Sponsor

An underwriting investment company that offers shares in its mutual funds, or an influential institution that highly values a particular security and thus creates additional demand for the security. In the context of project financing, a developer of the project or a party poviding financial support.

Sponsor

1. An underwriting firm.

2. An institutional investor or high net-worth individual who takes a large position in a security, which encourages other investors to the same. Sponsors exist because other investors trust them to make the correct investment decisions most of the time. See also: Crowd.

sponsor

1. An institutional investor or a brokerage firm that has a position in a security and influences other investors to establish a position in that security.

2. See underwriter.

Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.

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