Extend Number Settlement For Free

If you bought the stock (or other type of security) using settled cash, you can sell it at any time. But if you buy a stock with unsettled funds, selling it before the funds used to purchase have settled is a violation of Regulation T (a.k.a. a good faith violation, mentioned above).

Definition of Regular Way Settlement The standard number of business days in which a securities transaction is completed and paid for between broker dealers. Corporate securities and municipal bonds settle regular way on the second business day after the trade date.

Trade settlement is a two-way process which comes in the final stage of the transaction. Once the buyer receives the securities and the seller gets the payment for the same, the trade is said to be settled.

Regular Trade means any waterborne transportation business carried on frequently or actively through contracts of affreightment or consecutive voyages or similar successive cargo arrangements. Sample 1. Regular Trade means any trade that is not a Block Trade, EFP, or spread trade.

When shares of stock, or other securities, are bought or sold, both buyer and seller must fulfill their obligations to complete the transaction. During the settlement period, the buyer must pay for the shares, and the seller must deliver the shares.

SEC Rule 15c3-3 extensions must be filed 10 business days from the settlement date, regardless of the settlement cycle of the security.

Related Definitions Extended Settlement Date transaction shall mean a transaction (other than a mutual fund security redemption) in respect of which the arranged settlement date is a date after regular settlement date.

When you sell, cash has to settle (generally 1-3 business days), before it can be withdrawn or used to buy and sell a security. If you buy and sell with unsettled cash from a previous sale, before the settlement period is over, you will violate cash trade rules.

Regular way is a finance term describing a trade that is settled through the regular settlement cycle for that particular investment. The settlement cycle starts the day the trade is made and ends when it is paid for. The length is two days for foreign exchange markets and three days for corporate debt.

Following a trade of stocks, bonds, futures, or other financial assets, trade settlement is the process of moving securities into a buyer's account and cash into the seller's account. Stocks over here are usually settled in three days.