Account Protection
Your account is protected.
The Securities Investor Protection Corporation (“SIPC”) protects securities customers of its members up to $500,000 (including $250,000 for claims for cash). Explanatory brochure available upon request or at www.sipc.org.
In addition to SIPC protection, Pershing (our clearing firm) provides coverage in excess of SIPC limits from certain underwriters in Lloyd’s insurance market. It provides the following protection for Pershing LLC’s global client assets:
> An aggregate loss limit of $1 billion for eligible securities—over all client accounts
> A per-client loss limit of $1.9 million for cash awaiting reinvestment—within the aggregate loss limit of $1 billion
SIPC and the excess of SIPC insurance policy do not protect against loss due to market fluctuation.
An excess of SIPC claim would only arise if Pershing failed financially and client assets for covered accounts—as defined by SIPC—cannot be located due to theft, misplacement, destruction, burglary, robbery, embezzlement, abstraction, failure to obtain or maintain possession or control of client securities, or to maintain the special reserve bank account required by applicable rules.
Lloyd’s currently holds A+ ratings from Fitch Ratings and Standard & Poor’s® (S&P®), and an A rating from A.M. Best. These ratings are based on the financial strength of the company and are subject to change by the rating agencies at any time. For more information about Lloyd’s, please see www.lloyds.com.