Patrick Young on Euroclear-CREST

The clearing and settlement world used to obsess about T+whatever. Once upon a time it was T+7 or T+5 and I suppose in what one could refer to as a dizzyingly deflationary spiral, nowadays we have T=3, and T+1 remains

By None

The clearing and settlement world used to obsess about T+whatever. Once upon a time it was T+7 or T+5 and I suppose in what one could refer to as a dizzyingly deflationary spiral, nowadays we have T=3, and T+1 remains a bit of a rare animal but it has at least been spotted more often than the Loch Ness Monster in recent years. On the other hand, now we have a deal between Crest and Euroclear in the second obsession of recent years, rationalisation, silos and all that.

I suppose what fascinates me is that this is a sort of nothing in particular apart from fanfares today deal with jam accruing somewhere about the middle of the swap yield curve for those lucky people who actually will still be in business in 2008 or thereabouts.

All of a sudden even T+3 settlement looks distinctly avant garde.

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