WFE Publishes Guidance on Transition to T+1 Settlement

The World Federation of Exchanges has released a comprehensive roadmap for global markets transitioning to T+1 settlement cycles. Drawing from recent implementations in India, North America, and Latin America, the guidance underscores critical success factors including technological investment and cross-industry collaboration.

Operational readiness emerges as a central theme, with the WFE emphasizing the need for straight-through processing and real-time reconciliation capabilities. Market participants are cautioned against premature moves beyond T+1 without demonstrated infrastructure readiness and regulatory alignment.

Seven key imperatives FORM the framework for successful implementation, ranging from standardized protocols to proactive testing regimes. The paper serves as both warning and blueprint for exchanges navigating the complex landscape of accelerated settlements.