Legal


Account Protection at Raymond James (USA) Ltd.

At Raymond James, we accept that safeguarding your assets is one of our highest priorities. That's why, in addition to relying on the financial integrity, strength and stability of the firm itself, we also offer account protection through the Securities Investor Protection Corporation (SIPC) and various syndicates of Lloyd's of London for protection beyond SIPC limitations.

Here are the details:

SIPC Coverage

Securities Investor Protection Corporation (SIPC), established as a non-profit entity by Congress in 1970, protects client assets in the event of a member firm's bankruptcy or insolvency. Raymond James (USA) Ltd. is a member of SIPC, which protects securities customers of its members up to $500,000 (including $250,000 for claims for cash). An explanatory brochure is available upon request or at sipc.org or by calling 202-371-8300.

Account protection applies when a SIPC-member firm fails financially and is unable to meet obligations to securities clients, but it does not protect against market fluctuations.

Excess SIPC Coverage

In the vast majority of cases, SIPC is likely to meet 100% of the claims of individual investors.

However, to account for clients whose losses may be such that a deficiency still exists after they have received the full SIPC entitlement (subject to any sub-limit for claims for cash), Raymond James (USA) Ltd. via our carrying broker, Pershing LLC. 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 via Pershing LLC. has an aggregate loss limit of $ 1 billion for eligible securities over all accounts and a per-client loss limit of $1.9 million for cash awaiting reinvestment within the aggregate loss limit of $1 billion. 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 Financial Services Authority, which oversees all financial institutions in the United Kingdom. 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.2 More information on Lloyd's is available at Lloyds.com.

1 In the event of the member firm's bankruptcy or insolvency, clients may incur losses if the aggregate amount of insurance coverage has been exhausted.

2 Ratings are subject to change and do not remove market risk.

  SIPC Excess SIPC
Covered Investments Registered securities and cash Registered securities and cash
Available Coverage Generally protects SEC-registered securities to a maximum of $500,000 including coverage of $250,000 for claims for cash. Once a customer's SIPC limit is exhausted, excess SIPC provides an aggregate firm limit of $ 1 billion for eligible securities over all accounts, including a per-client loss limit of $1.9 million for cash awaiting reinvestment.
Regulator/Licensor U.S. Securities and Exchange Commission Financial Services Authority (FSA), the independent regulator of the financial services industry in the United Kingdom