T+2 brings the cycle in line with other global markets
Proposal shortens settlement cycle from three business days to two
A shorter cycle is expected to mitigate risk in securities clearing and settlement
Revisions simplify standards and improve consistency
Canada to adopt T+2 settlement on Sept. 5, 2017
A new report details the central bank’s oversight of financial market infrastructure entities
Moving to a two-day settlement cycle i will depend on regulators amending rules
Raising the amount to $500 million from $150 million aims to encourage market participants to trade at levels closer to the target rate
Regulatory action is critical for the industry to achieve its goal of a two-day settlement cycle by third quarter 2017
There is a consensus that the Canadian securities industry will be able to make a smooth transition to T+2 once a date has been set