Description

NSE Clearing publishes the settlement schedules for Mutual Fund Service System (MFSS) transactions including subscription, liquid subscription, and redemption for February 2026.

Summary

NSE Clearing Limited has notified the settlement schedules for the Mutual Fund Service System (MFSS) for February 2026. The circular provides detailed calendars for three settlement types: regular subscription (Settlement Type ‘S’), liquid subscription (Settlement Type ‘K’), and redemption (Settlement Type ‘U’). Settlement numbers range from 20260202 to 20260241 for February 2026.

Key Points

  • Settlement schedules cover three types: Subscription (T+1), Liquid Subscription (T day), and Redemption
  • MFSS Subscription follows T+1 settlement cycle where T is the transaction date
  • Liquid Subscription settles on T day itself for same-day units allocation
  • Redemption settlement varies by scheme category (T+1 to T+8 depending on fund type)
  • No liquid settlement on February 19, 2026 due to Chhatrapati Shivaji Maharaj Jayanti
  • Category codes for scheme classifications provided in Annexure ‘D’

Regulatory Changes

No regulatory changes introduced. This is a routine operational calendar notification.

Compliance Requirements

  • All MFSS participants must follow the published settlement schedules
  • Participants must check scheme category in scheme master to determine applicable settlement day
  • Funds settlement for subscription orders depends on the fund’s settlement day for the scheme category
  • Redemption funds settlement follows scheme category payout guidelines (T+1 through T+8)

Important Dates

  • February 2-27, 2026: Regular trading and settlement dates as per calendar
  • February 19, 2026: No liquid settlement (Holiday - Chhatrapati Shivaji Maharaj Jayanti)
  • Settlement Period: 19 regular subscription settlements (S20260202 to S20260241)
  • Liquid Settlements: 18 settlements (K20260202 to K20260241, excluding Feb 19)
  • Last Settlement: February 27, 2026 orders settle on March 2, 2026

Impact Assessment

Operational Impact: Routine calendar with minimal disruption. Participants need to note the February 19 holiday affecting liquid settlements.

Market Impact: None. This is a standard monthly operational calendar.

Participant Action Required: Review settlement schedules and ensure operational readiness for the month. No system or process changes required.

Impact Justification

Routine operational circular providing settlement calendar for mutual fund transactions. Standard monthly schedule with no policy changes or market impact.