Rakuten Sec - order processed 5 days later

[seb]

Hello

I am getting started with Rakuten Securities and got my security codes on Wednesday this week. I applied for a standard account + NISA.

I am testing the tools. I tested transferring a small amount and tried buying 24000¥ of eMAXIS Slim オール・カントリー for my NISA. But instead of buying immediately (on Nov 27th), I get the following dates:
約定日 (planned date) 2019/12/02
受渡日 (delivery date) 2019/12/06

Is this delay to be expected? Is it due to being a new account? From reading on ETF, it seemed like transactions were supposed to be almost instant.

My NISA account is described as "we are still checking with tax office in case you already have another NISA somewhere. If application fails, current investments will be moved to normal account". So kind of a probation where I can already invest on it while they finish checking.

[toosharp]

Hi,

Newbie here so not totally sure (I have rakuten-sec as well but this should be irrelevant of brokers)
約定日: the date the price is decided.
受渡日: the date that you are charged money and giving you the stock (if you are buying), or given money and taken away the stock from ya (if you are selling).
Note: There is a set delay between the two for each broker. No idea why.

What you are buying are mutual funds (no ETF for NISA in rakuten, no idea about other brokers),
and the price is calculated (the 約定日) usually:
1) if funds consist of japanese assets (stock/bonds), at the end of the day
2) if funds consist of oversea assets, at the next end of the day
3) if funds consist of mixed country assets, not sure but I think it's the same as 2)
Note: After 1500 it counts as next business day
Take a look here: https://www.rakuten-sec.co.jp/web/fund/ ... iming.html (in Japanese).

In your case, I'd assume you ordered after 1500 on 11/27 (counting as 11/28), and since it consists of oversea assets,
so the price will be calculated (the 約定日) on the next next business day, which is next Monday (12/02).

And I don't think it has anything to do with a new account

[seb]

Thank you for your explanation. And apparently I am still missing on some basic information on what I am buying... Still a lot to read this winter.

[beanhead]

It was a very good question. I was also confused by the timing and this slightly slow order processing.

[blos]

Yes, different countries, different regulations and laws. Even in the US, it can easily take 5 days from starting to sell the stock -> sold -> settlement -> funds transfer. Last time it took 6 business days when I played with my company stock on US brokerage.

https://www.investopedia.com/terms/s/settlementdate.asp

[seb]

I don't remember if there was something about the first purchase. But these days my orders for the same fund settle in 2 business days.

[Kanto]

I don't remember if there was something about the first purchase. But these days my orders for the same fund settle in 2 business days.

A mutual fund with (a) domestic (b) American and (c) international holdings takes the longest to settle. Emaxis slim All country will take longer than Emaxis Slim TOPIX for example.