It seems that Penson is going to bankruptcy. No profit for last year. But they have a lot of quantity of retail accounts. this fact is troubled
Penson has Excess SIPC Coverage. I attached the details. You don't have to be concerned if you're in a customer account. For Broker Dealer accounts, you're never protected by SIPC.
Is EVERYBODY in the bizz stupid, reckless and greedy? Seems everywhere I have my money on deposit, they get into financial trouble... Chicago Grain, Refco, Lind-Waldock, MF Global, and now Penson... Sheesh!!
Really, I thought they did. Futures accounts are settled every night... balances are reflected in customer accounts... What then does Penson do?
Thank you. I did not know their excess coverage was only up to $2.15m cash. That was valuable information that I don't believe is posted in other places.
Actually I just double checked, I was mistaken, they do clear them. I thought they were strictly equity, fixed income.
My concern is that while "securities accounts" are covered by SIPC, commodity futures accounts are not.. or may not be..
That's an excellent question. I will find out if SIPC or any other entity protects the assets in a futures account. Bob