What is a Settlement Holiday?

Settlement holiday means when stocks markets are open but settlement of your trades do not take place as per the usual T+1 cycle, because either the depositaries (NSDL and CDSL) are closed or the banks are closed on respective day.

In simple words, Settlement Holidays occurs due to bank holidays or for any other reason when the depositories are closed. A settlement holiday causes one day’s delay for your shares to get deposited in your Demat account. Hence, it adds an extra working day in settling your Demat account.

How will this impact your trades?  Take below as a example of settlement holiday

Let’s assume that, 16th August 2023 is settlement holiday, due to Parsi New Year.

  • No settlement will take place on 16th August
  • Transaction which was scheduled for settlement on 16th August will be automatically rescheduled for the next Trading Day.
  • Profit earned from Equity or Derivatives market on 14th August, will not be available for trading or withdrawal purposes on 16th August.

Clearing Holiday List for 2023

26-Jan-23ThursdayRepublic Day
22-Mar-23WednesdayGudi Padwa
30-Mar-23ThursdayRam Navami
4-Apr-23TuesdayMahavir Jayanti
7-Apr-23FridayGood Friday
14-Apr-23FridayDr. Babasaheb Ambedkar Jayanthi
1-May-23MondayMaharashtra Day
5-May-23FridayBuddha Pournima
28-Jun-23WednesdayBakri Eid
15-Aug-23TuesdayIndependence Day
16-Aug-23WednesdayParsi New Year
19-Sep-23TuesdayGanesh Chaturthi
2-Oct-23MondayMahatma Gandhi Jayanti
14-Nov-23TuesdayDiwali- Bali Pratipada
27-Nov-23MondayGuru Nanak Jayanti

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