⏱️NSCC Proposes Enhancements to ACATS Account Transfer Process
Self-Regulatory Organizations; National Securities Clearing Corporation; Notice of Filing of Proposed Rule Change Concerning Enhancements to the Automated Customer Account Transfer Service
Summary
The SEC published a notice regarding the NSCC's proposed rule change to enhance the Automated Customer Account Transfer Service (ACATS). The proposal aims to improve efficiency by eliminating the Settle Prep Day and the second day of the pending acknowledgment process for mutual fund transfers. This aims to expedite account transfers and align processes with the T+1 settlement cycle, enhancing overall transaction efficiency.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The proposed changes to the ACATS process, which include the removal of the Settle Prep Day and reduction of processing times for account transfers, directly impact compliance and efficiency for financial institutions and their clients. These amendments streamline account transfers, providing businesses with quicker transaction completions and reducing market exposure risks for investors.