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To: bonnuss_in_austin who wrote (34752)3/13/2001 9:15:10 AM
From: im a survivor  Respond to of 35685
 
Not really sure bonnie....my simple guess....and a guess is all it is, is if it isnt FDIC insured, and the firm were to go belly up, your cash could go belly up as well....but please check with a professional, as I am just making an educated ( uneducated<ggg> ) guess.

Keith



To: bonnuss_in_austin who wrote (34752)3/13/2001 9:39:40 AM
From: Poet  Read Replies (3) | Respond to of 35685
 
Bonnie and Keith:

Here's the answer I received:

Essentially you're right, Bonnie. Funds deposited with brokers are not insured. There are a few exceptions, but in general, this is the case.

On top of this, if your broker defaulted, you could indeed lose your cash. The concern that a number of people who are watching the global economic picture from a long term view have is that brokerage defaults may indeed begin to happen. The general feeling is to keep as little in a brokerage account as possible.

Scary, huh? Time for me to hunt for safer ground for my cash.