How are your investments protected when having them in an account at a large financial institution in Canada?
Understanding the safety involved with your account – is a good question for any investor to ask.
At Assante, you are not investing in the firm that holds your account. Your money has purchased an investment product. For an example, a mutual fund that holds 50 stocks of companies around the world. You own fractional shares in each of those 50 companies.
Client securities are held separately from any securities owned by Assante. Independent accounting firms audit this on a regular basis.
What if an investment firm does goes bankrupt and your investments go missing? What protection do you have as an investor?
The Canadian Investor Protection Fund (CIPF) provides deposit insurance and will reimburses clients up to $1million per account. (i.e. separate coverage for open accounts and registered accounts)
Now since CIPF’s inception in 1969, there have been insolvencies, but no investor suffered a loss of property. For more information on CIPF, visit their consumer website, cipf.ca.
