The Securities Investor Protection Corporation announced Friday that it signed an agreement with the Securities and Futures Investor Protection Center of Taiwan in order to better protect investors in the event of a brokerage firm failure in both the U.S. and Taiwan.
SIPC President Stephen Harbeck says the two organizations began working on the agreement last year during a conference in Taipei.
“We are planning for an event we hope never occurs: the failure of a major brokerage firm that has offices and customers in both Taiwan and the United States,” Harbeck says. “We now have a framework to plan, communicate and cooperate in the event of such a financial failure.”