• A large trader is an investor or entity whose trades equal or exceed volume and market value thresholds set by the Securities and Exchange Commission (SEC).

  • Large traders, as a rule, are professional market participants and institutional investors who have the ability to buy and sell large blocks of securities.
  • Mutual funds, pension funds, hedge funds, banks and insurance companies often fall into the category of large traders.
  • The SEC identifies large traders as all traders whose National Market Securities (NMS) transactions equal or exceed two million shares or $20 million in any calendar day or 20 million shares or $200 million in any calendar month .
  • The SEC monitors the activities of large traders to analyze the impact of their activities on the markets, identify activity that violates securities laws, and protect investors from manipulative market practices.