Investing for Beginners , investing

A retail investor is a small investor, which normally is an individual. Most of the investors in financial markets are retail investors, but retail investor makes an investments in much smaller amounts than institutional investors does. 

Even if retail investors are small, but there are many of them and they are very emotional, that makes huge impact for investment cycles. It easier for retail investors invest in small cap stocks and to find small undervalued companies than for big investment companies.