BSE Brings in Beta Version of T+0 Settlement from March 28: A 12-Point Guide for Investors

Mumbai, March 22, 2024: The Bombay Stock Exchange (BSE) is set to revolutionize the Indian stock market with the introduction of thebeta version of T+0 settlement. This move aims to enhance liquidity and streamline trading processes. Here’s a comprehensive guide for investors:

1. What Is T+0 Settlement?

• T+0 settlement refers tosame-day settlementof trades.
• Investors will receive funds or securities on the same day as the transaction.

2. Market Timing

• Trading under T+0 settlement will occur continuously between9:15 a.m. and 1:30 p.m..

3. Charges

• All charges applicable forT+1 settled securitieswill also apply for T+0 settled securities.

4. Eligibility

• T+0 settlement will be available for alimited set of 25 scripsand with alimited number of brokers.
• This option complements the existing T+1 settlement cycle.

5. Scrip ID and Symbol

• The Scrip ID for T+0 securities will be the same as that of the corresponding T+1 security, suffixed by the character“#”(e.g., HINDMOTORS#).

6. Group, Tick Size, and Market Lot

• These parameters remain the same as corresponding T+1 securities.

7. Order Types

• T+0 allowsEnd of Day/Session,Immediate or Cancel (IOC), andMarket & Limit Orders.

8. Order Matching

• Anonymous order book with continuous matching based onPrice – Time priority.

9. Price Band

• Price band of+/- 1%(100 basis points) based on the close price of corresponding T+1 settled security.
• Re-calibrated throughout trading hours after a+/- 0.5%(50 basis points) movement in the last traded price (LTP) of T+1 settled security.

10. Eligible Members and Client Types

• All members eligible to trade in the equity segment.
• Excludes clients settling through custodians.

11. Market Timings

• Trading hours:09:15 hrs to 13:30 hrs.
• Client code modification window:Till 13:45 hrs.

12. Trading Sessions

• One continuous session from09:15 hrs to 13:30 hrs.
• No pre-open/special pre-open/block/auction/post-close sessions.
• No trading on the ex-date of any corporate action in the corresponding T+1 settled security.
• No trading during the index rebalancing day of corresponding T+1 security.

The BSE’s proactive step toward T+0 settlement aims to enhance market efficiency and provide investors with faster access to funds and securities. Stay informed and adapt to this new era of real-time trading!

Disclaimer: This article provides an overview of the BSE’s T+0 settlement and does not constitute financial advice. Readers are encouraged to consult with financial professionals for personalized guidance.