NSE defers T+0 rolling settlement cycle until further notice

The National Stock Exchange of India (NSE) has deferred the implementation of the T+0 rolling settlement cycle until further notice. In a circular issue today, the NSE said the revised date will be communicated via a separate communication.

"This is in reference to Exchange circular NSE/CMTR/63154 dated July 31, 2024, regarding trading in T+0 rolling settlement in the capital market. Members are requested to note that the aforesaid circular has been deferred until further notice. The revised date will be communicated via a separate circular," the NSE says.

On July 31, 2024, the NSE had issued a circular, saying that trading in the T+0 rolling settlement cycle in the capital market segment would be applicable w.e.f. September 30, 2024.  

This year in March, the NSE had introduced the Beta version of the T+0 rolling settlement cycle on an optional basis in addition to the existing T+1 settlement cycle in the equity cash market.

The trading in securities under the T+0 settlement mechanism was launched for regular lot and stop loss trades. This offered a quicker alternative to the T+1 settlement cycle, under which trades are settled on the following day.

In the T+0 settlement cycle, the settlement of trades happens on the same day after the closure of the T+0 market. With T+0, the exchange aims to bring advantages like same-day receipt of funds and securities to the investor. 

The market timings of T+0 settlement is one continuous session from 09:15 hrs to 13.30 hrs, and the client code modification window is till 13:45 hrs. The NSE’s earlier circular said all members eligible to trade in the capital market segment could trade in T+0 settled securities. Pre-open, special pre-open, block window, auction, periodic call auction and post-close session were not applicable under T+0 settlement. In terms of charges, including transaction charges, STT, and regulatory turnover fee, all those applicable for T+1 settled security applied to T+0 trades. 

Live trading on disaster recovery site

Additionally, the NSE has said that it would conduct mock trading sessions for capital market and futures & options segments via its disaster recovery platform on September 28, 2024, i.e. Saturday.  The live trading on the disaster recovery platform and primary site will take place as per the normal market timings on October 1 and 3, the NSE says.

"Kindly participate actively in the mock trading session to check the connectivity and to avoid login problems in live trading sessions from the DR site. Members are requested to note that the Exchange Contingency Tests shall be carried out between 12:00 PM to 01:00 PM for mock trading on Saturday, September 28, 2024. Members are requested to plan their activities accordingly."