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Writer's pictureJim Perkins

What's old is New Again!

Wall Street is returning to where it began. Back in the old days, that's way before the internet and before most people had telephones, Wall Street made people pay for their stock buys when they made them. You wanted to buy 100 shares of GM? Well, you needed to pay then. Over the years, as market activity grew, it was decided that in order to correctly settle all the new transactions that the settlement period for buying and selling securities would extend out to 5 business days.

As technology became faster that period has shrunk. First to two days and now back to one day.

Read on for a brief but interesting history, background and the potential pit falls and hurdles this return to the beginning are making on Wall Street.



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