Post by Proshare (@Proshare)

Nigeria's T+1 settlement transition is a major step forward, but faster settlement may come with new costs.

In this data-driven analysis, Joshua Agbroko examines FTSE Russell's decision to place Nigeria's proposed Frontier Market reclassification under further review, as well as concerns about prefunding, liquidity, and Delivery-versus-Payment requirements.

While the transition from T+2 to T+1 improves settlement speed, the findings suggest that greater attention must now be paid to settlement certainty, particularly for foreign institutional investors.

The article explores what this means for market accessibility, foreign capital participation, index reclassification, and the cost of capital for Nigerian companies.

Read more: https://proshare.co/articles/ftse-russell-t1-and-the-real-cost-of-nigerias-settlement-upgrade-oped?menu=Market&classification=Read&category=Capital%20Market

Nigeria's T+1 settlement transition is a major step forward, but faster settlement may come with new...

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