Settlement Flashcards
1
Q
Settlement: Regular way (corporate and municipal)
A
T+2
Trade date + 2 business days
2
Q
Settlement: Regular way (government)
A
T + 1
Trade date + 1 business day
3
Q
Settlement: Cash
A
Same day (BD approval required)
4
Q
Settlement: Buyer’s option/seller’s option
A
- No sooner than first day after regular way
* No later than date specified in settlement contract
5
Q
Settlement: Options
A
T+1
Options settle the next business day
6
Q
When do municipal bonds settle?
A
Two business days
7
Q
When do corporate bonds settle?
A
Two businesses days
8
Q
Regular way settlement for US gov securities
A
1 business day
