Share the article
twitter-iconcopy-link-iconprint-icon
share-icon

Settlement fines come into focus as T+1 deadline looms

Concerns about a shorter settlement cycle are nothing new but new research estimates the size of the problem
Share the article
twitter-iconcopy-link-iconprint-icon
share-icon
Settlement fines come into focus as T+1 deadline looms$96.6bn was spent on resolving failures across the global equities market in 2023, according to research (Image: Michael Nagle/Bloomberg)

The lack of automation in capital markets has received increasing attention over recent years. North America’s move to T+1, higher interest rates and scrutiny from regulators all mean that failed trades carry greater penalties.

But the way trade failures are reported and penalties recorded are different across jurisdictions. This makes it hard to calculate the true cost of settlement failures. 

To continue reading, join our community and benefit from

  • In-depth coverage across key markets
  • Comments from financial leaders and policymakers worldwide
  • Regional/country bank rankings and awards
Activate your free trial
Michael Klimes is the investment banking and capital markets editor at The Banker. He joined the publication from Money Marketing where he was acting editor. He wrote about pensions for nine years on the retail and institutional side. He won B2B pensions journalist of the year at the Headline Money Awards 2022.
Read more articles from this author