What is the new quarterly Settlement or Running Account Settlement process?

What is the new quarterly Settlement or Running Account Settlement process?

To safeguard the interest of the investor/trader, SEBI mandated all stockbrokers to reverse any funds lying in the trading account back to the client’s bank account.
As per the SEBI Circular, effective Oct 1, 2022, the settlement of running account funds shall be done by the trading member “after considering the End of Day (EOD) obligation of funds as on the date of settlement across all the exchanges on the first Friday of the quarter (i.e., Apr-Jun, Jul-Sep, Oct-Dec, Jan-Mar) for all the clients.

Please refer to the table below to understand quarterly settlement dates: -

- 1st Friday of July

- 1st Friday of October

- 1st Friday of January

- 1st Friday of April

Kindly note: If the first Friday of the quarter is a trading holiday, the settlement shall happen on the previous trading day.
Clients can re-transfer the funds on the same day after getting the payout.

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