North Star chooses to use Fidelity Investments as our primary custodian. This means that North Star does not hold your assets. Rather, we are the advisor. Fidelity Investments is a privately owned company that has been in the financial services business for more than 60 years. Today, it is one of the world’s largest providers of financial services, with assets under administration of $3.3 trillion, including managed assets of nearly $1.5 trillion.
Fidelity Brokerage Services is a member of the Securities Investor Protection Corporation (SIPC), which was created in 1970. The SIPC provides protection of client assets up to $500,000 per client (including cash claims limited to $250,000). Fidelity Investments recognizes that many of its clients have accounts with balances in excess of the coverage provided by SIPC. To help ensure clients are provided the most comprehensive coverage available, Fidelity offers supplemental coverage for additional protection. Fidelity has procured $1 Billion in excess of SIPC coverage from Lloyd’s of London along with other insurers. There is no per account dollar limit on coverage of securities, but there is a per account limit of $1.9 million on coverage of cash. This is the maximum excess of SIPC protection currently available.
