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T+1 settlement of all F&O stocks pushed to Jan 2023, transition at one go

However, the timeline issue for many FPIs remains, as the relaxation still compels them to book forex during non-market hours

commodity derivatives

They fear the difference in timeline increases their cost of trading since it requires them to book forex in advance and engage in pre-funding

Khushboo Tiwari Mumbai
The stock exchanges and depositories have pushed the transitioning of all futures and options (F&O) stocks to a T+1 or (trading + one day) settlement, starting January next year. Earlier, the transitioning was to be done in two tranches, starting December this year.

The market infrastructure institutions said in a joint statement that the decision to transition in a single batch was taken to foster operational efficiency and make it easier for market participants. The deferral gives foreign portfolio investors (FPIs) some respite, many of whom have been opposing the shift to a shorter trade settlement cycle. 

Over 200-odd stocks

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First Published: Nov 23 2022 | 7:34 PM IST

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