We're not planning on going anywhere, but we understand that this is a real concern when trusting a company with your investments. Our brokerage partner is Interactive Brokers LLC, a leading international brokerage and custodian that has been in business for almost 50 years. Your cash and investments are held at Interactive Brokers, not in Illuminate accounts, as we serve as your investment advisor.
Client securities accounts at Interactive Brokers LLC are protected by the Securities Investor Protection Corporation ("SIPC") for a maximum coverage of $500,000 (with a cash sublimit of $250,000). In addition, Interactive Brokers LLC carries an excess SIPC policy with certain underwriters at Lloyd's of London, which extends the per account coverage by an additional $30 million (with a cash sublimit of $900,000), subject to an aggregate limit of $150 million.
What does SIPC protection mean?
SIPC protection safeguards customer assets if a brokerage firm fails. It's important to understand that SIPC does not protect against market losses or declining investment values, but rather protects the custody of your securities.