{"id":74281,"date":"2017-09-10T11:09:52","date_gmt":"2017-09-10T15:09:52","guid":{"rendered":"http:\/\/ccma-acmc.ca\/en\/?p=74281"},"modified":"2017-11-21T09:05:16","modified_gmt":"2017-11-21T14:05:16","slug":"canadian-capital-markets-association-declares-transition-to-shorter-securities-settlement-cycle-a-success-credits-canadian-capital-markets-participants","status":"publish","type":"post","link":"https:\/\/ccma-acmc.ca\/en\/canadian-capital-markets-association-declares-transition-to-shorter-securities-settlement-cycle-a-success-credits-canadian-capital-markets-participants\/","title":{"rendered":"Canadian Capital Markets Association declares transition to shorter securities settlement cycle a success, credits Canadian capital markets participants"},"content":{"rendered":"

TORONTO<\/strong>, September 8, 2017 \u2013 The Canadian Capital Markets Association (CCMA) today announced that Canadian market participants successfully concluded efforts to transition Canada\u2019s capital markets to a two-business-day (T+2) settlement cycle from a three-business-day (T+3) cycle.\u00a0 <\/em>The transition required careful co-ordination among hundreds of people and many financial entities in the investment industry in Canada, the U.S. and other countries. \u00a0The T+2 trading of equity and most debt securities, and the purchase of most mutual funds, was implemented effectively in Canada on Tuesday, September 5, 2017 in alignment with the U.S. and other markets.\u00a0 T+2 settlement \u2013 payment for those securities \u2013 was completed smoothly two days later on September 7, 2017.<\/p>\n

<\/p>\n

\u201cManaging this cutover so smoothly, while Canada\u2019s capital markets industry continued to operate without downtime, is a testament to the people working in many different areas of our capital markets across the country over the past two years, and right through this past Labour-Day weekend,\u201d said Keith Evans, CCMA\u2019s Executive Director.<\/p>\n

Evans thanked all CCMA committee members, Canadian capital market participant firms, and Canadian securities regulators for their support for this market-driven initiative. \u00a0He also recognized the concurrent efforts of his American counterparts, who had managed the effort in the United States.\u00a0 They had described the carefully co-ordinated move from a T+3 to a T+2 settlement cycle <\/em>as the \u201cmost significant change in two decades\u201d.[i]<\/a><\/p>\n

Evans added: \u201cThere is an old saying in the securities industry that \u2018nothing good happens between trade date and settlement date.\u2019\u00a0 Competitors working together have just accomplished a one-third reduction in this time period.\u00a0 This lowers risk and speeds up the time within which buyers will get their securities and sellers will get their money.\u00a0 The initiative also reduces risk in the overall system.\u201d <\/em><\/p>\n

\u2013 30 \u2013<\/p>\n

 <\/p>\n

About the Canadian Capital Markets Association (CCMA)<\/strong><\/p>\n

The Canadian Capital Markets Association (CCMA) is a national, federally incorporated, not-for-profit organization, launched in 1999 to identify, analyze and recommend ways to meet the challenges and opportunities facing Canadian and international capital markets. The CCMA\u2019s mandate is to communicate, educate and help co-ordinate the different segments of the investment industry on projects and initiatives spanning multiple parts of Canada\u2019s capital markets.\u00a0 Participating under the co-ordinating umbrella of the CCMA are dealers, custodians, asset managers and industry associations; exchanges and securities infrastructure entities, including The Canadian Depository of Securities (CDS) and Fundserv; back-office service providers and vendors; and other stakeholders.\u00a0 More information is available at www.ccma-acmc.ca<\/p>\n

\u00a0<\/strong><\/p>\n

About T+2<\/strong>
\nThe term \u201cT+2\u201d refers to the number of business days between when a trade is executed \u2013 trade date or \u201cT\u201d \u2013 and the day it settles, that is, when the buyer\u2019s payment for a securities trade is exchanged simultaneously with the securities of the seller. \u00a0In 1995, Canada and the U.S. together shortened the standard settlement cycle for most debt, equity and mutual funds from to T+3 from T+5.\u00a0 The term T+2 also acts as short-hand for the current industry-wide project to shorten the maximum standard settlement cycle to T+2 from T+3 on September 5, 2017 in conjunction with U.S. capital markets.<\/p>\n

 <\/p>\n

Contact
\n<\/strong>For more information, please contact:<\/p>\n

Keith Evans, Executive Director, Canadian Capital Markets Association, 416.365.8594, kevans@ccma-acmc.ca<\/a><\/p>\n

 <\/p>\n

[i]<\/a> \u00a0 September 5, 2017:\u00a0 https:\/\/www.sifma.org\/resources\/news\/financial-services-industry-shortens-trade-settlement-cycle-in-the-u-s-marking-the-most-significant-change-in-two-decades\/<\/p>\n","protected":false},"excerpt":{"rendered":"

TORONTO, September 8, 2017 \u2013 The Canadian Capital Markets Association (CCMA) today announced that Canadian market participants successfully concluded efforts to transition Canada\u2019s capital markets to a two-business-day (T+2) settlement cycle from a three-business-day (T+3) cycle.\u00a0 The transition required careful co-ordination among hundreds of people and many financial entities in the investment industry in Canada, […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-74281","post","type-post","status-publish","format-standard","hentry","category-releases"],"acf":[],"_links":{"self":[{"href":"https:\/\/ccma-acmc.ca\/en\/wp-json\/wp\/v2\/posts\/74281","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ccma-acmc.ca\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ccma-acmc.ca\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ccma-acmc.ca\/en\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/ccma-acmc.ca\/en\/wp-json\/wp\/v2\/comments?post=74281"}],"version-history":[{"count":5,"href":"https:\/\/ccma-acmc.ca\/en\/wp-json\/wp\/v2\/posts\/74281\/revisions"}],"predecessor-version":[{"id":74538,"href":"https:\/\/ccma-acmc.ca\/en\/wp-json\/wp\/v2\/posts\/74281\/revisions\/74538"}],"wp:attachment":[{"href":"https:\/\/ccma-acmc.ca\/en\/wp-json\/wp\/v2\/media?parent=74281"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ccma-acmc.ca\/en\/wp-json\/wp\/v2\/categories?post=74281"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ccma-acmc.ca\/en\/wp-json\/wp\/v2\/tags?post=74281"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}