Based on your financial expertise, provide your response or viewpoint on the given financial question or topic. The response format is open.

Why are stocks having less institutional investors a “good thing”?
Generally speaking, having more institutional investors is a good sign. Of course there are many types of institutions.  Normally we are thinking of mutual funds, pension funds, endowments, and hedge funds.  They may not all have the same implications.  Hedge funds, in particular, are out to make a buck with very little restriction on how they do it.  They may buy an undervalued stock and then use their voting power to improve the company or they may do something more questionable, like pump up the stock price and then sell at the high, causing volatility.  The people you are referring to may be thinking of something like the latter. Those concerns are generally small when compared with the known positives of institutional ownership.