|
Is Vanguard Safe and Legitimate, IRA Investment Firm? Is Vanguard a Scam? Is Vanguard Account Insured? Vanguard BBB Rating.
|
Is Vanguard Safe?
The Vanguard Group is one of the largest mutual fund companies in the nation that owns hundreds of mutual funds, ETFs, and portfolios, including
some of the top performing mutual funds that hundreds of thousands investors own.
They also run Vanguard Brokerage Services for investors who want to buy individual securities such as stocks, bonds, and ETFs. Vanguard has a lofty
reputation in the investing community, but the financial industry attracts a lot of fraud artists, con men, and other criminal elements who are
tempted by the combination of large amounts of money and naive investors.
Any individuals who are considering investing with a brokerage firm should ask the following questions for starters before trusting their
money to any company.
Is Vanguard Group a member of SIPC?
Yes. SIPC is the government organization that will return customer money in case brokerage business failure
of up to $500,000 per account. This means that if Vanguard Group were to go bankrupt or fail for some reason, SIPC guarantees each account up to that limit, with $250,000
of investors cash protected within that account. This is very similar to FDIC rules. What SIPC does not guarantee that any investment will generate a positive return,
so investors are always at risk for a company they own stock in to fail and render their investment worthless.
Is Vanguard Brokerage Services a member of the FDIC?
Yes. All customers of Vanguard's banking products receive full FDIC insurance coverage.
Is Vanguard Brokerage Services a member of the FINRA?
Yes. If a clients believes that there was a fraud committed at the Vanguard, he or she could contact FINRA to
have any stolen or lost funds returned.
Vanguard BBB Rating
Vanguard BBB (Better Business Bureau) rating is A-. You could see the details under this link.
There are only one six negative Vanguard reviews at BBB website, which for an old business with millions of customers, is great.
Summary
Vanguard Brokerage Services is one of the ten largest brokerages in the country and is
a legitimate firm that agrees to abide by the rules of its governing bodies. Nevertheless, since corporations consist of people, there is no guarantee than
an unscrupulous individual won't try to defraud an investor. It's the investor's responsibility to understand fully all financial contracts, investments,
account limitations, and rules pertaining to particular securities before opening an account with any brokerage firm.
Vanguard Brokerage Review
Read full Vanguard Brokerage Review under this link.
Updated on 6/15/2017.
|
|
|
|
|