I read this regarding the bell direct cash account. Apparantly you are not protected under depositor protection and it does not qualify as a: "Bank Deposit"
However I have hardly any cash in there nearly 100% in stocks ATM.
So I guess they cannot sell my stocks if they are in a dire financial position to ensure they remain liquid, and then just say too bad so sad??
FROM THE PROSPECTUS:
Credit risk relates to the capacity of the borrower, Bell Potter Capital, to repay your investment and interest. Repayment of capital and interest is guaranteed by Bell Potter Capital’s parent, Bell Financial Group. If the borrowers who borrow money from the Company default on their loans, the Company may not have enough money to repay investors’ principal and their interest. If Bell Potter Capital defaults on the secured notes and Bell Financial Group becomes insolvent, investors will rank with other unsecured creditors of Bell Financial Group in enforcing the guarantee and may not recover interest and principal owed on the secured notes.
