I think the issue is that Etrade believe that when you fund the CFD account it no longer is part of the cash management account and MF Global can rape and pillage on that account with apparent blessings. It is that step of funding the CFD account on the Etrade website that apparently makes it unsecured.
The fact that Etrade make money off the CFD transactions (or why would they do it) seems to escape their logic as to having any responsibility or duty of care.
If you still had money in the CMA it should be safe I would have thought or things are worse than I even imagined with Etrade and ANZ.
