What is a No Delivery period?
Whenever, a book closure or a record date is announced by a company, the exchange sets up a ‘No Delivery’ period for that security. During this period, trading is permitted in the security. However, these trades are settled only after the No-Delivery period is over. The start of No-Delivery period is the ex-date of the settlement. The settlement is clubbed with the settlement of the week whose payout date falls just after the end of the no-delivery period. This is done to ensure that investor’s entitlement for the corporate benefits is clearly determined. No-delivery period generally extends to all weekly cycles touched from 15 days prior to the record date and 4 days subsequent to the record date (both inclusive).
A. Whenever, a book closure or a record date is announced by a company, the exchange sets up a ‘No Delivery’ period for that security. During this period, trading is permitted in the security. However, these trades are settled only after the No-Delivery period is over. The start of No-Delivery period is the ex-date of the settlement. The settlement is clubbed with the settlement of the week whose pay-out date falls just after the end of the no-delivery period. This is done to ensure that investor’s entitlement for the corporate benefits is clearly determined. No-delivery period generally extends to all weekly cycles touched from 15 days prior to the record date and 4 days subsequent to the record date (both inclusive).
Whenever, a book closure or a record date is announced by a company, the exchange sets up a ‘No Delivery’ period for that security. During this period, trading is permitted in the security. However, these trades are settled only after the No-Delivery period is over. The start of No-Delivery period is the ex-date of the settlement.The settlement is clubbed with the settlement of the week whose pay-out date falls just after the end of the no-delivery period. This is done to ensure that investor’s entitlement for the corporate benefits is clearly determined. No-delivery period generally extends to all weekly cycles touched from 15 days prior to the record date and 4 days subsequent to the record date (both inclusive).
Whenever, a book closure or a record date provide link to question : What is a Book closure/Record date? is announced by a company, the exchange sets up a ‘No Delivery’ period for that security. During this period, trading is permitted in the security. However, these trades are settled only after the No-Delivery period is over. The settlement is clubbed with the settlement of the week whose pay-out date falls just after the end of the no-delivery period. This is done to ensure that investor’s entitlement for the corporate benefits is clearly determined. No-delivery period generally extends to all weekly cycles touched from 15 days prior to the record date and 4 days subsequent to the record date (both inclusive).
