JSE reduces settlement period for stock trades
The Jamaica Stock Exchange (JSE) is knocking a day off the time it takes to settle stock market transactions from the current period of the trade date plus three days, referred to as T+3, to a T+2 cycle.
This faster settlement cycle is meant to align Jamaica to international standards and facilitate increased liquidity and better cash management for stockbrokers and investors. It takes effect on December 11.
"This transition is very important to allow the market to function more efficiently. Our unit which is responsible to effect the change is working to ensure that the transition from T+3 to T+2 is a smooth process and delivers on schedule," said Depository Services Unit Manager, Kadyll McNaught Hermitt.
"The change to T+2 will see the JSE on par with other global markets by the end of 2017," added JSE managing director Marlene Street Forrest. "The JSE will continue to evolve by adapting to international best practices so that all our stakeholders can enjoy world-class service," she said.