Citi Securities Services Evolution 2025

18 | Securities Services Evolution 2025 T+1 goes global For the last five years, we have seen a continuing and gradual increase in the significance and impact of T+1 on firms across the world. In 2025, this has reached a historical peak (Figure 5). Today, T+1 is seen as the most impactful market change for 41% of respondents in our 2025 survey (up from 32% in 2024). As more markets have either confirmed or have indicated a timeframe to move to T+1 in the next 4 to 5 years, buoyed by the success of the 2024 migrations, global workloads are spiraling. T+1 is bigger than ever in 2025 – across every region Prepare, migrate, optimize, repeat - the cumulative workload (and cost) of T+1 is significant . Our 2025 survey findings underline the many types of T+1 activity that firms are undertaking today – from optimization of North American processing, to migration preparations for European transitions, to scoping in Asia and Brazil (Figure 6). Put together, these many phases mean that 76% of respondents worldwide are working on some form T+1 in 2025, with asset managers most active today. As we explain later in the report , 48% of respondents to this year ’s survey are running T+1 projects in 2025 to accommodate or optimize their North American activities (Figure 8). With levels of activity highest outside of the US, the effects of 2024’s transitions are still being managed by global firms across different time-zones and currencies. Looking ahead, all eyes are fixed on the 11 October 2027, when the EU (and EEA markets), UK and Switzerland will transition to T+1 in a coordinated move. Brazil’s decision to move to T+1 in early 2028 will ensure continued focus on transition work, before attention turns to Asian (and possibly African) markets – where transitions are expected to be in 2030 (in Australia and New Zealand, assuming a timely implementation of the CHESS system in Australia beforehand). There is clearly a great deal to prepare for. The key to UK T+1 success? Automation “If you’re going to take it easy, why not take it easy in 2027? The sooner you get ready for T+1, the longer you will have to recoup the costs.” AndrewDouglas,UKAcceleratedSettlement Taskforce Throughout the UK T+1 Implementation Plan, 8 Andrew Douglas has emphasized the need and commitment for automation, a point reiterated by his EU T+1 counterpart Giovanni Sabatini. This sentiment is not lost on respondents to the 2025 survey as 43% cite the top enabler for T+1 in the UK to be ‘improved internal operational processes’ alongside the 26%who consider ‘upgrading or replatforming legacy technology’ to be key. (Figure 7) Whilst the industry’s awareness of the need for ‘internal enablement’ is consistent with what we reported in the run-up to the North American T+1 transitions, it remains to be seen howmuch of this automation will be undertaken before the October 2027 transition date (and how much work continues afterwards). 9 In parallel, our findings show that 51% and 55% consider the “FMI team” in the EU and UK respectively to be mission critical to market participants in order for them to ensure a smooth transition to T+1. (Figure 7) Figure 5: T+1 is dominant in every region Question: What do you consider to be the most significant changes in the post-trade space today – based on impact to your business? Please rank accordingly with 1 being the most impactful. Expressed as: % of respondents by region and year selecting accelerated settlements (to T+1) as their top change. North America Europe Latin America APAC 29% 22% 24% 10% 25% 47% 24% 51% 57% 21% 28% 38% 2023 2024 2025