept turned out to be brilliant. Many other brokers copied this idea, but eToro beats them all.

But it wasn't just about creating yet another social network to talk about investment. The main achievement was in allowing users to copy the moves of experienced traders, who were in turn paid for their ideas.

You will find in the left menu of the site the options “Copy People” and “Invest in CopyPortfolios”.

CopyPortfolios

“CopyPortfolios” contain a collection of financial assets of the same sector. For example, if you consider that a particular sector will have significant profits but you don't know which stocks to invest in, you just have to choose a portfolio that groups together a variety of related companies in that industry.

CopyPortfolio has generated a 100% return in the last year, and you just need to click on “Invest”, select the amount, place the stop-loss, and the rest will be done practically on its own.

Copy People

A second alternative is to directly copy users: in “Copy People” you can find eToro users who are very successful and whose strategies you can duplicate.

In the profile of each user, you will be able to see their risk profile (the higher the risk, the more chances of earning more and losing more), their performance history, and what type of financial instruments they operate: currencies, forex, raw materials, stocks….

Besides duplicating other user's strategies, which is great and very helpful, we also recommend that you benefit from the community by reading other user's comments. You can learn a lot from their experiences and knowledge, particularly if you aim to make a living from trading.

Common questions

How much is the minimum deposit?
You can invest as low as 200$.

When will I be able to take out my money?
Whenever you want. You just have to close your Zynga position, click on “Withdraw Funds” and that's all.

What payment methods can I use?
Available payment methods are: Bank Transfer, Credit Card, PayPal, Neteller, Rapid Transfer, Skrill and Klarna / Sofort Banking.

* Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Disclaimer: 67% 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.