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Rules & Regulations

SEC Proposes T+2 Securities Settlements

September 29, 2016

The SEC voted to shorten the standard settlement cycle for most broker-dealer securities transactions from 3 business days after the trade date (T+3) to 2 business days after the trade date (T+2). The proposed rule amendment is designed to reduce the risks that arise from the value and number of unsettled securities transactions prior to the completion of settlement, including credit, market, and liquidity risk directly faced by U.S. market participants.

 

The public comment period will remain open for 60 days following publication of the proposing release in the Federal Register.