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Are my stock holdings insured/protected or is it possible that I will lose these holdings if they go bankrupt?

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E*Trade claims that your holdings are insured by the SiPC up to $500,000 including $100,000 for cash claims. They also claim that they offer an additional $150,000 insurance per account through a London insurer.

If they are telling the truth, then you are fine as long as your holdings don't exceed $650,000. However, if they go under, your assets may be frozen while they sort things out.