T+1 Settlement and Implications for Principal and Agency Transactions

The global move to shortened settlement cycles and a T+1 timeline for listed securities in North America has garnered significant attention, with Europe now expected to catch up by late 2027. While the move has been seen as a success in terms of increasing liquidity in capital markets and mitigating risk, the advent of T+1 has raised key questions from investment managers regarding consents for principal and agency transactions.