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    Definition of small investor

    Dictionary of Business Terms: small investor
    small investor

    individual investor who buys small amounts of stock or bonds, often in odd-lot quantities; also called retail investor.

    Dictionary of Finance and Investment Terms: small investor
    small investor

    individual investor who buys small amounts of stock or bonds, often in odd lot quantities; also called the retail investor. Although there are millions of small investors, their total holdings are dwarfed by the share ownership of large institutions such as mutual funds and insurance companies. Together with the proliferation of mutual funds, recent developments in the brokerage industry and its diversification along full-service lines have brought new programs specifically designed to make investing more convenient for small investors. Thus, much cash traditionally kept in savings banks has found its way into the stock and bond markets.

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