Settlement Date

What Does Settlement Date Mean?
1. The date by which an executed security trade must be settled. That is, the date by which a buyer must pay for the securities delivered by the seller.

2. The payment date of benefits from a life insurance policy.

Investopedia explains Settlement Date
The settlement date for stocks and bonds is usually three business days after the trade was executed. For government securities and options, the settlement date is usually the next business day.

Related Terms

Allowances
Contract For Differences - CFD
Delivery Date
Failure To Deliver
International Securities Association For Institutional Trade Communication - ISITC
Overnight Delivery Risk
Rolling Settlement
Settlement Price
Tomorrow Next - Tom Next
Trade Date
More Related Terms

Related Links

The Nitty-Gritty Of Executing A Trade - Ever wonder what happens behind the scenes when you buy or sell a stock? Read on and find out!
Do I own a stock as of the trade date or the settlement date?
What does rollover mean in the context of the forex market?
How can a futures trader exit a position prior to expiration?
How is rollover interest calculated?

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