The last monthly account will close on Friday, September 22, with settlement on Friday, September 29. Full cash-market trading will begin on Monday, September 22.
To allow shareholders to benefit from leverage and other special features of the monthly settlement market, ParisBourse has created a Deferred Settlement Service (Service à Règlement Différé or SRD). This is intended in particular for the approximately 250,000 individual investors currently using the monthly settlement market. Shareholders who wish to purchase a security on credit will be required to inform their intermediary that their order is for deferred settlement.
The service will be available for the most liquid on the Premier, Second and Nouveau Marches. They must be SBF 120 components or have a capitalization of at least EUR 1 billion and represent daily trading of at least EUR 1 million.
The list of securities eligible for deferred settlement will be subject to monthly and annual review by ParisBourse. On May 16, it included 145 shares, among them 15 foreign companies.
Financial intermediaries may offer their clients other options for deferred settlement, e.g., margin accounts. Along with the Deferred Settlement System, ParisBourse will be opening a new centralized securities borrowing and lending market, to provide financial intermediaries with the securities they need to meet investors' demands at all times. This electronic market will be based on the same rules of transparency and price formation mechanisms as used on the contango market, and have the same legal framework. Open to market members, it will feature a morning call auction, with transactions guaranteed and cleared by Clearnet at what will initially be a single monthly delivery date.
Users will find full details in a special ParisBourse brochure and leaflet on the new Deferred Settlement System (SRD) or at a toll-free number (0805 812 000). An information module is also posted on our Internet site (http://srd.bourse-de-paris.fr).
On April 30, the monthly settlement market counted 173 French and 77 foreign securities.