No, I am not worried. But I don’t use Schwab. The stocks and bonds in your Schwab account are safe …that is yours. If you have less than $250k cash, your money is backed by the FDIC. SIPC insurance provides insurance up to $500k
At Fidelity, if you have more than $250k cash in a money market account, Fidelity will automatically split the cash and deposit it in different banks (like BoA, Citi, JPM etc) so that the entire amount is backed by the FDIC. For example, if you have $490,000 cash, your account would show something like $200k at BoA, $150k at Citi, $140k at JPM. Since the FDIC limit of $250,000 is for each bank account, your entire $490k at Fidelity (well technically elsewhere) is insured. This feature is called Fidelity Cash Management Sweep (you can google it). This only applies to Fidelity Cash Management Accounts and not its brokerage accounts. But you can easily move money between these accounts to maintain FDIC insurance.
Schwab has a similar sweep feature but i do not know how it works.
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