SIPC Account Protection

Professional accounts are available for individual traders who require the use of margin and wish to deposit cash and securities directly with Penson Financial Services. Professional accounts require a $25,000 account balance to receive 4:1 margin.

Professional accounts are carried by Penson Financial Services, a division of Service Asset Management Company and member of Securities Investor Protection Corporation (SIPC). As a member of SIPC funds are available to meet customer claims up to a maximum of $500,000 in cash and securities with a $100,000 cash maximum. Additionally, Penson Financial Services holds Excess SIPC Insurance of $200,000,000 in the aggregate, over all customer accounts, subject to a maximum limit of $900,000 per Customer in respect to cash. This “Excess SIPC” protection is in addition to the protection provided by the Securities and Investors Protection Act, which is administered by SIPC and is subject to certain conditions and limitations, details of which are available upon request.

Note: SIPC and Excess SIPC provide coverage against loss of securities and cash, not against market depreciation, fluctuation in market value of your securities or a trading loss.