CANADA: Canada Moves Towards T+1 Settlement Cycle in 2024

Wednesday November 15 2023

On 15^th November 2023, Clearstream Banking reminds that the Canadian markets moving towards T+1 settlement cycle adjustment start date as 27^th May 2024. 

The CCMA acknowledged that this is one day earlier than the U.S. Security Exchange Commission’s announced date for U.S. markets of 28^th May 2024. This decision is driven by Canadian markets being open for business that day, while U.S. markets will be closed.  

Processing schedule: 

The United States and Canada will not be aligned for the transition to T+1 settlement. As such, the CCMA announcement shared a timeline of the asymmetric processing schedule: 

• The last date on which securities will be traded on the current two-day (T+2) settlement standard in Canada and the U.S. will be Friday, 24^th May 2024. 
• Capital market participants in both countries shall adjust their systems to support a shortened standard securities settlement cycle on the weekend of 25^th and 26^th May 2024. 
• The first day of T+1 trading will be the next business day in both countries: Monday, 27^th May 2024, in Canada and Tuesday, 28^th May 2024, in the U.S.  

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