Institutional investors and their differences.

Investors buy and sell securities.By investing your money in stocks, they (by increasing their value) sell such expensive paper, that brings significant income to investors.The acquired securities under the laws of the Russian Federation are their property.Investors can act:

  • joint-stock companies;

  • individuals;

  • investors collectively;

  • state.

there are investment companies which are making the issue of its securities, attracted funds from individuals and legal entities.

on the Russian stock market increases collective investment, it grows together with the improvement of the market.Mutual funds collect money from small buyers, unite them.Further, acquired shares and sell when price hikes, thus increasing the income of savers.This so-called mutual funds.

On grounds of investors can be classified:

- institutional investors.They are the largest financial market, is the main participants, introducing into circulation "long money".

-large state funds "Sovereign".They run essentially public money.Many of them have a tremendous asset.This Norwegian Fund-Global, SAMA, SAFE, Temasek, etc.

are mutually funds are managed by investment companies;

- insurance.To invest in the securities of the premiums received as income from the fear of customers;

- their banks free money is usually implemented in the financial markets by buying bonds and other marketable securities;

- pension, where to invest pension contributions of citizens.

It's all institutional investors.

investors in the securities market are the owners of their property rights.The stock market, so investors can choose either aggressive tactics work, or conservative.

strategic investors can be called those that form a specific portfolio of stocks for the long term.For the most part, they tend to purchase a controlling stake in one or more enterprises.

Speculative that act on short-term basis.They sell shares over a short period of time, remove the profit from this as soon as possible.

professionally engaged in securities trading entity, with an impressive capital.Institutional investors have access to capital, so are professional players in the stock market.

Qualified investors - a special type of professionals with experience in the securities market and knowledge in this field.They have an impressive capital.Professionally evaluate possible risks.Invest its assets in a risky enterprise.Prefer shares of mutual funds, hedge funds, credit, private equity funds, venture capital.All of these are quite risky and are not reliable in nature.

Institutional investors prefer minimal risk when their investments, hoping its work on long-term basis.

Studies have shown that the most attractive for citizens became financial services.They gave preference to 51% the percentage of investors.35% expressed a preference for the retail trade, 14% - production.