Per my understanding, T212 is the only entity which knows about me (it has identifiable information, like the details of the national id card) and, for example, the ETFs the I bought.
If my understanding is correct and T212 is the only entity holding this information, then what happens if somehow T212 loses the records regarding my personal details and the ETFs I bought?
For example, a cyber attack could delete these records from the T212 servers. While it might sound like SF scenario, it actually happened to very big online businesses (email companies, retails, crypto, etc). They faced critical security breaches which end up with customers losing their data.
Does T212 is really the sole entity hold these critical records which connect the identifiable customer to his\her ETFs?
What kind of regulations does T212 need to comply to in order to assure the records do not get lost or they are 100% recoverable in case T212 loses them? I assume they have data backups, but, from a digital/online security point of view, what it would really be better if T212 is not the only entity which holds this information.
Here are some excerpts from the Terms of Service I am already aware of:
12.11. We may hold your money and the money of other Clients in the same Client Bank Account (omnibus account). In this case we are able to identify your money through our back office and accounting system.
13.8. Your Investments will be registered in the same name as those of other clients (pooled together with other clients’ Investments in an omnibus co-mingled custody account, like with like). This means that Investments will not necessarily be immediately identifiable by way of separate certificates. If we or our third-party nominee were to become insolvent there may be delays in identifying individual assets, and possibly an increased risk of loss if there should be a shortfall because additional time will be needed to identify the assets held for specific clients. In addition, in the event of an unreconciled shortfall caused by the default of a custodian, you may share proportionately in that shortfall.
Note, I am not talking about the security of the ETFs, I’m aware they are kept by Interactive Brokers. What I’m talking about is the security of records which prove I’m the person which owns the ETFs..
Also, I know T212 already sends email statements for every ETF I buy, and that I can ask T212 to send a share certificate which I can keep in my email. But I don’t see how that could help in the eventuality T212 loses the records. Will T212 reconcile the records by just asking everyone to forwards those emails?
Of course, this concern is not about T212 only, same is for any other brokers. But I’m interested to know what T212 does in this respect.