A bank does not mean bank account, banks offer many different investment vehicle... | Hacker News

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		rootsudo on Feb 2, 2021 \| parent \| context \| favorite \| on: Gemini Earn A bank does not mean bank account, banks offer many different investment vehicles. A savings or checking account is covered by FDIC. If your broker lends out your stock and can not recoup it, then you are also not protected by SIPC. https://www.investopedia.com/terms/f/fractionalreservebankin...

JumpCrisscross on Feb 2, 2021 [–]

> If your broker lends out your stock and can not recoup it, then you are also not protected by SIPC

This is not true. The broker would be in default to you. If that literally pushed the broker under, SIPC would be there to pick up the pieces.

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