Firstrade: who holds your money

The route recorded for Firstrade reflects the disclosure read on September 5, 2026. SIPC, protection for eligible brokerage assets, may cover securities and eligible cash remaining at the brokerage. Cash moved to program banks may qualify for FDIC, federal insurance for eligible deposits. SIPC limits do not apply to these bank deposits. FDIC coverage does not apply to securities.

Current commentary

Firstrade is not a chartered bank, so securities and cash still held at the broker receive SIPC protection. SIPC protects up to $500,000 per customer, including up to $250,000 in cash still held at the broker. Swept cash sits across a network of 16 program banks, where FDIC pass-through insurance reaches each customer through those banks. That coverage is up to $250,000 per depositor, per bank, based on Firstrade’s disclosure read September 5, 2026.