Institutional Investors

Feedback

Feedback
Institutional investors are organizations that own large amounts of securities. They are called "institutional" because they usually represent institutions such as mutual funds, banks, insurance companies, and pension funds. The actual investment decisions will normally be made by a small team ( money managers) whose full-time job is to make sure that the institution's money is invested wisely and profitably. To give you an idea of their importance, it's estimated that around 70 percent of all the daily trades on the New York Stock Exchange are made by institutional investors.