Question
From Feb India became the second country to move to the
T+1 stock settlement mechanism in a phased manner. Which is the 1st country?Solution
India will become the second country after China to move to the T+1 stock settlement mechanism in a phased manner. Under this new mechanism, the buyer and seller of shares will get their shares and money, respectively, within 24 hours. The T+1 stock settlement mechanism will make the existing share purchase and its sale process much faster and more convenient for all stakeholders. ‘T’ in T+1 represents the ‘Trade’ day and ‘+1’ means a day extra. Suppose, you place an order to buy shares on Monday then by Tuesday evening the shares will get credited to your Demat account. From Wednesday morning you can trade using the shares bought.
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