Posts on the Topic Settlement

Trading Days are essential for financial market participants, defining when securities can be traded and impacting settlement periods, compliance, and trading strategies. Understanding their context-specific implications is crucial for effective liquidity management and risk mitigation in various markets....

Agency trading is when brokers act solely as intermediaries, executing trades on behalf of clients without taking market risk or holding inventory, ensuring transparency and alignment with client interests. This model contrasts with principal trading—where brokers trade from their own...

A futures contract is a standardized, legally binding agreement to buy or sell an asset at a set price on a future date, traded on regulated exchanges with strict oversight. Settlement can involve physical delivery or cash payment, and the...

Period trading is a disciplined approach where trades are executed at fixed intervals, aligning with market cycles and settlement periods to reduce emotional bias and streamline operations. This method emphasizes systematic decision-making, batch processing of orders, transparency, and adaptability for...