A retail investor, also known as an individual investor, is a non-professional investor that buys and sells stocks or mutual funds and exchange-traded funds that comprise a basket of assets. Traditional or online brokerage firms, as well as other types of investment accounts, are used by retail investors to execute trades. When compared to institutional investors, retail investors buy securities for their own personal accounts and trade in much lower sums. Retail investors purchase and sell trades in the stock and bond markets, and they typically invest far less than huge institutional investors.