Guide
What Is T+1 Settlement? India's Trade Settlement Cycle
'Settlement' is the process where, after you trade, shares and money actually change hands — shares land in the buyer's demat account and cash reaches the seller. T+1 means this completes one business day after the trade date (T).
Why T+1 is a big deal
India fully moved to T+1 settlement for equities in 2023, becoming one of the first major markets in the world to do so — ahead of the US and Europe, which moved later. A shorter cycle means your funds and shares are freed up faster and there's less counterparty risk sitting open in the system.
T+0 and beyond
India has since piloted an optional T+0 (same-day) settlement for a set of stocks — settlement on the trade day itself. It runs alongside T+1 for now, another step toward faster, safer settlement.
What it means for you
- Sell shares and the proceeds are available to withdraw sooner.
- Buy shares and they're in your demat account the next day.
- End-of-day price data (the kind served by most data APIs) reflects settled, closing-price information — see adjusted vs close price.