2.7 Settlement of Securities, Stock Market Indices, Risk Management,Surveillance, and Mechanism at Stock Exchanges

Settlement: the trade's completion cycle — the T+2 rolling settlement (the current regime's cycle; the earlier T+3's history) through CDSC's depository (the demat accounts, the scrip-less transfer; the C-ASBA-and-the IPO's allotment faces) and the clearing bank's money leg. Indices: the NEPSE index (the float-and-sensitive faces; the base-era arithmetic) and the sectoralindices (the banking, hydropower, insurance, manufacturing families) — the market's thermometers. Risk management: the settlement guarantee's buffers — the capital adequacyof the intermediaries, the margin system, the settlement fund/deposit, the circuit breakers, the exposure limits; surveillance: the exchange's-and-SEBON's watch (the online surveillance's alerts — the abnormal price-volume patterns; the brokers' audits; the insider-and-manipulation detection's data analytics — Unit 5.3's link). The mechanism's synthesis (the exam's line): the exchange = the trading's rules + the settlement's guarantee + the misbehaviour's detection — the market's trust-as-plumbing.