SIPC and FDIC
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OUR CLIENTS ALWAYS COME FIRST
Raymond James offers multilayered protection for investors and bank depositors.
At Raymond James, safeguarding your assets is one of our highest priorities. It’s why we offer account protection through the Securities Investor Protection Corporation (SIPC), various syndicates of Lloyd’s of London (excess SIPC) and the Federal Deposit Insurance Corporation (FDIC).
First and foremost, however, we believe the financial integrity, strength and stability of Raymond James offer the most important protection for your accounts. Since Raymond James was founded in 1962, our focus has been – and continues to be – on conservative management, high ethical standards and a commitment to superior client service.
WHAT IS SIPC?
SIPC is a nonprofit membership corporation funded by its member securities broker/dealers. SIPC protects the cash and securities – such as stocks and bonds – held by a customer of a member brokerage firm. Among the investments that are ineligible for such protection are commodities, futures contracts and investment contracts that are not registered with the U.S. Securities and Exchange Commission under the Securities Act of 1933.
BROKERAGE ACCOUNT COVERAGE THROUGH SIPC
The Securities Investor Protection Corporation (SIPC), established as a nonprofit entity by Congress in 1970, protects client assets in the event of a member firm’s bankruptcy or insolvency. Raymond James is a member of the Securities Investor Protection Corporation, which protects securities customers of its members up to $500,000 (including $250,000
for claims for cash).
The statute that created SIPC provides that customers of a failed brokerage firm receive all non-negotiable securities – such as stocks or bonds – that are already registered in their names or in the process of being registered. In addition, SIPC has reserve funds available to satisfy the remaining claims of each customer up to a maximum of $500,000. This figure includes a maximum of $250,000 on claims for cash.
SIPC coverage excludes securities not registered with the U.S. Securities and Exchange Commission under the Securities Act of 1933. Such securities include commodity futures contracts, investment contracts and fixed annuity contracts, currency and precious metals.
Account protection applies when an SIPC-member firm fails financially and is unable to meet obligations to securities clients, but it does not protect against market fluctuations. An explanatory brochure is available upon request at
sipc.org or by calling 202.371.8300.
WHAT IS EXCESS SIPC?
Excess SIPC coverage, offered by certain Lloyd’s underwriters, is designed to augment basic SIPC once a customer’s maximum limit of that coverage is exceeded. Like SIPC, excess SIPC covers cash and securities on deposit. It does not cover commodities, futures contracts, currencies and certain other investment contracts.
Raymond James has purchased excess SIPC coverage through various syndicates of Lloyd’s, a London-based firm. Excess SIPC is fully protected by the Lloyd’s trust funds and Lloyd’s Central Fund. The additional protection currently provided has an aggregate firm limit of $750 million, including a sublimit of $1.9 million per customer for cash above basic SIPC for the wrongful abstraction of customer funds. Account protection applies when an SIPC-member firm fails
financially and is unable to meet obligations to securities clients, but it does not protect against market fluctuations. Lloyd’s of London is the world’s leading insurance market. It was established in 1688 and provides specialist insurance
coverage to businesses worldwide. It is regulated by the UK Financial Conduct Authority and the Prudential Regulation Authority, under the Financial Services and Markets Act 2000. Its financial strength is constantly rated by independent
rating agencies. At present, Lloyd’s enjoys an A+ rating from both Fitch and Standard & Poor’s and an A rating from A.M. Best.*
*Ratings are subject to change and do not remove market risk.
FDIC PROTECTION FOR BANK DEPOSITS
Accounts held at Raymond James Bank, TriState Capital Bank or in the Raymond James Bank Deposit Program are insured by the Federal Deposit Insurance Corporation (FDIC), an independent agency of the United States government
established by Congress in 1933. The FDIC protects against the loss of insured deposits if an FDIC-insured bank or savings association fails. FDIC deposit insurance is backed by the full faith and credit of the United States government. Since the FDIC was established, no depositor has ever lost a single penny of FDIC-insured funds.
BASIC FDIC DEPOSIT INSURANCE COVERAGE LIMITS:1
Single accounts (owned by one person): $250,000 per owner
Joint accounts (owned by two or more persons): $250,000 per co-owner
IRAs and certain other retirement accounts: $250,000 per owner
1 These deposit insurance coverage limits refer to the total of all deposits that an account holder (or account holders) has at each FDIC-insured bank. The above list shows only the most common ownership categories that apply to individual and family deposits, and assumes that all FDIC requirements are met. If you have questions, please visit fdic.gov/deposit or call 877.275.3342.
FDIC insurance covers funds in deposit accounts, including checking and savings accounts, money market deposit accounts and certificates of deposit (CDs). FDIC insurance does not, however, cover other financial products and services
that insured banks may offer, such as stocks, bonds, mutual fund shares, life insurance policies, annuities or municipal securities. There is no need for depositors to apply for FDIC insurance or even to request it. Coverage is automatic.
Download 'Learning How Raymond James Protects Your Account' to learn more about FDIC ownership categories, the coverage available per category, and Raymond James securities-holding practices.
Raymond James & Associates, Inc., and Raymond James Financial Services, Inc., are affiliated with Raymond James Bank and TriState Capital Bank. Unless otherwise specified, products purchased from or held at Raymond James & Associates or Raymond James Financial Services are not insured by the FDIC, are not deposits or other obligations of Raymond James Bank or TriState Capital Bank, are not guaranteed by Raymond James Bank or TriState Capital Bank, and are subject to investment risks, including possible loss of the principal invested. Credit ratings are forward-looking opinions about credit risk. Credit ratings express the agency’s opinion about the ability and willingness of an issuer, such as a corporation or state or city government, to meet its financial obligations in full and on time.