Patent US5950176A successfully refreshed from Google Patents.
US5950176A
Expired / Lapsed
US
⏱️ 0.0 years remaining
Computer-implemented securities trading system with a virtual specialist function
Assignee: SBS BROADCASTING SA
•
Filing: 1996-03-25
•
Granted: 1999-09-07
•
Expires: 2016-03-25
Abstract
Abstract The present invention discloses a method, apparatus, and article of manufacture for a computer-implemented financial management system that permits the trading of securities via a network. A server computer receives buy and sell orders for derivative financial instruments from a plurality of client computers. The server computer matches the buy orders to the sell orders and then generates a market price through the use of a virtual specialist program executed by the server computer. The virtual specialist program responds to an imbalance in the matching of the buy and sell orders.
Inventors
- 👤 Timothy Maxwell Keiser
- 👤 Michael R. Burns
Bibliographic Details
Application Number
—
Jurisdiction
US
Data Source
google_patents
Last Synchronized
2026-11-05 17:05
CPC Classifications
G; G06; G06Q; G06Q40/00; G06Q40/04; G06Q40/06
Claims Analysis
Total Claims: 16
Claim 1
Independent Claim
125 words
A computerized method for regulating market price in a computerized trading system, the system receiving buy orders and sell orders for an instrument, the method comprising: measuring an imbalance between buy orders and sell orders for the instrument received over a given period; computing a projected price movement based on the measured imbalance between the number of buy and sell orders; setting a market price for the instrument based upon the received buy and sell orders and the measured imbalance; and automatically generating additional buy orders or sell orders for the instrument at the market price to guarantee execution of some or all of the received buy or sell orders if the projected price movement is greater than or equals a predetermined price movement threshold.
Claim 2
Dependent Claim
125 words
A computerized method for regulating market price in a computerized trading system, the system receiving buy orders and sell orders for an instrument, the method comprising: measuring an imbalance between buy orders and sell orders for the instrument received over a given period; computing a projected price movement based on the measured imbalance between the number of buy and sell orders; setting a market price for the instrument based upon the received buy and sell orders and the measured imbalance; and automatically generating additional buy orders or sell orders for the instrument at the market price to guarantee execution of some or all of the received buy or sell orders if the projected price movement is greater than or equals a predetermined price movement threshold.
Claim 3
Dependent Claim
29 words
The method of claim 1, wherein the step of measuring the imbalance comprises computing an absolute difference between the number of buy orders and the number of sell orders.
Claim 4
Dependent Claim
18 words
The method of claim 2, wherein the projected price movement is computed from the difference and stored variables.
Claim 5
Dependent Claim
19 words
The method of claim 3, wherein the stored variables include a sweep increment variable and a lot movement variable.
Claim 6
Dependent Claim
58 words
The method of claim 3, wherein the step of computing the projected price movement comprises computing the projected price movement using the following equation: PM=(NMS/LMV)*SIV, where PM represents the projected price movement, NMS represents the absolute difference between the number of buy and sell orders, LMV represents the lot movement variable, and SIV represents the sweep increment variable.
Claim 7
Dependent Claim
31 words
The method of claim 1, further comprising generating a number of additional orders in direct proportion to an amount by which the projected price movement exceeds the predetermined price movement threshold.
Claim 8
Dependent Claim
105 words
A computerized method for regulating market price in a computerized trading system that receives buy orders and sell orders for an instrument, the method comprising: measuring an imbalance between buy and sell orders received for the instrument over a plurality of periods; computing a projected price movement for each of the periods based on the measured imbalance between the number of buy and sell orders; computing a total price movement in the instrument for the plurality of periods based upon the projected price movement during the periods; and stopping trading activity in the instrument if the computed total price movement exceeds an excessive order threshold.
Claim 9
Dependent Claim
105 words
A computerized method for regulating market price in a computerized trading system that receives buy orders and sell orders for an instrument, the method comprising: measuring an imbalance between buy and sell orders received for the instrument over a plurality of periods; computing a projected price movement for each of the periods based on the measured imbalance between the number of buy and sell orders; computing a total price movement in the instrument for the plurality of periods based upon the projected price movement during the periods; and stopping trading activity in the instrument if the computed total price movement exceeds an excessive order threshold.
Claim 10
Dependent Claim
26 words
The method of claim 7, comprising computing the excessive order threshold from an opening market price for the instrument determined prior to the plurality of periods.
Claim 11
Dependent Claim
30 words
The method of claim 8, wherein the step of computing the excessive order threshold comprises computing the excessive order threshold as 50% of the opening market price for the instrument.
Claim 12
Dependent Claim
32 words
The method of claim 1, wherein the step of automatically generating additional buy and sell orders comprises automatically generating orders to guarantee execution of all of the received buy and sell orders.
Claim 13
Dependent Claim
122 words
A computer-readable storage medium for storing program code means for, when executed, causing a computer to perform a computerized method for regulating market price in a computerized trading system that receives buy orders and sell orders for an instrument, the method comprising: measuring an imbalance between buy and sell orders received for the instrument over a plurality of periods; computing a projected price movement for each of the periods based on the measured imbalance between the number of buy and sell orders; computing a total price movement in the instrument for the plurality of periods based upon the projected price movement during the periods; and stopping trading activity in the instrument if the computed total price movement exceeds an excessive order threshold.
Claim 14
Dependent Claim
122 words
A computer-readable storage medium for storing program code means for, when executed, causing a computer to perform a computerized method for regulating market price in a computerized trading system that receives buy orders and sell orders for an instrument, the method comprising: measuring an imbalance between buy and sell orders received for the instrument over a plurality of periods; computing a projected price movement for each of the periods based on the measured imbalance between the number of buy and sell orders; computing a total price movement in the instrument for the plurality of periods based upon the projected price movement during the periods; and stopping trading activity in the instrument if the computed total price movement exceeds an excessive order threshold.
Claim 15
Dependent Claim
122 words
A computer-readable storage medium for storing program code means for, when executed, causing a computer to perform a computerized method for regulating market price in a computerized trading system that receives buy orders and sell orders for an instrument, the method comprising: measuring an imbalance between buy and sell orders received for the instrument over a plurality of periods; computing a projected price movement for each of the periods based on the measured imbalance between the number of buy and sell orders; computing a total price movement in the instrument for the plurality of periods based upon the projected price movement during the periods; and stopping trading activity in the instrument if the computed total price movement exceeds an excessive order threshold.
Claim 16
Dependent Claim
122 words
A computer-readable storage medium for storing program code means for, when executed, causing a computer to perform a computerized method for regulating market price in a computerized trading system that receives buy orders and sell orders for an instrument, the method comprising: measuring an imbalance between buy and sell orders received for the instrument over a plurality of periods; computing a projected price movement for each of the periods based on the measured imbalance between the number of buy and sell orders; computing a total price movement in the instrument for the plurality of periods based upon the projected price movement during the periods; and stopping trading activity in the instrument if the computed total price movement exceeds an excessive order threshold.
References Cited (Backward Citations)
US3499646A
Cited
US3581072A
Cited
US3573747A
Cited
US4412287A
Cited
US4597046A
Cited
US4903201A
Cited
US4980826A
Cited
US5270922A
Cited
US4674044A
Cited
US5077665A
Cited
US5136501A
Cited
US5101353A
Cited
US5727165A
Cited
US5297032A
Cited
US5375055A
Cited
US5692233A
Cited
US5508913A
Cited
US5557517A
Cited
US5689652A
Cited
US5845266A
Cited
US5905974A
Cited
USPTO Annuity & Maintenance Windows
| Annuity Stage | Window Opens | Payment Deadline | Surcharge Period Until | Estimated Fee | Status |
|---|---|---|---|---|---|
| 3.5 Years (Year 4) | 2002-09-06 | 2003-03-08 | 2003-09-07 | $2000.00 | Window Closed / Lapsed |
| 7.5 Years (Year 8) | 2006-09-06 | 2007-03-08 | 2007-09-07 | $3760.00 | Window Closed / Lapsed |
| 11.5 Years (Year 12) | 2010-09-06 | 2011-03-08 | 2011-09-07 | $7700.00 | Window Closed / Lapsed |