Retail Investors
Retail Investors are individual, non-professional investors who buy and sell securities, cryptocurrencies, or assets for their personal accounts, rather than for institutions.
How Retail Investors Operate
Retail investors typically trade through brokerage accounts or cryptocurrency exchanges, using their own funds to invest in assets. They often lack the sophisticated tools or insider knowledge that institutional investors have, but they are a large and influential group in financial markets. Many retail investors rely on online platforms and social media to make investment decisions.
Why Retail Investors Matter
Retail investors play a vital role in market liquidity and price discovery. Their collective actions can move markets, especially in the crypto space where community-driven trends can have significant impacts. Retail involvement also helps democratize investing, offering access to a broader range of assets than traditional wealth management services.