Which organization provides investor protection in the event of dealer insolvency for stock investors?

The correct choice is that the Canadian Investor Protection Fund (CIPF) provides investor protection in the event of dealer insolvency for stock investors. CIPF's primary role is to protect customers of Canadian investment firms that are members of the Fund by covering claims for the loss of their assets held by the member firm, up to certain limits. This protection is particularly crucial in the financial industry, as it helps maintain confidence among investors that their investments are safeguarded even if their brokerage firm faces bankruptcy or insolvency.

CIPF's mandate focuses on protecting against the insolvency of the investment dealers, thus ensuring that investors can recover their assets or receive compensation within the coverage limits. This assurance is critical for individual and institutional investors who rely on the stability and reliability of the firms they engage with for their stock trading activities. Understanding the role of CIPF helps investors make informed decisions regarding the safety of their investments in the Canadian market.