Institutional Investors
Institutional investors are large organizations such as pension funds, endowments, and hedge funds, that invest money on behalf of their clients or stakeholders. These investors have substantial resources and often invest large amounts of money in various assets, including public markets and alternative investments.
Institutional investors have a significant impact on the financial markets due to their ability to move large sums of money. They also have access to a wider range of investment opportunities compared to individual investors, allowing them to diversify their portfolio across various asset classes. In addition to generating returns for their clients, institutional investors also play a vital role in corporate governance. Many institutional investors actively engage with companies they invest in, pressing them to improve their governance practices and environmental and social responsibility.