The date on which a financial instrument (such as a bond) or derivative contract (such as a swap) begins to accrue interest (and hence increase in value). For example, the effective date for a forward starting swap is the future date on which interest will start to accrue according to a defined schedule. Therefore the effective date is different, in this case, from the trade date of the swap. In the context of forward contracts, effective date refers to a future delivery date.

The effective date is also known as a value date.