Securities and Exchange Commission February 24, 2022 – Federal Register Recent Federal Regulation Documents

The Securities and Exchange Commission (``Commission'') proposes rules to shorten the standard settlement cycle for most broker-dealer transactions from two business days after the trade date (``T+2'') to one business day after the trade date (``T+1''). To facilitate a T+1 standard settlement cycle, the Commission also proposes new requirements for the processing of institutional trades by broker-dealers, investment advisers, and certain clearing agencies. These requirements are designed to protect investors, reduce risk, and increase operational efficiency. The Commission proposes to require compliance with a T+1 standard settlement cycle, if adopted, by March 31, 2024. The Commission also solicits comment on how best to further advance beyond T+1.