Series 9/10

Finance a la shmoop what is an institutional investor? institution think

mutual fund company like fidelity or Wellington or State Street or Blackrock [Mutual fund companies appear]

also think hedge fund think giant pension fund or even a small one the

"institutional" part of this term means that the investor is a

professional they've likely gone to grad school taken a bunch of licensing exams

are really good at math and accounting good at poker probably as well [Person checks cards on poker table]

apprenticed with old people who mumble through chewed cigars about what the IPO

of Ford was like with Henry that whippersnapper and those investors are

professionally responsible for managing OPM other people's money standards are

higher when you lose someone else's money versus your own

well the institution behind them raises and retains the dough which is they then [Investor receives cash]

invest often in large chunks and their viewed as a different class by many

because unlike the cardiologists investor Club of Northeast Milwaukee

these investors actually understand the risks they're taking when they invest so [Men stood outside cardiologist investor club sign]

if a given stock shows tens of thousands of hundreds share trades odds are good

that cardiologists and their friends are buying in on tips they got from the golf

course if the trade blocks are in hunks of a hundred thousand or a million [Stocks in a sack of million shares]

shares each per block that is odds are good that well these are schooled

institutions buying and selling shares with a presumption that the

institutional investors will generally know what they're doing or at least more

so than the you know non institutional getting there so why would you want to

be an institutional investor? answer = bank if you're good and very very few people [Man discussing institutional investors]

actually are but if you are one of the vaunted few the proud the knowledgeable

who beats the market regularly in good markets and bad and can do it at scale

on hundreds of millions or billions of dollars invested well then you can

expect to make tens of millions of dollars a year [Man throws cash into the air]

shepherding the wealth of the wealthy or at least of

masses collecting your fees and whining about taxes until the cows come home [Cows appear on a field]

when did they leave anyway?