Settlement process - Estonia


Settlement cycles

Stock exchange trades:T+2
OTC Trades:T+1 to T+360 (in practice, this is T+2)
Negotiated deals:T+1 to T+6 (negotiable; the default is T+2)

Settlement flow

The keys steps for settlement and clearing of Stock Exchange and OTC trades are as follows:

Note: All times are local time (CET+1).

09:45 - 10:00Pre-opening auction period.
10:00Opening auction.
10:00 - 15:50Trading period. The broker inserts the order or other necessary data to conclude a negotiated deal in the Stock Exchange trading system.
15:50 - 16:00Pre-closing auction period.
16:00Closing auction.
16:05 - 16:30After-market trading.

OTC transactions
FOPFree of payment (FOP) settlement instructions are settled continuously in real time during the general business hours and effected as the orders from both transaction parties have been entered into the system by the sub-custodians (account operators). FOP settlement is executed until 19:00.
DVPAgainst payment (DVP) settlement instructions settle continuously in real time during the general business hours. DVP settlement is executed until 17:00. The cash leg of DVP transfer orders for T2S-eligible securities is settled via dedicated cash accounts (DCAs) at  payment banks in T2S. The cash leg of DVP transfer orders for non-T2S-eligible securities is settled via a cash account.

Stock Exchange transactions
08:00 - 17:00Nasdaq CSD captures trades from the Nasdaq Baltic exchange. Trade feeds should be enriched by participant with settlement information of settlement instructions that are sent to the CSD. The CSD receives the feed from Nasdaq Baltic and generates settlement instructions for CSD participants. The stock exchange member should appoint one single account operator to settle all its trades at the CSD. The stock exchange member has to provide its account operator with the relevant settlement information. On SD, Nasdaq CSD confirms the availability of shares in the seller's account via its securities settlement system and if a sufficient position is available.


Security registration occurs at the time of settlement at Nasdaq CSD.

Stamp duty

Stamp duty is not applicable in the Estonian market.