Originally Posted by Grizz
You do indeed own the stocks and nobody can take 'em. If you are worried about the future of E-Trade then I would keep only stocks with E-Trade. Move your cash position somewhere else since there isn't a guarantee that you'd ever see more than a few % of that.
This is my understanding also. Although I wouldn't try to predict what % (if any) of that cash might get hit, the cash is the part that is at some risk. You do have levels of insurance on it though. Only amounts above that insurance should be at any risk.