NSE Clearing to introduce shorter-tenure SLB contracts with T+3 reverse settlement
New contracts to be generated and made available on a daily basis, NSE Clearing says
NSE Clearing plans to launch shorter-tenure contracts under its Securities Lending and Borrowing scheme, with the reverse settlement occurring three days after the transaction, according to a circular released on Friday. This new R3 series of contracts will be available daily and can only be applied to eligible stocks in the Equity Derivatives Segment.
Unlike current SLB contracts, the R3 series will not be foreclosed during annual general meetings or extraordinary general meetings. The facility for repay, recall, and rollover will also not be available for these shorter-tenure contracts. The new contracts will become effective from August 17, with the relevant information included in a security file released by the exchange on August 14.
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