Which of the following is NOT classified as an institutional investor?

The classification of investors is based on their size, investment strategy, and the nature of their investment activities. Institutional investors are typically large organizations that invest significant amounts of money, often managing investments on behalf of others. This includes entities like hedge funds, public pension plans, and insurance companies, all of which pool large sums of capital to invest in various asset classes.

A hedge fund is an institutional investor because it is an investment fund that collects capital from accredited individuals or institutional investors to invest in a variety of assets. A public pension plan is another example, as it manages retirement funds for public sector employees, making it a major player in financial markets. An insurance company makes investments to manage its reserves and ensure it can meet future claims, further qualifying it as an institutional investor.

In contrast, an accredited investor is an individual or entity that meets specific financial criteria set by regulatory bodies, such as the Securities and Exchange Commission (SEC). While accredited investors may have significant wealth and investment experience, they are not organizations and do not pool funds in the way institutional investors do. Thus, the classification of accredited investors is distinctly separate from that of institutional investors, making this the correct answer.