Security

A correspondent broker will be responsible for holding your account’s assets at an acceptable custodian. This arrangement serves to lessen the possibility of misappropriation by separating the portfolio management role from the custody role. The correspondent broker will be directly responsible to you for ensuring these assets are securely custodied. LDIC has portfolio management authorization of your account only. Clients may select which custodian will hold their assets in trust.

The correspondent broker with whom your account is held is required to provide coverage under the Canadian Investor Protection Fund (“CIPF”). For more information please refer to cipf.ca.

Canadian Investor Protection Fund Website

CIPF covers customers’ losses of securities and cash balances, which may result from the insolvency of a Member firm. The limit placed by CIPF on the coverage of a customer’s general account is $1,000,000 for losses related to securities and cash balances. A general account can be cash, margin, short sale, options, futures, foreign currency and the proportionate interest of a joint or shared ownership account and are combined and treated as one general account.

Separate Accounts or groups of similar accounts are treated as if they belong to separate people and are entitled to a maximum of $1,000,000. Groups include Registered Retirement Plans and Registered Education Savings Plan. Joint Accounts are treated as Separate Accounts if the spouse does not have a General Account and the proportional interest of a spouse is eligible for the full limit of $1,000,000 and more. Please request for a CIPF brochure for further detail regarding this fund.

cipf.ca

We also provide ongoing communications to ensure financial objectives and expectations are being met.