OK guys, how do we define smart money anymore. What is it like 80% of the total investment money is controlled by the institutions, hedge funds, mutual funds, pension funds etc. That leaves just 20% of the retail investors, the perception seems to be that everyone but retail investors are smart money and that they take the money from the retail investors. How can that be, retail investors can not be sold massively to by the apparent smart money given the limited resources of the retail investors. I may also add that not all retail investors are stupid. I would be more willing to settle for the smart money to be holding something like 10% of the total holdings and they make a sucker out of the rest 90% of the dumb money. Now what does this smart money consists of: I think that MM and Specialists are for most part smart money, but who else?