ASX Chief Anthony Attia Wants Faster T+1 Settlement in Australia: What It Means for Investors
Australia’s stock exchange is considering a faster settlement cycle as its new chief executive, Anthony Attia, seeks to modernise the country’s equity market and bring it closer to international standards. The proposal would reduce the time required to complete share transactions from two business days to one, a system known as T+1 settlement.
The push comes at a sensitive moment for the Australian Securities Exchange (ASX). The exchange has faced technology problems, regulatory scrutiny and concerns about its ability to deliver major infrastructure upgrades. Attia wants to accelerate the transition even though the broader replacement of the exchange’s clearing and settlement technology is not expected to be fully completed until 2029.
For investors, a shorter settlement cycle could mean quicker access to the proceeds of share sales and less time for transactions to remain unsettled. For brokers, banks, custodians and the exchange itself, however, the change would require substantial operational preparation.
What Is T+1 Settlement, and How Does It Work?
Settlement is the process through which the buyer receives securities and the seller receives payment after a trade. In Australia, cash equity transactions currently generally settle on a T+2 basis: two business days after the trade date.
Under T+1, settlement would take place one business day after the transaction. A trade completed on Monday would ordinarily settle on Tuesday, assuming both are business days and no special market arrangements apply.
The distinction between trading and settlement is important. An investor can buy or sell shares when the market is open, but the transfer of cash and securities is completed through the settlement infrastructure afterward.
Australia uses the Clearing House Electronic Subregister System, known as CHESS, for clearing and settlement. The system supports the transfer of money and securities between market participants. The ASX describes the current process and the potential T+1 cycle in its settlement guidance.
A shorter settlement window would compress the time available to confirm transactions, arrange funding, reconcile records and resolve errors. That makes the change more than a simple adjustment to the settlement calendar.
Why Anthony Attia Wants to Accelerate the Transition
Attia, who began as ASX chief executive in September 2026 after a long career at European exchange operator Euronext, wants the exchange to improve its competitiveness while addressing longstanding infrastructure concerns.
ASX previously explored a move to T+1 in 2024 but put the proposal aside as market participants prioritised the technology overhaul. The exchange’s planned A$445 million technology programme followed outages, settlement delays and other operational problems that attracted regulatory scrutiny.
The proposed acceleration reflects a broader international shift toward shorter settlement cycles. The United States adopted T+1 in May 2024. London and Euronext exchanges plan to transition in October 2027, while Hong Kong has targeted the fourth quarter of 2027, according to Reuters.
For ASX, staying aligned with major financial centres could help maintain the appeal of its market to international investors and financial institutions. In a global market where capital can move between countries relatively quickly, settlement arrangements can influence the operational cost and convenience of investing.
However, Attia’s comments represent an ambition to bring the transition forward, not confirmation of a final implementation date. Consultation with regulators and market participants will be necessary before a timetable can be established.
Potential Benefits for Investors and the Financial Industry
A move to T+1 could offer several advantages if the transition is implemented successfully.
Faster access to sale proceeds
Investors selling shares could receive their money one business day earlier than under the existing cycle. This could improve cash management, particularly for active investors and institutions that regularly rebalance portfolios.
It would not necessarily mean every investor could immediately withdraw funds at the moment a trade is executed. Broker processes, account arrangements and applicable rules would still matter.
Lower exposure to unsettled trades
The longer a transaction remains unsettled, the longer participants are exposed to certain risks, including the possibility that a counterparty fails to deliver cash or securities as expected.
A shorter cycle reduces the time during which these exposures remain outstanding. It can also reduce the amount of capital tied up in the settlement process, although the actual benefits depend on how firms manage their operations.
Greater international alignment
Global investors operating across multiple markets must manage different settlement timetables, currencies, funding arrangements and time zones. Moving to T+1 could reduce some of the differences between Australia and other major markets.
That benefit is not automatic. Australian settlement deadlines would still need to work with international trading hours, foreign exchange arrangements and the operating schedules of global custodians.
The Biggest Challenge: Technology and Operational Readiness
The central issue is whether ASX and the wider financial industry can move faster without introducing new operational risks.
The exchange’s CHESS replacement programme is a major undertaking. The final upgrade is not expected to be completed until 2029, although Attia believes T+1 could be introduced earlier.
That creates a difficult sequencing decision. Accelerating settlement could improve competitiveness, but attempting too many complex changes at once could put additional pressure on technology teams, brokers, custodians and other market participants.
ASX’s own guidance identifies potential transition costs, capital expenditure, investor costs and new operational risks as considerations when moving to a shorter settlement cycle.
Financial institutions may need to upgrade systems, automate manual processes, improve the speed of trade matching and ensure sufficient cash or securities are available earlier. Smaller participants could face a disproportionate burden if they have fewer resources to invest in new technology.
International investors may also need to adjust funding and foreign-exchange processes to meet tighter deadlines.
The trade-off is clear: a faster settlement cycle can reduce some existing risks, but a poorly managed transition could create different ones.
What the Move Means for ASX’s Business and Reputation
For the exchange itself, T+1 is part of a larger effort to strengthen competitiveness and restore confidence.
ASX’s shares fell 23.6% in the financial year ended June 30, 2026, according to Reuters. A regulatory investigation also concluded that the exchange had prioritised shareholder returns and failed to invest adequately in infrastructure, compromising the effectiveness of Australia’s financial markets.
Those findings help explain why the next phase of ASX’s strategy will be judged on execution, not just ambition.
A successful T+1 transition could demonstrate that the exchange can modernise its services and respond to global competition. But the project also carries reputational risk: further delays or technical problems could deepen concerns about operational reliability.
The broader business challenge is to improve the exchange’s technology and services while maintaining the stability that investors, brokers and listed companies expect from critical financial-market infrastructure.
What Investors Should Watch Next
The next important developments are likely to come from ASX’s consultations and implementation planning rather than an immediate change in the settlement rules.
Investors and market participants should monitor:
The official timeline: Whether ASX proposes a firm target date for T+1 and how it relates to the CHESS upgrade schedule.
Regulatory engagement: Whether regulators and industry participants support accelerating the change.
Technology milestones: Progress on the CHESS replacement programme, testing and operational readiness.
Implementation costs: How much additional work brokers, custodians and other financial institutions will need to complete.
Reliability and execution: Whether ASX can demonstrate consistent operational performance while pursuing the transition.
These developments will provide a clearer indication of whether the proposed acceleration is practical and whether the benefits justify the cost and complexity.
Conclusion
ASX chief Anthony Attia wants to accelerate Australia’s move from T+2 to T+1 settlement, potentially completing the transition before the exchange’s wider CHESS upgrade is finished in 2029. The change could improve cash efficiency, reduce certain settlement exposures and align Australia more closely with international markets.
But the proposal is still at the consultation stage, and its success will depend on technology readiness, industry cooperation and regulatory support. For investors, the key issue is not simply how quickly settlement can be shortened, but whether ASX can deliver the change safely while rebuilding confidence in its infrastructure.
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This article is for informational and educational purposes only and should not be considered investment advice.