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Zorluk: ZorSIPC vs. FDIC Protection and Coverage Limits

An investor maintains three separate accounts at a FINRA member broker-dealer that experiences financial failure and enters SIPC liquidation:

1. An individual cash account holding 350,000incorporatebondsand350,000 in corporate bonds and 150,000 in uninvested cash.
2. A joint account with a spouse holding 200,000incommonstockand200,000 in common stock and 300,000 in uninvested cash.
3. A commodities trading account holding $50,000 in futures contracts.

What is the maximum total dollar amount of SIPC coverage available across these accounts?

  1. $950,000Cevap
  2. B
    $1,000,000
  3. C
    $750,000
  4. D
    $1,050,000

Cevap

$950,000 total SIPC coverage
SIPC protects customers of a failing broker-dealer up to 500,000perseparatecustomercapacity,ofwhichnomorethan500,000 per separate customer capacity, of which no more than 250,000 can be for cash. The individual account is covered for 500,000(500,000 ( 350,000 securities + 150,000cash).Thejointaccountrepresentsaseparatecustomercapacityandreceives150,000 cash). The joint account represents a separate customer capacity and receives 450,000 (200,000stock+200,000 stock + 250,000 max cash cap). Commodity futures are non-covered assets under SIPC (0).Combining0). Combining 500,000 and 450,000gives450,000 gives 950,000 total coverage.

Adım Adım Çözüm

1
Evaluate coverage for the individual account.
The account holds 350,000inbondsand350,000 in bonds and 150,000 in cash (500,000total).Sincecashiswithinthe500,000 total). Since cash is within the 250,000 cash limit and total balance is 500,000,theindividualaccountreceivesfullprotectionof500,000, the individual account receives full protection of 500,000.
SIPC provides up to 500,000totalprotectionperseparatecustomer,includingupto500,000 total protection per separate customer, including up to 250,000 for cash claims.
2
Evaluate coverage for the joint account.
Joint accounts are recognized as a distinct separate customer capacity. The account holds 200,000instockand200,000 in stock and 300,000 in cash. SIPC caps cash protection at 250,000.Totalprotectionforthejointaccountis250,000. Total protection for the joint account is 200,000 (stock) + 250,000(cashcap)=250,000 (cash cap) = 450,000.
Cash claims exceeding 250,000arenotcoveredbySIPC,leaving250,000 are not covered by SIPC, leaving 50,000 of cash unprotected.
3
Evaluate coverage for the commodities account.
Coverage is $0.
Commodity contracts, futures, fixed annuities, and currencies are explicitly excluded from SIPC coverage.
4
Calculate total coverage across all accounts.
500,000(Individual)+500,000 (Individual) + 450,000 (Joint) + 0(Commodities)=0 (Commodities) = 950,000.
Summing protected balances across separate capacity accounts yields the total claim.

Anahtar Kavram

SIPC coverage limits per separate customer capacity (500,000total/500,000 total / 250,000 cash cap) and excluded assets.
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SIPC vs. FDIC Protection and Coverage Limits

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