The Municipal Securities Rulemaking Board (MSRB) is seeking approval from the Securities and Exchange Commission (SEC) to facilitate shortening the settlement cycle for transactions in municipal securities as a means of reducing risk and improving overall efficiency. The MSRB’s proposal is in response to a securities industry-led initiative to shift the current settlement cycle for all fixed-income and equity securities from T+3 (trade date plus three days) to T+2 (trade date plus two days). An industry-wide shift from T+3 to T+2 requires action by multiple regulators, and the MSRB is one of the first to propose rule changes in support of this shift.