Other benefits and opportunities T+1 brings

Discussion in 'Wall St. News' started by Quanto, Mar 21, 2024.

  1. Quanto

    Quanto

    The shortening of the settlement time from T+2 to T+1 for stock sales in the US,
    due to take place on May 28, opens also some other additional benefits and opportunites:
    Since foreign countries still have the T+2 system, foreign brokerage firms that offer trading US markets
    are forced to take more credit than before. Ie. this means more currency (FX) trades to happen...

    See also:
    https://www.reuters.com/markets/us/...use-headaches-international-funds-2024-03-21/
    https://www.elitetrader.com/et/thre...r-t-1-replacing-t-2-comes-in-may-2024.377585/
    https://www.elitetrader.com/et/threads/sec-proposal-to-accelerate-settlement-welcomed.364910/
    https://www.sec.gov/news/press-release/2023-29
     
    Last edited: Mar 21, 2024
    Picaso and Primal Trader like this.
  2. Quanto

    Quanto

    Last edited: Mar 21, 2024
    Picaso likes this.
  3. Quanto likes this.
  4. Quanto

    Quanto

    But on the other hand the US clearly beats some other countries, for example Zimbabwe... :D
     
  5. The sad part, if it weren't for crypto, there wouldn't have been a push for this...
     
  6. Quanto

    Quanto

    My home bank (a regional bank, here over in sicko Europe) has also a division for stock investing etc., incl. US markets.
    The commission per stock trade is €15 !!! Ie. more than $15 !!! :)
    That's "European Innovation" :) I of course don't use them as broker.

    Fact is: the US is lightyears ahead of Europe, and all innovation in finance & trading comes from the US, and maybe some from China and India, but certainly nothing from Europe (just watch how much commission these greedy bastards want, whereas in the US, commission for stock trading is $0 ! :)).
     
    nitrene likes this.
  7. Canadians pay the highest commissions in the world (and have been for decades). Not Europe. This is because of the Oligarchy system of only 5 (now 6) banks here, protected by the government and its anti-competition clause).

    This only very recently changed with FinTech FINALLY allowed to compete in the country.

    So if there is ONE thing the US had that no one else did first (excluding CDO^2), was the lower & free commissions trades. Though one can argue they are not really free when you look at how it works.
     
    nitrene likes this.
  8. nitrene

    nitrene

    In America the Oligarchs work in the private market. In Europe & non-US Anglosphere they work for the government. Look at the EU leeches, they're just former Oligarchs trying to sue Apple & Google instead of trying to create a real tech company in the EU.

    The Canadian government is full of Oligarchs pretending to work in the Government. The Financial head of Canada is run by a former FT journalist and tells the plebes to get rid of their Netflix subscription to save money. The Prime Minister is offended by any racism but he doesn't mind dressing up in Blackface to make fun of Punjabis. Oh I didn't even mention the Grocery monopsony that is rubber stamped by the PM. Maybe he gets bribe money from Loblaw lobbyists. ISPs in Canada are a joke as well.
     
  9. nitrene

    nitrene

    As for the commision problem. Its ironic that the 0 commission regime was started by one of the most hated brokers Robinhood. Even IBKR has a zero commission plan.