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Pastimes : Ask Mohan about the Market -- Ignore unavailable to you. Want to Upgrade?

To: Tommaso who wrote (9032)	11/22/1997 11:16:00 PM
From: Joseph G.	Respond to of 18056

T, <<Are you saying that my broker can walk off with my short profits and say, "Here's your original stake back/"?>> They can, but you can then sue them, and in practice it is not likely to happen. But, first, you (as anybody else) should worry about getting short profits as opposed to short losses. There is a risk in everything, question is how much. Brokers are not as solid as major banks, but a customer (a "weed", as rrman reminds us) is tremendously much more likely to lose money due to own actions than to broker failure. And, even if some brokers fail, the "system" is backing their obligations to customer accounts, which, by law, must be segregated from the firm accounts. So, you're pretty safe so long as the "system" is there. Joe

To: Tommaso who wrote (9032)	11/23/1997 9:05:00 AM
From: John Hunt	Read Replies (1) \| Respond to of 18056

Tommaso re SIPC , It is very hard to find specific SIPC information on the net .... thousands of references to SIPC but little specifics as to how they handle claims, etc. SIPC don't seem to have a web site, but I expect your broker may have a brochure. I phoned them once to find out whether individual Canadians and Canadian Companies were protected when they opened a US brokerage account and they answered yes to both. Quite friendly to talk to. Securities Investor Protection Corporation 805 15th Street, N.W., Suite 800 Washington, DC 20005-2207 202-371-8300 John