This covers all transactions received before cut off timing on 1 February and processed at closing NAV for 1 February after allowing a couple of days for the settlement cycle /process to stabilise.
A Balasubramanian, MD & CEO Aditya Birla Mutual Fund and chairman, AMFI, said, “T+1 settlement cycle for Indian equity markets is a global first. As an industry, we want to pass on the benefit to our mutual fund investors and hence we are proactively adopting a T+2 redemption payment cycle for equity funds."
“AMFI and its member AMCs always keep investor interest at the forefront. Since the day SEBI announced the phased movement of equity markets to T+1 settlement cycle, the industry has been preparing to shorten the redemption payment cycle and we are happy to announce the shift to T+2 redemption payment cycle effective February 1, 2023 onwards," NS Venkatesh, chief executive, AMFI said.
After inclusion of last set of 256 stocks on Friday this week, Indian stock market is going to become first in the world that will have T+1 settlement cycle for investors. So, from Friday, shares sold or bought would reflect in investors‘ demat account after a period of one day, leading to quicker settlement and faster liquidity for stock market investors.
