This question is open to anybody who has any information or knowledge of such situations. This is a completely hypothetical scenario thus I am not using any broker's name. Here is the scenario: If a retail at home trader has over 100,000 dollars in one account with a retail broker/dealer and trades in an individual account form with that b/d would that trader have any danger of losing his money if the b/d went bankrupt and closed up shop? Now I know about SPIC insurance and I know about the additional insurance that all b/d's are required to have as well. Furthermore, lets assume that the b/d declares bankruptcy out of the blue and that traders money was all settled and in cash for weeks before that occurence; does that trader have any danger at all of losing their money(aka not ever getting it back)? In other words is this money tied to the b/d or the clearing firm? Lets say for arguments sake the clearing firm is Penson Securities. Once again this is a completely hypothetical scenario, however the situation is that I do have over 100k with one particular firm that I use because the commissions are pretty darn cheap however after reviewing thier balance sheets as they are a publicly traded company it alarms me that they are really losing business and their stock is trading at 1 dollar. Once again I will not mention names but this question is on my mind and I am ready to wire the money out tomorrow morning to one of my other accounts if someone out there knows of any reason whatsoever that I may be standing in a mine field. Thanks all.