Institutional Option Trading Part -2

Disadvantages

Regulatory scrutiny.

Complexity and need for highly skilled traders.

Potential market impact.

Institutional Investing

Institutional investing is the process of managing large-scale investment portfolios with long-term goals.

Investment Objectives

Capital Preservation: Maintaining the value of assets.

Capital Appreciation: Growing the portfolio over time.

Income Generation: Providing steady returns through dividends or interest.

Asset Classes Used

Equities: Shares of publicly traded companies.

Fixed Income: Bonds and other debt instruments.

Real Estate: Direct investments or REITs.

Commodities: Such as gold, oil, or agricultural products.

Derivatives: Options, futures, and swaps.