EP0407026A2
Expired / Lapsed
EP
⏱️ 0.0 years remaining
Distributed system and method for matching of buyers and sellers
Assignee: Refinitiv Ltd
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Filing: 1990-05-25
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Granted: —
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Expires: 2010-05-25
Abstract
Abstract A matching system and method for trading instruments are provided in which bids are automatically matched against offers for given trading instruments for automatically providing matching transactions in order to complete trades for the given trading instruments in which controllable subsets (110, 112) of a distributable system trading book (118) may be selectively provided to trading keystations (24) in the matching system from the host computer (20) or central system for controllably masking the available trading market. The system comprises the host computer (20) for maintaining a host book data base (118) comprising all of the active bids and offers in the system by trading instrument, a transaction originating keystation (24a) at a client site (26a) for providing a bid on a given trading instrument to the system for providing a potential matching transaction, a counterparty keystation (24b) for providing an offer on the given trading instrument involved in the potential matching transaction, and a network (22) for interconnecting the host computer (20), the transaction originating keystation (24a) and the counterparty keystation (24b) in the system for enabling data communication therebetween. Both the transaction originating keystation (24a) and the counterparty keystation (24b), which of course can comprise more than one counterparty for a given transaction, for the potential matching transaction each have an associated local data base keystation book (110, 112) comprising a subset of the host book (118). The content of each of the keystation books (110, 112) has an associated display depth range which in controllable by the host computer (20) and is updatable by transaction update broadcast messages (132) received from the host computer (20) through the network (22). The network (22) is preferably transparent to the transactions communicated via the network (22). In the system of the present invention, the broadcast messages (132) from the host or central system (20) are broadcast to all of the keystations (24) in the matching system and are used to update the keystation (110, 112) books whereas the directed messages (122, 124, 128, 130) which are sent from the central system or host (20) are directed back only to the keystations (24a, 24b) involved in the actual matching transaction. These directed messages are used to update the local entry data base or order book (114, 116) at the local keystations (24a, 24b) involved in the transaction so as to indicate what has happened to the offer or bid at that particular keystation (24a, 24b) made in the connection with the matching transaction.
Inventors
- 👤 David L. Silverman
- 👤 Norman Keller
- 👤 Alfred H. Scholldorf
Bibliographic Details
Application Number
—
Jurisdiction
EP
Data Source
google_patents
Last Synchronized
2026-10-30 00:38
CPC Classifications
G; G06; G06Q; G06Q40/00; G06Q40/04
Claims Analysis
Total Claims: 12
Claim 1
Independent Claim
351 words
A matching system for trading instruments in which bids are automatically matched against offers for given trading instruments for automatically providing matching transactions in order to complete trades for said given trading instruments, said system comprising a host computer means for maintaining a host book database comprising all of the active bids and offers in the system by trading instrument; a transaction originating keystation means for providing a bid on a given trading instrument to said system for providing a potential matching transaction; a counterparty keystation means for providing an offer on said given trading instrument involved in said potential matching transaction; and network means for interconnecting said host computer means, said transaction originating keystation means and said counterparty keystation means in said system for enabling data communications there between, both said transaction originating keystation means and said counterparty keystation means for said potential matching transaction each having an associated local database keystation book comprising a subset of said host book, the content of each of said keystation books having an associated display depth range controllable by said host computer means and being updatable by transaction update broadcast messages received from said host computer means through said network means, said transaction originating keystation means and said counterparty keystation means comprising means responsive to said received transaction update broadcast messages for updating said associated keystation books and further comprising means for providing directed messages to said host computer means corresponding to said bid and said offer, respectively, said directed messages updating said host book, said host computer means comprising means for conditionally providing said transaction broadcast update messages to said keystation means in response to the presence of an update condition, said update condition comprising updating of said host book and said received bid or offer having a relative value compared with other bids or offers within said host book which is within said keystation book display depth range of relative values; whereby controllable subsets of a distributable system trading book may be selectively provided to trading keystations in said matching system from the host for controllably masking the available trading market.
Claim 2
Dependent Claim
351 words
A matching system for trading instruments in which bids are automatically matched against offers for given trading instruments for automatically providing matching transactions in order to complete trades for said given trading instruments, said system comprising a host computer means for maintaining a host book database comprising all of the active bids and offers in the system by trading instrument; a transaction originating keystation means for providing a bid on a given trading instrument to said system for providing a potential matching transaction; a counterparty keystation means for providing an offer on said given trading instrument involved in said potential matching transaction; and network means for interconnecting said host computer means, said transaction originating keystation means and said counterparty keystation means in said system for enabling data communications there between, both said transaction originating keystation means and said counterparty keystation means for said potential matching transaction each having an associated local database keystation book comprising a subset of said host book, the content of each of said keystation books having an associated display depth range controllable by said host computer means and being updatable by transaction update broadcast messages received from said host computer means through said network means, said transaction originating keystation means and said counterparty keystation means comprising means responsive to said received transaction update broadcast messages for updating said associated keystation books and further comprising means for providing directed messages to said host computer means corresponding to said bid and said offer, respectively, said directed messages updating said host book, said host computer means comprising means for conditionally providing said transaction broadcast update messages to said keystation means in response to the presence of an update condition, said update condition comprising updating of said host book and said received bid or offer having a relative value compared with other bids or offers within said host book which is within said keystation book display depth range of relative values; whereby controllable subsets of a distributable system trading book may be selectively provided to trading keystations in said matching system from the host for controllably masking the available trading market.
Claim 3
Dependent Claim
33 words
A matching system in accordance with claim 1 wherein said host computer means comprises means for processing said matching transactions for a given trading instrument in time order entry to said matching system.
Claim 4
Dependent Claim
24 words
A matching system in accordance with claim 1 or claim 2, wherein said keystation neans comprises display means for displaying said associated keystation book.
Claim 5
Dependent Claim
34 words
A matching system in accordance with claim 3 wherein said keystation book comprises displayable data having said keystation book display depth range, whereby bids and offer outside said display depth range are not displayed.
Claim 6
Dependent Claim
342 words
A distributed matching system method for trading instruments in a matching system in which bids are automatically matched against offers for given trading instruments for automatically providing matching transactions in order to complete trades for said given trading instruments, said system comprising a host computer means having a host book database comprising all of the active bids and offers in the system by trading instrument, a transaction originating keystation means for providing a potential matching transaction to said system, a counterparty keystation means for providing an offer on said given trading instrument involved in said potential matching transaction, and a network for interconnecting said keystation means and said host computer means for enabling communication of messages therebetween, each of said keystations having an associated displayable local database keystation book comprising a restricted subset of said host book controllably maintained by said host computer means and a local entry order data base controllably maintained by said keystation means, said method comprising the steps of: validating said bid provided on said given trading instrument; maintaining said local entry order database at said transaction originating keystation based on said validated bid; building a matching transaction message comprising said validated bid; transmitting said matching transaction message to said host computer means for said transaction originating keystation means; processing said transmitted transaction message at said host computer means against said host book database for processing said potential matching transaction against said host book database; generating a directed message to at least said transaction originating keystation for said potential matching transaction and a transaction update broadcast message to all of said keystations in said system based on said transmitted transaction message processing; processing said generated directed message at said transaction originating keystation for maintaining said local entry order database; and processing said transaction update broadcast message at each of said keystations for updating and maintaining said keystation book local databases, said keystation book local databases having an associated display depth controllably remotely determined by said host computer means for restricting the content of said host book database subset.
Claim 7
Dependent Claim
342 words
A distributed matching system method for trading instruments in a matching system in which bids are automatically matched against offers for given trading instruments for automatically providing matching transactions in order to complete trades for said given trading instruments, said system comprising a host computer means having a host book database comprising all of the active bids and offers in the system by trading instrument, a transaction originating keystation means for providing a potential matching transaction to said system, a counterparty keystation means for providing an offer on said given trading instrument involved in said potential matching transaction, and a network for interconnecting said keystation means and said host computer means for enabling communication of messages therebetween, each of said keystations having an associated displayable local database keystation book comprising a restricted subset of said host book controllably maintained by said host computer means and a local entry order data base controllably maintained by said keystation means, said method comprising the steps of: validating said bid provided on said given trading instrument; maintaining said local entry order database at said transaction originating keystation based on said validated bid; building a matching transaction message comprising said validated bid; transmitting said matching transaction message to said host computer means for said transaction originating keystation means; processing said transmitted transaction message at said host computer means against said host book database for processing said potential matching transaction against said host book database; generating a directed message to at least said transaction originating keystation for said potential matching transaction and a transaction update broadcast message to all of said keystations in said system based on said transmitted transaction message processing; processing said generated directed message at said transaction originating keystation for maintaining said local entry order database; and processing said transaction update broadcast message at each of said keystations for updating and maintaining said keystation book local databases, said keystation book local databases having an associated display depth controllably remotely determined by said host computer means for restricting the content of said host book database subset.
Claim 8
Dependent Claim
43 words
A distributed matching system method in accordance with claim 5 wherein said broadcast message generating step comprises the step of remotely varying said keystation book local database associated display depth for changing the displayable content of said keystation book at said associated keystations.
Claim 9
Dependent Claim
42 words
A distributed matching system method in accordance with claim 5 or 6 wherein said directed message generating step comprises the step of generating a directed message to each counterparty keystation involved in said potential matching transaction based on said transaction message processing.
Claim 10
Dependent Claim
34 words
A distributed matching system method in accordance with claim 7 further comprising the step of processing said directed message at each of said counterparty keystations for maintaining the local entry order database associated therewith.
Claim 11
Dependent Claim
38 words
A distributed matching system method as claimed in any one of claims 1 to 5 further comprising the step of transmitting message acknowledgements between said keystations and said host computer means, for acknowledging receipt of messages communicated therebetween.
Claim 12
Dependent Claim
39 words
A distributed matching system method in accordance with claim 1 to 9 wherein said transmitted transaction processing step comprises the step of processing said matching transactions for a given trading instrument in time order entry to said matching system.
References Cited (Backward Citations)
No citation records indexed.
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