T+1 settlement
Also called: T+1, T+1 settlement cycle
India's settlement cycle: shares you buy reach your demat account, and money from shares you sell reaches you, one working day after the trade.
T stands for the trade day. Under T+1, a trade done on Monday settles on Tuesday: the buyer receives the shares and the seller receives the money. India finished moving every listed share to T+1 in January 2023, which made it one of the fastest large markets in the world. SEBI has since allowed an optional same-day cycle for a short list of shares, but T+1 is the normal rule.
Until settlement your broking app may show new purchases as “T1” holdings. You already own them; the paperwork is catching up.
Example
You sell 50 shares on Thursday. The money reaches your trading account on Friday, and you can withdraw it to your bank from then on.
Watch out
Settlement counts working days, not calendar days. Sell on a Friday and the money usually arrives on Monday, later still if a market holiday falls in between.
Learn it properly in
Chapter 2.1: How to open a demat account in India, and what happens after you tap Buy