If MPF provider goes bankrupt...?

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  1. #11

    Join Date
    Apr 2003
    Posts
    12,383

    >> MPF trustees are required to take out insurance to indemnify their
    >> members

    These days.. how can you be certain that the insurance company will have the cash to pay out if god forbid that there is a bankruptcy.


  2. #12

    Join Date
    Jun 2008
    Posts
    10
    Quote Originally Posted by KnowItAll:
    >> MPF trustees are required to take out insurance to indemnify their
    >> members

    These days.. how can you be certain that the insurance company will have the cash to pay out if god forbid that there is a bankruptcy.
    MPF & ORSO are the safest place for your money and savings because of the fact that the funds are held in a segragated account and also insured up to the full value.

    You have to bear in mind that these levels of protection DO NOT apply to any individual investments or cash deposits that you may have and also that because these other investments and deposits are not held under a segregated trust arrangement they will be inapcted if there is a bankruptcy, or a run on the bank or if the insurance of investment company needs to use your assets to shore up their balance sheets and in so doing potentially put them at risk.