More Americans copy celebrity investors through apps, regulators warn of risks

A tap to mimic Warren Buffett or Nancy Pelosi can feel like a shortcut, but the trade lands in a retail account without the timing, scale or judgment behind the original move. That is the core risk driving the surge in copy-trading apps: ordinary investors may buy in after the market has moved, or follow a celebrity portfolio without knowing whether the strategy fits their own goals, tax situation or tolerance for losses.

The practice sits inside a broader wave of online imitative trading. IOSCO, the global securities body, said in its May 2025 final report that copy trading, mirror trading and social trading are designed to let retail investors automatically replicate the trades of more experienced or professional traders. The convenience is obvious, but IOSCO also flagged risks around suitability, marketing, conflicts of interest and investor protection. In Washington, the U.S. Securities and Exchange Commission warned on Feb. 6, 2026, that investors should never make investment decisions based solely on information from social media platforms or apps, and said stock tip scams may be carried out through those channels.

The warnings land in a market where social-driven investing has already become common, especially among younger adults. Research released in 2026 by the FINRA Investor Education Foundation found that 29 percent of retail investors use social media or message boards for investment decisions, a share that rises to 60 percent among investors ages 18 to 34. That audience is being courted by platforms that package famous names and fast trades as a product, even though the ordinary user does not get the same access, scale or diversification as the investors being copied.

Several apps now sit at the center of the trend. Dub said in 2025 that it had surpassed 1 million downloads, while Autopilot reported $750 million in assets under management in May 2025. An April 29, 2025 Form ADV filing listed $461,989,873 in assets across 132,559 total accounts. Autopilot offers a free tier and a premium tier priced at $29 per quarter or $100 per year for users who want to invest in multiple portfolios. The company has also drawn attention for portfolios tied to politicians and investors such as Nancy Pelosi and Warren Buffett.

eToro has expanded copy trading in the United States as well, saying the feature was used by about 13 percent of its global users. The appeal is straightforward: copy a trader, skip the homework and hope for similar results. The danger is just as clear. A copied trade is still only a copy, and without the original investor’s time horizon, discipline and capital base, the promise of easy gains can turn into a lesson in how quickly retail users can fall behind.