The Securities and Exchange Board of India (SEBI) on March 21, 2024, issued the notification regarding the Introduction of the Beta version of the T+0 rolling settlement cycle on an optional basis in addition to the existing T+1 settlement cycle in Equity Cash Markets.
The following has been stated namely: -
• The operational guidelines in this regard are as under
o Eligible Investors: All investors are eligible to participate in the segment for the T+0 settlement cycle if they are able to meet the timelines, process, and risk requirements as prescribed by the MIIs.
o Surveillance Measures: The surveillance measures as applicable in the T+1 settlement cycle shall be applicable to scrips in the T+0 settlement cycle.
o Trade Timings: One continuous trading session from 09:15 AM to 1:30 PM.
o Price Band: The price in the T+0 segment will operate with a price band of +/- 100 basis points from the price in the regular T+1 market. This band will be re-calibrated after every 50 basis points movement in the underlying T+1 market.
o Index calculation and settlement price computation: T+0 prices will not be considered in index calculation and settlement price computation. There shall be no separate close price for securities based on trading in the T+0 segment.
o Netting of Obligations: There shall be no netting in pay-in and pay-out obligations between T+1 and T+0 settlement cycle
• On a periodic basis, MIIs shall disseminate the list of brokers that are participating in the Beta version of the T+0 settlement cycle on their websites.
• MIIs shall provide a fortnightly report on the progress of activities in the Beta version of the T+0 settlement cycle till further direction.
This shall come into force on March 28, 2024.
[Notification No. SEBI/HO/MRD/MRD-PoD-3/P/CIR/2024/20]
