Stock Market: When the Broker Goes Broke

An investor who buys stock through a reputable brokerage house would have reason to think that he really owns the shares. At least there is a general impression that he is safe in dealing with any member firm of the New York Stock Exchange. The Big Board has given substance to that impression by maintaining a trust fund that recently bulged with $55 million to assist customers of any brokers who lapsed into insolvency. Last week customers of Philadelphia-based Robinson & Co. discovered that the fund's protection is not so sure as they might have thought. In fact, the...

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