A nonprofit membership corporation created by an act of Congress to protect clients of brokerage firms that are forced into bank- ruptcy. Membership is composed of all brokers and dealers registered under the Securities Exchange Act of 1934, all members of national securities exchanges, and most NASD members. SIPC provides customers of these firms protection of up to $500,000 of cash and securities, of which no more than $100,000 may be in cash.

A nonprofit membership corporation created under the Securities Investor Protection Act of 1970 to protect client accounts of brokerage firms that are forced into bankruptcy. SIPC does not protect investors from market risk.

The SIPC is a non-profit corporation created by U.S.Congress to insure investors against losses caused by the failure of a brokerage firm. Through the SIPC, assets in your brokerage account are insured up to $500,000 (including up to $100,000 in cash), but only against losses that result from the brokerage firm going bankrupt, not against market losses caused by trading decisions or other causes. All brokers and dealers registered with the Securities and Exchange Commission (SEC) are required to be SIPC members.

Formed by the Securities Investors Protection Act of 1970, a government-sponsored, private, nonprofit corporation that guarantees repayment of money and securities to customers in amounts up to $500,000 per customer in the event of a broker/dealer bankruptcy. SIPC covers up to a maximum of $500,000, only $100,000 of which may be for cash. If you have, for example, $100,000 in cash and $100,000 in securities in your account, you are covered for $200,000 ($100,000 of which is cash). If you have $200,000 in securities and $200,000 in cash, you are covered for $300,000 ($200,000 in securities plus $100,000 in cash). If you have $500,000 in securities and $100,000 in cash, you are covered for $500,000, the maximum.

A non-profit corporation created by the Securities Investor Protection Act of 1970 under which investors are partially insured against the possibility of loss resulting from the insolvency of a broker-dealer.  In the event of a firm's insolvency, SIPC appoints a trustee to conclude the affairs of the firm.  The trustee typically would return identifiable property ( e.g., securities registered in a particular customer's name) to customers and handle customer claims for other securities or funds due them.  SIPC maintains a trust fund for the protection of customers into which broker-dealers make contributions, and SIPC may pay customer claims out of this fund, up to certain specified limits.

A nonprofit organization created by an act of Congress. SIPC provides funds for use, if necessary, to protect customers' cash and securities that are on deposit with a SIPC member firm in the event the firm fails and is liquidated. SIPC currently provides $500,000 in protection for investors' accounts. SIPC does not protect against market losses.

Insures securities and cash (up to specified limits) in the customer accounts of member brokerage firms against the failure of those firms. The SIPC does not protect investors against market risks.

A nonprofit membership corporation created by an act of Congress to protect clients of brokerage firms that are forced into bankruptcy. Membership is composed of all brokers and dealers registered under the Securities Exchange Act of 1934, all members of national securities exchanges, and most NASD members. SIPC provides customers of these firms protection of up to $500,000 of coverage for their cash and securities held by the firm.

Provides funds for use, if necessary, to protect customers' cash and securities that may be on deposit with a SIPC member firm in the event the firm fails and is liquidated under the provisions of the SIPC Act. SIPC is not a government agency. It is a non-profit membership corporation created, however, by an act of Congress.

A non-profit membership corporation established by Congress that insures securities and cash in customer accounts up to $500,000 (up to $100,000 in cash) in the event of brokerage bankruptcy.

A nonprofit membership corporation created by an act of Congress to protect clients of brokerage firms that are forced into bankruptcy. Membership is composed of all brokers and dealers registered under the Securities Exchange Act of 1934, all members of national securities exchanges and most NASD members. SIPC provides brokerage firm customers up to $500,000 coverage for cash and securities held by the firms (although cash coverage is limited to $100,000).

the non-profit corporation that protects securities customers of its members up to $500,000 (including $100,000 for claims for cash). An explanatory brochure is available upon request or at www.sipc.org.

Protects customers of broker-dealers registered with the United States Securities and Exchange Commission. The protection is against losses caused by the financial failure of the broker-dealer, but not against a change in the market value of securities in customers' accounts at the broker-dealer.

Non-profit organization consisting of members of the securities industry who support it on an assessment basis. If a member should fail, that member's customers are protected up to a maximum of $500,000, including up to $100,000 in cash.

A nonprofit corporation that insures investors against the failure of brokerage houses, similar to the way that the Federal Deposit Insurance Corp. insures bank deposits. Coverage is limited to a maximum of $500,000 per account, but only up to $100,000 in cash. SIPC does not insure against market risk.

A nonprofit corporation established by an act of Congress in 1970 in order to protect the customers of brokerage firms from the insolvency of those firms. All broker-dealers registered with the Securities and Exchange Commission and with a national exchange are required to join. SIPC provides up to $500,000 in protection, of which no more than $100,000 may be in cash. See: Insolvency; Securities And Exchange Commission

The Securities Investor Protection Corporation (SIPC) is a federally mandated non-profit corporation in the United States that protects securities investors from harm if a broker/dealer defaults. Since most investors rely on a broker to handle custody of the investor's assets, the broker legally owns those assets. In the event of bankruptcy by the broker, the SIPC compensates the investors to make them whole.