Please be advised, that Canadian capital markets will shorten the trade settlement cycle to one business day starting Monday, May 27, 2024. For U.S. market participants, the shortened trade settlement cycle is expected to start Tuesday, May 28, 2024. This change will impact trades for stocks, Exchange-Traded Funds, fixed income securities and most mutual funds.
What does this mean for you?
Once the change is implemented, your trades involving the securities mentioned above will settle sooner (one business day) than their current settlement time (two business days). Please note, if you make a security purchase, you will also need to have sufficient funds available within the shortened trade settlement cycle of one business day.
If you want to purchase a security and settle it by selling a mutual fund, which may include money market funds, you will need to place the sell order before the deadline of 3 p.m. ET on the same day of the purchase. Orders placed after the deadline will settle two business days later and you may be subject to interest charges on any settled debit amounts.