Brokerage Office Procedure - Government Securities Settlement Options
Regular way transactions in government securities settle on the next business day or T+1. There are however times when either party to the transaction may request an alternative settlement. Other settlement options include:
- Next Day
- Seller’s Option
- Buyer’s Option
- RVP / DVP / COD
The settlement options available to investors in government securities are similar to those for corporate and municipal securities. However government securities that are traded on a when issued basis settle the day after the securities are available for delivery.