The SEC adopted an amendment to Exchange Act Rule 15c6-1 that shortens the standard settlement cycle for securities transactions from three business days after the trade date (T+3) to two business days (T+2).
As previously discussed, the primary purpose of the rule change is to (i) improve capital efficiency, (ii) reduce risk, and (iii) provide for a coordinated and expeditious transition to a shortened standard settlement cycle for market participants.
The final rule became effective on March 30, 2017, and the compliance deadline is September 5, 2017.
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