How Is My Money Protected When I Invest in US Stocks on Pluang?
Your US Stock investment on Pluang is protected on two fronts: a licensed, regulated trading structure in Indonesia, and custody plus insurance coverage on the US side. Trading is facilitated by PT PG Berjangka, a Financial Derivatives Trading Intermediary licensed and supervised by OJK, with every transaction recorded on the Jakarta Futures Exchange (JFX) and cleared through Kliring Berjangka Indonesia (KBI). Your shares are held in a segregated account under Alpaca Securities LLC, a US broker regulated by the SEC and FINRA, and are covered by SIPC protection plus up to US$30,000,000 in additional insurance via Lloyd's, sitting above the standard SIPC limit. Your uninvested USD cash, meanwhile, is held at BMO Harris (rated AA- by Fitch) and is separately covered by FDIC insurance up to US$1,000,000 per user, so both your invested shares and idle cash balance carry distinct, dedicated layers of protection.
Indonesian regulatory layer:
- Licensed entity: PT PG Berjangka — a Perantara Pedagang Derivatif Keuangan (Financial Derivatives Trading Intermediary), licensed and supervised by OJK for derivative products with securities as the underlying asset
- Exchange: Jakarta Futures Exchange (JFX)
- Clearing: Kliring Berjangka Indonesia (KBI)
US custody & insurance layer:
- Stock custody: Alpaca Securities LLC (SEC/FINRA-regulated) — your shares are held in a segregated account in your name
- Securities insurance: SIPC coverage up to US$500,000 (including up to US$250,000 in cash), plus additional coverage of up to US$30,000,000 via Lloyd's Insurance, above the SIPC limit
- Uninvested USD cash: Held at BMO Harris (rated AA- by Fitch), a custodian bank, and covered by FDIC insurance up to US$1,000,000 per user
Together, these layers mean your holdings are protected by regulatory oversight in Indonesia and by industry-standard custody and insurance safeguards in the US, the same categories of protection used by regulated US brokerages.
Related questions:
Q: Who holds custody of the US Stocks I buy on Pluang?
Your shares are held by Alpaca Securities LLC, a US stockbroker regulated by the SEC and FINRA, in a segregated account under your own name rather than pooled with Pluang's or Alpaca's own assets. Pluang and PT PG Berjangka facilitate the order and route it through the licensed Indonesian trading infrastructure, but Alpaca is the entity that actually executes the trade and holds your shares on the US side once the position is opened.
Q: What happens to my USD cash balance if I haven't invested it yet?
Uninvested USD cash sitting in your Pluang balance is held at BMO Harris, a custodian bank rated AA- by Fitch, rather than sitting idle inside Pluang's own accounts. It is covered by FDIC insurance up to US$1,000,000 per user, which is a separate protection layer from the SIPC coverage that applies once that cash is actually converted into US Stock or ETF positions.
Q: Is Pluang itself regulated to offer US Stocks?
Yes — US Stock trading on Pluang is facilitated by PT PG Berjangka, which is licensed and supervised by OJK (Otoritas Jasa Keuangan, Indonesia's Financial Services Authority) as a Financial Derivatives Trading Intermediary for products with securities as the underlying asset. Every transaction you place is also recorded on the Jakarta Futures Exchange and cleared through Kliring Berjangka Indonesia, giving the whole flow an auditable regulatory trail.
Q: What does SIPC protection actually cover?
SIPC protects the securities and cash held in your brokerage account up to US$500,000 (including up to US$250,000 in cash) if the brokerage itself fails financially or becomes insolvent. On top of that base layer, Pluang's arrangement with Alpaca includes additional coverage of up to US$30,000,000 via Lloyd's Insurance. It's worth noting that neither SIPC nor Lloyd's coverage protects against ordinary market losses from price movements — both exist specifically to protect against custodian or broker failure, not investment performance.