The Canadian Investor Protection Fund (CIPF) is a

not-for-profit A not-for-profit or non-for-profit organization (NFPO) is a Legal Entity, legal entity that does not distribute surplus funds to its members and is formed to fulfill specific objectives. While not-for-profit organizations and Nonprofit organ ...

corporation created by the

Canadian Canadians () are people identified with the country of Canada. This connection may be residential, legal, historical or cultural. For most Canadians, many (or all) of these connections exist and are collectively the source of their being ''C ...

investment Investment is traditionally defined as the "commitment of resources into something expected to gain value over time". If an investment involves money, then it can be defined as a "commitment of money to receive more money later". From a broade ...

industry in 1969 to protect investor assets in the event of a CIPF member's

bankruptcy Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the deb ...

. CIPF is funded by its members, which are the approximately two hundred investment dealer firms regulated by the

Investment Industry Regulatory Organization of Canada Investment is traditionally defined as the "commitment of resources into something expected to gain value over time". If an investment involves money, then it can be defined as a "commitment of money to receive more money later". From a broade ...

(IIROC). Investors automatically receive coverage by opening an account with a CIPF member. Each investor's coverage, when held at a CIPF member, is: * CA$ 1 million for all non-registered accounts and TFSAs combined, * another $1 million for RRSPs and RRIFs, * and a further $1 million for RESPs. By example, if a person's assets are distributed between the different classes of accounts (taxable accounts, TFSA, RRSP/RRIF, RESP), they have up to CA$ 3 million in coverage at a particular CIPF member institution. An individual then may also have these accounts at other institutions for further diversification. When a CIPF member becomes bankrupt, the CIPF will move the investor's account, within the limits of coverage, to another investment dealer where the investor can access it.

References

External links

* Banking in Canada Investment in Canada Financial regulatory authorities of Canada {{Canada-org-stub

See also

References

External links