Definition: A settlement cycle in which a transaction is completed one business day after the trade date, reducing counterparty and settlement risk.
Example: A buy-side firm buys 10,000 shares of stock on Monday. Under the T+1 settlement standard, the trade date (T) is Monday while the settlement date (when cash leaves the fund’s custodial account and shares enter the portfolio) is Tuesday (T+1).
Explore IVP Cash Management
The IVP Cash Management Solution supports T+1 settlement. This buy-side platform centralizes and automates cash settlements, balance monitoring, and payment workflows across banks, funds, and counterparties. By replacing manual processes with configurable, straight-through automation, it gives firms real-time visibility, stronger controls, and greater confidence in every cash movement.
