Key investment affiliations bring market credibility and expertise that can attract institutional investments and make those firms feel like their investments are secure imo. Using rkt as an example, Many of these firms are from the southern U.S. and in theory may take the opportunity to invest @.10 in an emerging company rather than sit on the 18.00 IPO price they paid for RKT, if they like the GQ company numbers:
“RKT Institutional Holdings
Ownership Summary
Label Value Institutional Ownership 53.41 % Total Shares Outstanding (millions) 136 Total Value of Holdings (millions) $1,417 Active Positions
ACTIVE POSITIONS HOLDERS SHARES Increased Positions 156 16,315,405 Decreased Positions 144 27,411,415 Held Positions 19 29,167,577 Total Institutional Shares 319 72,894,397 New and Sold Out Positions
ACTIVE POSITIONS HOLDERS SHARES New Positions 80 8,910,352 Sold Out Positions 63 8,121,409 Total New Increased Decreased Activity Sold Out
319 Institutional Holders 72,894,397 Total Shares Held”