SEBI Update – Enhancement in the scope of optional T+0 rolling settlement cycle in addition to the existing T+1 settlement cycle in Equity Cash Markets

SEBI issued a circular to widen the scope of the optional T+0 rolling settlement cycle in the equity cash market.

Optional T+0 settlement cycle will be made available to top 500 scrips in terms of market cap as on December 31. The scrips shall be made available for trading and settlement starting with scrips at bottom 100 companies and include the next bottom 100 companies every month till top 500 companies are available for trading. This is in addition to the 25 scrips already available for trading.

Qualified stock brokers and market Infrastructure Institutions will put in place systems and processes for enabling seamless participation of investors in optional T+0 settlement cycle.

The above measures will become applicable from January 31, 2025.

Block deal mechanism

A mechanism for Block Deal window will be put in place by the Stock Exchanges under the optional T+0 settlement cycle. The Block Deal window under the optional T+0 settlement cycle shall be available only for the morning session during 8:45 am to 9:00 am in addition to the existing Block Deal windows of 8:45 am to 9:00 am and 2:05 pm to 2:20 pm for T+1 settlement cycle. The trades in the optional T+0 block window session will be settled on T+0 settlement cycle. 

Participation under this window shall be optional for the investors.

Link – https://www.sebi.gov.in/legal/circulars/dec-2024/enhancement-in-the-scope-of-optional-t-0-rolling-settlement-cycle-in-addition-to-the-existing-t-1-settlement-cycle-in-equity-cash-markets_89443.html