With effect from 10 Dec 2018, the settlement date is T+2 instead of T+3, i.e. the trade is due for settlement 2 business days after the trade date.

You will receive your securities on T+2.

Currently, in the event of a delivery failure in respect of a sell trade, delivery to investors who have bought the security continue to proceed. Moving forward, your buy trade will not be guaranteed as CDP will settle trades only to the extent of securities available. Thus, if there are insufficient securities delivered to CDP from the sellers of the security, your buy trade may not settle on the intended settlement day (ISD). You may refer to SGX website for more information.

Note: ISD is also known as the settlement date (T+2).

You will need to ensure that securities are available for settlement on T+2. If securities are not available for settlement, CDP will conduct buying-in and impose charges and penalties. You may refer to SGX website for more information on the buying-in process.

You may view your settled trades and balances in your CDP account. Alternatively, you may also view your trades under My Account > Outstanding Contracts.

CDP will initiate an offsetting trade (i.e. if your “buy” trade is cash settled, a “sell” trade will be initiated) and this will be reflected in your CDP Notifications and Account Statement. DBS Vickers will also notify you of the cash settlement.

Note: A buy trade may be selected for cash settlement as early as ISD+1. However, the oldest buy trade in the market will be prioritised for cash settlement.

If you do not have the required securities in your account, even after procurement and buying-in, a cash settlement will be initiated against your sell trade. In being assigned for cash settlement, you are deemed to be selling the securities at the cash settlement price. This will be reflected in your CDP Notifications and Account Statement, and DBS Vickers will also notify you.

Clearing fees are not levied on offsetting trades created for cash settlement. Clearing fees remain applicable on the original trades.

If your settlement date (T+2) falls on a holiday for your foreign currency trade, both money and securities settlement will take place on the next banking day.

In the event your trades fall on an unscheduled holiday (e.g. natural disaster) resulting in the closure of a market, similar to a foreign currency holiday, they will be processed on the next banking day.

Currency holidays will be published on SGX’s website