T+0 settlement: BSE releases a list of 25 scrips, including Cipla, Ashok Leyland

T+0 settlement: BSE on Wednesday, March 27, released a list of twenty-five stocks that will be available for the beta version of the T+0 settlement cycle, or same-day settlement, on an optional basis. Ambuja Cements, Bank of Baroda, Cipla, and Ashok Leyland are among the 25 companies that will be available for trading in the T+0 rolling settlement cycle in the equity segment.

The beta version of the T+0 settlement cycle will be introduced on March 28, 2024.

T+0 settlement will enable same-day settlement of trade as the transaction occurs, thus transitioning from the conventional T+2 settlement cycle. The new process is aimed at strengthening the country’s capital markets, improving market efficiency, and reducing transactional risks.

Here is the list of 25 companies listed for T+0 settlement 

Last week, the market watchdog Securities and Exchange Board of India (SEBI) issued a circular for launching the beta version of T+0, or same-day settlement, on an optional basis.

Also read: T+0 settlement beta version to be launched on March 28, 2024 

"Pursuant to deliberations and the approval of the board, it has been decided to put in place a framework for the introduction of the beta version of the T+0 settlement cycle on an optional basis in addition to the existing T+1 settlement cycle in the equity cash market, for a limited set of 25 scrips and with a limited number of brokers,” read SEBI’s circular.

Going forward, the T+0 settlement will be implemented in all the scrips in phases.

What is the trade settlement cycle in India?

Since 2003, the country’s capital market has been following a T+2 rolling settlement cycle, which means the settlement takes place on the second trading day (except for weekends and market holidays) post-trade execution date (T). For instance, if you buy or sell shares of an ‘X’ company on Monday, the settlement will happen on Wednesday (T+2 days). Before 2002, the T+5-day settlement cycle was followed as per the Zee Business research desk.

Catch the latest stock market updates here. For all other business, politics, tech and auto news, visit Zeebiz.com.