% Institutional Ownership Definition

A security’s % Institutional Ownership is a measurement of what percentage of a company’s outstanding shares are owned by institutional investors.

These investors are considered professionals, can include large financial institutions, endowments, pension funds and more.

Some investors like a high % Institutional Ownership as it shows them safety in that professionals all hold the security in high regard, but some dislike it as these investors may try to extend too much influence over the company.