Definition: Canadian Investor Protection Fund (CIPF)

CIPF, the Canadian Investor Protection Fund, protects eligible clients against missing cash, securities, or other covered property when a member investment firm becomes insolvent, within its coverage limits. It does not protect against investments losing market value. Cash deposits are covered by the CIPF, but the value of other investments are not. Suppose you held 100 shares in Company A through an investment firm (Company B). If the investment firm were to fail, the CIPF would ensure that you still hold the 100 shares in Company A, but without any guarantee of the value of those shares.