What is an investment's settlement period?

The settlement period is the period of time between the transaction date and the settlement date which is allotted to the parties of a transaction to satisfy the transaction's obligations. The buyer must make payment within the settlement period, while the seller must deliver the purchased investment within this period.

The settlement period for shares is two days, while funds take three to five days. Please note that cash raised from the sale of an investment cannot be withdrawn until the deal has settled.

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