Account Protection

Lek Securities, Inc. is a member of the Securities Investor Protection Corporation (SIPC), which protects cash and securities held in customer accounts of its members up to a ceiling of $500,000, including a maximum of $250,000 for cash claims. For information regarding SIPC protection, contact SIPC at (202) 371-8300 or visit www.sipc.org.

Lek Securities has purchased an additional insurance policy through a group of London Underwriters (with Lloyd's of London Syndicates as the Lead Underwriter) to supplement SIPC protection. This additional insurance policy becomes available to customers in the event that SIPC limits are exhausted and provides protection for securities and cash up to an aggregate of $600 million. This is provided to pay amounts in addition to those returned in a SIPC liquidation. This additional insurance policy is limited to a combined return to any customer from a Trustee, SIPC and London Underwriters of $150 million, including cash of up to $2.15 million. Similar to SIPC protection, this additional insurance does not protect against a loss in the market value of securities.

The following types of securities are protected by SIPC and Excess SIPC coverage:

  • Notes, stocks, bonds, and certificates of deposit (CDs)
  • Money market funds organized as mutual funds
  • Publicly registered investment contracts or certificates of participation or interest in profit sharing agreements or oil, gas, or mineral royalties/leases
  • Warrants or rights to purchase, sell, or subscribe to the aforementioned securities
  • Cash balances (up to $100,000) maintained in an account for the purpose of purchasing securities

SIPC and Excess SIPC coverage does not apply to unregistered investment contracts or any interest in gold, silver, or other commodities, commodity contracts, or commodity options.


Account protection does not include losses from the rise or fall in the market value of a client's investments.


*The Securities Investor Protection Corporation (SIPC) is a non-profit organization established by Congress to insure client accounts against the failure of member brokerage firms.