SIPC
Sipp Industries Inc - Class A
stock OTC

From the web site of IBCE (Hungary):
> Interactive Brokers Central Europe Zrt. custodies certain of your securities positions with its US affiliate, Interactive Brokers LLC ("IBLLC"), which is licensed by the US Securities & Exchange Commission and a member of the US Securities Investor Protection Corporation ("SIPC'). To the extent that your securities [...] are custodied at IBLLC, they are protected by SIPC
https://www.interactivebrokers.hu/en/general/security-investor-protection.php

SIPC is a lot less comprehensive than FDIC.

Sure, but the underlying assets aren't. While extraordinarily rare (it's happened twice, and gone to $0.96 and $0.97), it is possible for these funds to ["Break the Buck"](https://www.investopedia.com/terms/b/breaking-the-buck.asp)
That would be investment loss, which SIPC does not cover.

When you buy a brokered CD or any other instrument through a broker, the investor's account is protected up to 500k with a 250k limit on cash by SIPC. Brokers like Schwab also carry what is known as excess of SIPC private insurance which protects accounts with higher limits.
If Schwab - the brokerage (not Schwab Bank) becomes insolvent, SIPC will make sure that the accounts and its holdings are orderly transferred to other brokers. So the CDs from different depositories are simply transferred.
A CD is a product issued by a depository. The CD product is insured by either FDIC or NCUA (if it's a credit union) up to 250k per depositor per depository. If a depository becomes insolvent, the CD value is insured and doesn't involve the broker's own SIPC membership.

Yeah, money market funds are covered by SIPC. [Fidelity discusses all their insurance here](https://www.fidelity.com/why-fidelity/safeguarding-your-accounts). They also carry excess insurance through Lloyd's of London.
It's important to note that SIPC protects against Fidelity failing and assets being missing rather than the underlying assets failing. A money market mutual fund is still an investment product, and while it's one of the safest investments possible, it's not guaranteed like bank deposits.

This is what many of us are doing already. Should spread it out to multiple accounts including both types of IRA also when possible. In case any brokers go under - $500k is maximum insured under SIPC multiple accts covered.

Thank you for the reasonable question.
I'm not as risk averse as my wife and actually have about half of my savings in my brokerage account. She's not very happy about it.
I think I can emphasize with my wife's point of view. There's not a long track record about what the SIPC will do in the instance of a specific brokerage failure. (Apparently, they went after investors who took money out of Bernie Madoff's brokerage accounts.) In other failures of small brokerages, they provided money to the temporary brokerage trustee. If your money is in the SPAXX sweep account, it is probably covered by the $250,000 cash insurance, but if it is in SPRXX, for example (a non-sweep account), is it then covered by the $500,000 investment insurance instead? I don't know and I don't think the other commenters know either.

SIPC insurance ain't gonna help ya (unless the terrorists were moonlighting as fund managers at Fidelity and straight up stole your money).

Interactive Brokers has two separate entities, one for US customers which has SIPC and one for international customers which has no SIPC.

What about SIPC?

A money market fund had SIPC coverage through your brokerage and a HYSA has FDIC through your bank. I hold money in both.

Welcome to our official sub, /u/armyofcowness! I am happy to provide some clarity on how the coverage works!

FDIC does not always cover your Cash Management Account(CMA). That said, the core position, where the cash is held, in the CMA is the FDIC deposit sweep program.

Cash balances in the Fidelity FDIC Insured Deposit Sweep Program are swept into an FDIC-Insured interest-bearing account at one or more program banks and, under certain circumstances, a money market mutual fund (the "Money Market Overflow").

Deposits swept into the program bank(s) are eligible for FDIC Insurance, subject to FDIC insurance coverage limits. Each program bank will receive a maximum of $245,000 to help ensure that any accrued interest is eligible for FDIC insurance (with a $250,000 coverage limit). Any deposits over $245,000 will be systematically distributed across multiple available program banks.

The Money Market Overflow component of the FDIC Insured Deposit Sweep program was added to the Program for deposit amounts in excess of FDIC insurance limits and Program limits. Balances that are swept to the Money Market Overflow are not eligible for FDIC insurance but are eligible for SIPC coverage.

The Securities Investor Protection Corporation (SIPC) is a nonprofit organization that protects stocks, bonds, and other securities in case a brokerage firm goes bankrupt and assets are missing. The SIPC will cover up to $500,000 in securities, including a $250,000 limit for cash in a brokerage account.

The link below goes over both of these coverages in more detail and the additional coverage that applies in excess of SIPC.

[Safeguarding Your Accounts](https://www.fidelity.com/why-fidelity/safeguarding-your-accounts)

If you have any additional questions, don't hesitate to let us know! We look forward to engaging with you more in the future!

They are both fine options. A HYSA will have FDIC insurance and a brokerage account will have SIPC insurance. I use both.

Yes, although depending on how close you are to retirement it's quite possible that one's brokerage investments exceeds SIPC, in which case deposit sweet would provide extra coverage via FDIC.

They’re SIPC insured, right?

I don't know. I use Schwab as my broker, but I DRS everything. Only thing not DRS'd is my Roth IRA, which has half my position. I've been thinking about transferring it out into self-custody and DRSing it but haven't been able to pull the trigger yet. Insured for 500k under SIPC... but that would be less than 1k per share.

I was going to forget all this but it may be best to allow others to hear my comments and problems with the turbotax-fidelity link.
I decided this was the year I would do my taxes personally and with great excitement I started the turbotax fidelity link. The process of creating my tax return was easier than I thought it would be, until I got to the actual filing of the tax returns. Then came the $228 charge. After 3 hours and 3 calls with turbotax representatives in an attempt to resolve the charge I gave up and called fidelity. After two calls and 3 representatives at fidelity I was told the "Only" solution was to pay the fee and fidelity would credit my account. So I used my fidelity card and then the fun started. Below is my email exchange with Fidelity. As with most messages the beginning starts at the end.
"Dear Client:
Thank you for your patience in waiting for a response to your email and for contacting Fidelity Investments regarding your TurboTax fee. I can certainly offer my support.
I greatly appreciate you taking the time to make us aware of your concern about your partial TurboTax fee credit. I understand that this situation did not meet your expectations and I thank you for your patience. Based on your eligibility, we have credited back $153 to your account on March 10, 2023.
You can view this information on your history page online by following these easy steps:
1. Click on the "Accounts & Trade" tab
2. Select "Portfolio"
3. Choose the "Activity & Orders" tab in the middle of the page then select your desired account on the left
Thank you again for choosing Fidelity for your investment needs and I hope this information was helpful. I hope you have a great day.
Sincerely,
Joseph
Fidelity Brokerage Services LLC, Member NYSE, SIPC
On 03/10/2023 3:49 PM, Client wrote:
\> Let me see if I have this right. Your Fidelity representative told me that Fidelity would make me whole for the $228 charge from turbo tax for charges that were advertised by Fidelity that were to be free. I was told by both representatives I talked to last night that this was the only way to resolve the issue when I balked at paying through my credit card. Now you are saying your are paying me $153. You should be ashamed of yourselves.
\>
\> Subject: RE: turbo tax fees to be refunded
\> From: Fidelity
\> To: Client
\> Date: 03/10/2023 1:24 PM
\>
\> Dear Client:
\>
\> Thank you for sending us your Turbotax receipt. As a member of the Service Team, it is my pleasure to assist you with this today!
\>
\> I was able to request a reimbursement of your Turbotax balance up to the maximum allocation. For Federal, I was able to request a total of $89, which is the cost of Turbo Tax Premier, as well as the $64 for the state of California. This is a total of $153 which was requested to be deposited into your Individual account. These are usually reviewed within one business day. Your reference number is XXXXXXX-10MAR23.
\>
\> Client, thank you for trusting Fidelity with your financial needs. We appreciate your business. Enjoy the rest of your day!
\>
\> Sincerely,
\>
\> Ryan
\> Fidelity Brokerage Services LLC, Member NYSE, SIPC
\>
\> On 03/09/2023 9:29 PM, Client:
\> > Thanks for your help!"
​
After more calls I was able to get a credit from TurboTax for the remaining $75.
It appears that TurboTax changed their pricing for Premiere programs during the mid tax preparing period without the knowledge of Fidelity.
What was amazing to me was the inflexibility of "Fidelity" to make a customer whole although I have experienced this form of behavior at Fidelity in the past.
It's simple ... they are to big to be Client oriented and it is easier to squeeze their clients for small meaningless profit than "Do the right thing". If you say you are going to make your clients whole ... You make them whole.

SVB Securities is a broker-dealer not a bank. It’s not subject to FDIC regulation or protection. Brokerages fall into SIPC, and all cash and securities held in a brokerage are required to be collateralized dollar for dollar with cash or UST deposited in a segregated account.
TLDR, SVB Securities is already fully covered.

> What do you think about storing all your money with only one provider, such as Vanguard?
I think it's fine. Just do whatever is cheapest/easiest. When I want a super simple portfolio, I tell myself Vanguard is best. When I tax loss harvest (I'm in the US) and buy a fund from another company, I tell myself I'm diversifying my fund providers. I'm not sure how it works in Europe, but in the US, all the major brokerages are insured by each other via SIPC.

They are insured through SIPC I think up to some 500k, but problem comes when you have to try and claim that insurance - because you and everyone else in the literal world is claiming it at once.