Trading

Europe’s T+1 move could hit banks nearly three times harder than US

Implementation in Europe is ‘much more complex’ than in the US, according to a new report

Discussions with trading teams lay bare millions in costs
Discussions with trading teams lay bare millions in costs Photo: Getty Images

Europe’s move to single-day securities trade settlement could cost major banks almost three times as much to implement as the same process in North America, according to new research.

Global custodians — financial institutions which hold securities for clients — could spend up to $36.1m each transitioning to from T+2 to T+1 settlement in Europe, consultancy Firebrand Research estimated.

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