How are my funds protected at Wealthfront?

We are committed to protecting your money and privacy with the highest standards of insurance and security available. We maximize the protection of your assets by doing the following:

 1. We protect your cash with FDIC insurance through our partner banks.

Your cash is insured by the Federal Deposit Insurance Corporation (FDIC). This coverage protects your cash in the event that a bank goes out of business. Wealthfront uses multiple partner banks to ensure FDIC coverage of up to $8 million for your cash deposits. FDIC insurance coverage is limited to $250,000 per qualified customer account per banking institution. 

FDIC insurance is not provided until the funds arrive at the Program Banks. While funds are at Wealthfront Brokerage, and before they are swept to the Program Banks, they are subject to SIPC’s protection limit of $250,000 for cash.

2. We protect your investments with SIPC insurance.

Your investments are insured by the Securities Investor Protection Corporation (SIPC). This protects assets up to $500,000 (including $250,000 in claims for cash). As with all securities firms, this coverage provides protection against the failure of a broker-dealer, not against a decline in the market value of your securities. 

3. We work around the clock to protect your data.

Our internal security team evaluates risks across our company and platform, and our external security firms test our security controls to ensure we’re following the industry’s best practices. Finally, a third party audits our policies, procedures, and processes on an annual basis. 

Still curious? Learn more about FDIC and SIPC insurance.

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Wealthfront offers a free software-based financial advice engine that delivers automated financial planning tools to help users achieve better outcomes. Investment management and advisory services are provided by Wealthfront Advisers LLC, an SEC registered investment adviser, and brokerage related products are provided by Wealthfront Brokerage LLC, a member of FINRA/SIPC.

Wealthfront, Wealthfront Advisers and Wealthfront Brokerage are wholly owned subsidiaries of Wealthfront Corporation.

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