Institutional Investor A non-bank person or organization that trades securities in large enough share quantities or dollar amounts that they qualify for preferential treatment and lower commissions. Institutional investors face fewer protective regulations because it is assumed that they are more knowledgeable and better able to protect themselves. Investopedia Says: Watching what the big money is buying can sometimes be a good indicator, as they (supposedly) know what they are doing. Some examples of institutional investors are pension funds and life insurance companies. Related Terms: Block Trade Elephants Iceberg Order Institutional Shares Investment Banker Market Overhang Qualified Institutional Buyer - QIB Retail Investor Stock And Warrant Off-Balance Sheet R&D - SWORD Timber Investment Management Organization - TIMO |