small investor

Small investor

An individual person investing in small quantities of stock or bonds. This group of investors makes up a minimal fraction of total stock ownership.

Odd-Lotter

An investor who deals in securities only occasionally, especially when he/she deals only in small quantities. Odd-lotters are also called (more formally) small investors. Odd-lot theory holds that odd-lotters are both poorly informed and risk averse; this theory encourages larger investors to do the opposite of whatever odd-lotters tend to be doing at a given time. This theory has little evidence to support it, and few have held it since the 1990s.

small investor

A person who occasionally buys and sells securities, generally in relatively small amounts. See also odd-lotter.