Institutional investors

Definition

Institutional investors are organizations that pool large sums of money and invest those sums in securities, real estate, and other investment assets. They include banks, insurance companies, pensions funds, hedge funds, and mutual funds.

Related terms

Securities Markets:

These are the markets where stocks (equities), bonds (debt securities), and other types of securities are bought and sold.

Mutual Funds:

A financial vehicle made up of a pool of money collected from many investors to invest in securities such as stocks, bonds, money market instruments.

Hedge Funds: Private investment partnerships that use advanced strategies and leverage to increase returns for their investors, often requiring a high minimum investment