I'm trying to understand how secure it is to own mutual funds/ETFs, not in terms of market volatility etc., but in terms of judicial security (i.e. what happens to your holdings if the firm goes bankrupt). To understand it, I have read this article about the bankruptcy of Lehman Brothers: What Happens to Lehman’s Customers?
Note: From now on, I'm always referring to investors who own funds/ETFs managed by Lehman Brothers, not by investors who invested in Lehman Brothers or subprime mortgages (e.g. S&P 500 ETF investors).
From the above article, what I have understood is that the funds/ETFs managed by Lehman Bros. were shifted to other brokerage firms to be managed by them. Is this what actually happened? Still, what happens with the investors if, hypothetically, no brokerage firm in the world wants to manage these financial products?