settlement period

Settlement Period

The number of days between the trade date and the settlement date. The trade date is the day on which investors agree on the security transaction, while the settlement date is the day securities change hands and payment is made. Different types of transactions have different settlement periods. For example, stock trades usually settle on T+3 (three trading days since the trade date) while bonds settle on T+1 (one trading day since the trade date).

settlement period

The period between the trade date and the settlement date. The settlement period on most securities is five business days.
References in periodicals archive ?
The transaction is valued at USD95m (EUR71.5m) and is subject to adjustments for net debt, working capital and net capital expenditure during the settlement period, Boliden said.
It provides daily dealing with a T+1 day settlement period and was launched in June 2017.
The technical short-selling service that will be gradually applied in ADX during 2017, allows clients to sell shares they don't own yet committed to provide during the settlement period -- so they gain profits from price differences if the shares prices go down.
settlements of the costs of electricity sold with the distribution service will be made on the basis of billing readings from metering and settlement systems made by the distribution system operator in accordance with the settlement period used by the dso.
Over the course of the settlement period all pharmacies in England will become Healthy Living Pharmacies which will require them to have trained health champions on site.
(2) Of course, this reserve demand and supply behavior implies that open market operations (which would alter the value of [N.sub.t]) would have no effect on the quantity of deposit money if undertaken within the settlement period. As Laurent [1979] points out, open market operations would need to be undertaken with a single transaction immediately prior to the RLA settlement period.
In addition, the risk management department should coordinate the activities of other departments during the claims settlement period. Such a holistic role for risk managers would provide three immediate benefits.
In such a system, trades settle on all business days of the week, scheduled the same number of days after the trade.(38) Thus, the presence of a standardized settlement period and a netting system is a crucial aspect to moving between international markets with security of settlement.
Under the "Aladi model", Malaysia extends credits to Algeria over a four-month settlement period. Malaysian exporters to Algeria submit their invoices to Bank Negara, which pays them in ringgit through a designated local bank.
This study uses two data sets to examine nonstandard-settlement trading, one from the current T+3 settlement period and one from the previous T+5 settlement period.
The first round was a move several months ago to narrow the settlement period for securities transactions from five days to three.
Stitz, "Ethnicity, Persistence, and Capitalization of Agriculture in the Great Plains during the Settlement Period: Wheat Production and Risk Avoidance," Rural Sociology 50 #3 (1985): 341-60; and Cornelia Butler Flora and John Stitz, "Female Subsistence Production and Commercial Farm Survival Among Settlement Kansas Wheat Farmers," Human Organization 47 #1 (Spring 1988): 64-69.