"Anonymous trading is a strategy in which a buyer or seller engages in trading activity without revealing his or her identity. This approach is sometimes used by high profile investors as a way to manage investments without creating a great deal of interest on the part of other investors. As a result, the investor is able to execute trades without causing a great deal of speculation regarding the reasons behind those transactions, and possibly causing some degree or turmoil within the marketplace.

The ability to engage in anonymous trading typically requires that the investor be considered a well-known and possibly well-regarded member of the investment community. An accredited investor who is known to be proficient with investments would often be afforded the ability to conduct trades anonymously on various markets. An institutional investor may also be allowed to engage in anonymous trading, especially if the nature of the trade has the potential to have an adverse effect on the market. Small investors are not usually provided with the opportunity to trade anonymously, since the nature of their trades is not likely to create any type of mass speculation among other traders."