How are my assets protected?
Securities Investor Protection Corporation (SIPC®) Coverage
Pershing is a member of the SIPC, which protects securities’ customers of its members up to $500,000 (including $250,000 for claims for cash). Explanatory brochure available upon request or at sipc.org.
Excess of SIPC Coverage Through Underwriters at Lloyd’s and Other Commercial Insurers
In addition to SIPC protection, Pershing provides coverage in excess of SIPC limits from certain underwriters in Lloyd’s insurance market and other commercial insurers. The excess of SIPC coverage is valid through February 10, 2020 for Pershing LLC accounts. 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 coverage 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.