Definition of Institutional investors:
Large organizations (such as banks, finance companies, insurance companies, labor union funds, mutual funds or unit trusts, pension funds) which have considerable cash reserves that need to be invested. Institutional investors are by far the biggest participants in securities trading and their share of stockmarket volumes have consistently grown over the years. For example, on a typical day, about 70 percent of the trading on the NYSE is on the behalf of institutional investors. Because they are considered knowledgeable and strong enough to safeguard their own interests, institutional investors are relatively less restricted by the security regulations designed to protect smaller investors.
How to use Institutional investors in a sentence?
- The institutional investors represented the bulk of the trades that occurred today as they have an incredibly large amount of money to invest.
- You may want to have some strong institutional investors on your side so that you can know you have good backing.
- The institutional investors were really big and I wanted to see how they worked and what other functions they had.
Meaning of Institutional investors & Institutional investors Definition