Sebi extends the deadline for implementing T+0 settlement until November 1 | Einsmark news

The Securities and Exchange Board of India (Sebi) has expanded the implementation time line for the optional T+0 (T Plus 0) SEEDICATION CYCUST for qualified stockbrokers (QSBS) in stock markets until November 1. In a circular released on Tuesday, Sebi said the decision was made due to the feedback from QSBs and subsequent discussions with stock exchanges, cleaning corporations, deposits and QSBs. The expansion aims to ensure a smoother implementation process. The deadline for QSBs to put in place the necessary systems and processes to enable investors in the optional T+0 settlement cycle seamless participation of investors was May 1st. Mint reported in April that nearly ten qualified stockbrokers requested that market regulator Sebi extend the May 1 deadline to offer an option on the same day to any of their customers who require such a cycle. Mint was told that since most top brokers are operationally unprepared on such a cycle, Sebi can extend the deadline for the QSBs to offer their customers the option of the same day settlement. Currently, very few brokers offer this option to clients as their risk management and order management systems cannot handle the scale for a same day settlement. To be sure, India became the first country to implement a T+1 settlement cycle for all shares on January 27, 2023. A year later, on March 28, 2024, Sebi introduced the optional T+0 settlement. Although Sebi initially applies to just 25 clips, Sebi announced on December 10 that the optional T+0 settlement from 31 January 2025 will be expanded to the top 500 shares. It will start with scrambling at the bottom 100 companies and the next 100 companies gradually include each month until the top 500 businesses are available for trading in the optional T+0 settlement cycle. Currently, investors can trade in shares of more than 5.600 businesses. The regulator also made clear that entities that meet the QSB criteria – based on minimum active customers and other parameters – must implement the necessary systems and processes to enable seamless investor participation in the optional T+0 cycle. In addition, Sebi has aimed stock exchanges to implement a new ‘block deal window’ exclusively for the morning session from 08:45 to 09:00 and the existing windows of 8: 45–9: 00 and 2: 05–2: 20 hours for T+1 settlements. “The trades in the optional T+0 block window session will be completed on the T+0 decay cycle,” Sebi cleared. Read more: Share movements in the third quarter: Retail Investors Jump Ship in Choppy Waters first published: 29 Apr 2025, 10:29 pm Ist