World's fastest T+0 stock settlement kicks off today: 25 stocks eligible, do you own any?

T+0 settlement: The BSE and the NSE roll out same-day settlement of securities today. A list of 25 common scrips was released on Wednesday that will be settled on the same day on an optional basis.

According to a circular issued by BSE, the 25 companies whose shares would be available for trading in the same day settlement mechanism would include: Ambuja Cements, Ashok Leyland, Bajaj Auto, Bank of Baroda, Bharat Petroleum Corporation, Birlasoft, Cipla, Coforge, Divis Laboratories, Hindalco Industries, Indian Hotels Company, JSW Steel, LIC Housing Finance, LTIMindtree, MRF, Nestle India, NMDC, Oil And Natural Gas Corporation, Petronet LNG, Samvardhana Motherson International, State Bank Of India, Tata Communications, Trent, Union Bank Of India and Vedanta.

Reliance Industries, Infosys, and TCS don't figure on the list. The list also features low liquid counters such as MRF (6-month average volume is 399 shares on BSE) and actively traded ones such as Union Bank (six-month average: 19.4 lakh shares). The criteria for selecting these scrips is not known. 

Same-day settlement will be in addition to the existing T+1 settlement cycle and will be a precursor to instant settlement that may be rolled out on an optional basis at a later date. This will bring cost and time efficiency, transparency in charges to investors. 

“The significant evolution of technology, architecture and capacity of MIIs, presents opportunities for further advancing clearing and settlement timelines. Further, India’s depository ecosystem has visibility of individual client level holdings in digital form, and so has the ability to effect immediate transfer of securities and also India’s payments and settlements ecosystem has long allowed for real time transfer of funds,” stated the Sebi circular issued last week.