Sunday, January 17, 2021

T+3

T+3 is commonly in reference to “window dressing or window smashing” as the calendar nears the three days prior to month, quarter and/or year end. It stands for “trade date +3 days until settlement.”

Depending on how the month, quarter or year end is shaping up, many portfolio managers add to winners and sell losers (or vice versa) in this precarious time in the calendar. The “Of Course We Owned That Hot Stock This Quarter” is not that easy a trade!