⏳NSCC Proposes ACATS Changes to Expedite Account Transfers
Self-Regulatory Organizations; National Securities Clearing Corporation; Order Approving a Proposed Rule Change Concerning Enhancements to the Automated Customer Account Transfer Service
Summary
The Securities and Exchange Commission has approved NSCC's proposed rule changes to enhance the Automated Customer Account Transfer Service (ACATS). Key changes include the elimination of the Settle Prep Day and a reduction in processing timelines, aimed at improving efficiency and reducing asset exposure risk during account transfers, contributing to a more streamlined securities settlement process.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The document outlines regulatory changes to the Automated Customer Account Transfer Service (ACATS), impacting account transfer timelines and procedures, crucial for financial firms and investors. By removing the Settle Prep Day, it accelerates transfer processes, reducing market risk exposure for investors and necessitating compliance by financial institutions.