Loss

Losses for CIPF coverage purposes are determined as follows:

• The market value, including cash, of your account at the date of insolvency
• Reduced by:
  • Any amount that you owe to the CIPF Member
  • The market value as at the date of insolvency of any asset that has been returned to you subsequent to the date of insolvency

You should know that:

Not all losses that you may suffer in your customer account are eligible for CIPF coverage. For example the following are examples of losses that would not be covered by CIPF:

• Changing market values of securities
• Unsuitable investments
• The default of an issuer of securities
• Losses in accounts that are used for financing the business of the member, such as securities lending and purchase/repurchase transactions;
• Losses where the customer has not filed a claim with CIPF, or the trustee/receiver of the insolvent Member, within 180 days of the date of insolvency; or
• Securities or segregated funds that are not held by a Member, or recorded in a customer's account as being held by a Member, such as a mutual fund that is registered directly in the name of the customer with the mutual fund company and is, therefore, not held by the Member for the customer in its records.

For more information please refer to the CIPF Coverage Policy.