17th August 2017 On Tuesday 5th September, the US and Canada markets are moving to a T+2 settlement cycle. The current settlement cycle in these markets is T+3, i.e. “Trade date plus 3 business days”. By moving to T+2, the US and Canada are moving in line with other developed markets, including Europe, the UK, Australia and New Zealand. A shorter settlement cycle helps to reduce risk in markets by reducing the exposure between parties to a trade, also leading to more efficient markets. JBWere clients should be aware of this change, for example a buy trade executed in US or CA stocks on 5th Sep will settle one day earlier, meaning you will need to ensure funds are available one day earlier than previously. Trade date Settlement date Settlement Cycle Fri 01 Sep 2017 7 Sep 2017 T+3 Mon 04 Sep 2017 Market Holiday - Labor Day Tue 05 Sep 2017 7 Sep 2017 T+2 The good news is that bringing these markets into line with other global markets should make it simpler to trade between markets. For example, if you are selling a UK stock to fund the purchase of a US stock, the settlement date for each of those trades will now be on the same day. If you have any questions about T+2 settlement, please talk to your JBWere adviser. Further information on T+2 is available here.