The Office of the Comptroller of the Currency and the FDIC (collectively, the "agencies") adopted a final rule that will shorten the standard settlement cycle for securities transactions from three business days after the trade date ("T+3") to two ("T+2"). The rule was adopted in accordance with an industry-wide shift to the shortened settlement cycle.
The final rule will be technically effective on the first calendar quarter date, 30 days following publication in the Federal Register. The agencies acknowledged that the rule change is essentially a formality as banks already should be in compliance with the T+2 settlement standard.
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