The Canadian Investor Protection Fund (CIPF) is a not-for-profit corporation created by the Canadian

Canada

Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...

 investment

Investment

Investment has different meanings in finance and economics. Finance investment is putting money into something with the expectation of gain, that upon thorough analysis, has a high degree of security for the principal amount, as well as security of return, within an expected period of time...

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

Bankruptcy

Bankruptcy is a legal status of an insolvent person or an organisation, that is, one that cannot repay the debts owed to creditors. In most jurisdictions bankruptcy is imposed by a court order, often initiated by the debtor....

. The CIPF is funded by CIPF members which consist of approximately 200 investment dealers in Canada. Investors automatically receive coverage by opening an account with a member of the CIPF. Each investor's coverage is limited to $1,000,000 Canadian dollar

Canadian dollar

The Canadian dollar is the currency of Canada. As of 2007, the Canadian dollar is the 7th most traded currency in the world. It is abbreviated with the dollar sign $, or C$ to distinguish it from other dollar-denominated currencies...

s for any combination of cash

Cash

In common language cash refers to money in the physical form of currency, such as banknotes and coins.In bookkeeping and finance, cash refers to current assets comprising currency or currency equivalents that can be accessed immediately or near-immediately...

 and securities

Security (finance)

A security is generally a fungible, negotiable financial instrument representing financial value. Securities are broadly categorized into:* debt securities ,* equity securities, e.g., common stocks; and,...

 held at CIPF members. 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. The CIPF works with several sponsors: the Investment Industry Regulatory Organization of Canada

Investment Industry Regulatory Organization of Canada

The Investment Industry Regulatory Organization of Canada, abbreviated IIROC in English or Organisme canadien de réglementation du commerce des valeurs mobilières in French, is a non-profit, national self-regulatory organization...

, Bourse de Montréal Inc.

Montreal Exchange

The Montreal Exchange or MX is a derivatives exchange, located in Montreal, that trades futures contracts and options on equities, indices, currencies, ETFs, energy and interest rates. Since 1965, it has been located in the Tour de la Bourse , Montreal's third-tallest building...

, and the TSX Group of Companies

Toronto Stock Exchange

Toronto Stock Exchange is the largest stock exchange in Canada, the third largest in North America and the seventh largest in the world by market capitalisation. Based in Canada's largest city, Toronto, it is owned by and operated as a subsidiary of the TMX Group for the trading of senior equities...

.