CLIENTS’ SECURITIES (EQUITIES, BONDS, FCP MUTUAL FUNDS, SICAV FUNDS)
In concrete terms, securities deposited with banks in France are held in safekeeping at the central securities depository, Euroclear-France, in a special account. Therefore, there is no risk of confusion between securities owned by banks and those owned by their clients. Whatever their size, portfolios therefore are protected against being used by the depositing financial institution, except where expressly authorized by the client.
DEPOSIT INSURANCE FUND
Created as part of the Savings and Financial Security Act of 25th June 1999 , the fund’s main role is to compensate depositors in certain cases and offers two guarantees in particular:
- cash up to a value of 70,000 Euros;
- securities up to a value of 70,000 Euros in missing securities.
Its action, together with that of the Prudential supervision authority, therefore is a feature of the French banking system which, when needed, can serve to strengthen depositor confidence in the system’s overall worth.
Philippe Oddo is a member of the Deposit Insurance Fund’s supervisory board.