PR: SIX Group to shorten T+3 settlement period for Swiss trading

Swiss based stock and security exchange SIX Group will soon implement a shortened settlement period.

Currently the time taken between trade and settlement in Switzerland is 3 business days. SIX group plans, beginning October 6^th 2014, to shave a day off the settlement period resulting in only 2 days.

Below is the official Press Release from SIX Group:

SIX will introduce T+2 settlements for Switzerland starting 6 October 2014

SIX shortens the time period between the Execution Execution Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Read this Term of a trade and its settlement. The present settlement cycle in Switzerland is three business days (T+3). Starting 6 October 2014 the settlement cycle will be reduced to two business days (T+2). This shortened settlement cycle covers all securities tradable on SIX Swiss Exchange and SIX Structured Products Exchange and settling through the Swiss Central Securities Depository, SIX SIS AG.

The introduction of a shortened settlement cycle comes after a consultation process with SIX Swiss Exchange’s members and stakeholders who supported a move to harmonize Switzerland’s settlement cycle with other major European markets. It is also in line with the Central Securities Depositories Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term (CSDR) introduced by European regulators. According to the CSDR, securities transactions in regulated markets and MTFs will be required to settle no later than the second business day after trading takes place, effective from 1 January 2015.

Source: SIX Group