Systems and methods for protecting against erroneous price entries in the electronic trading of financial and other instruments

• US 10,592,984 B2
• Filed: 07/09/2012
• Issued: 03/17/2020
• Est. Priority Date: 03/24/2005
• Status: Active Grant

• Current Assignee: BGC Partners Incorporated (BGC Group, Inc.)
• Original Assignee: BGC Partners Incorporated (BGC Group, Inc.)
• Inventors: Lutnick, Howard W., Foley, Kevin M., Noviello, Joseph, Steger, Lon, Claus, Matthew, Sweeting, Michael
• Primary Examiner(s): Shrestha, Bijendra K
• Application Number:
  US13/543,926
• Publication Number:
  US 20120278223A1
• Time in Patent Office: 2,808 Days
• Field of Search: 705 37, 705 36 R, 705335
• CPC Class Codes: G06Q 30/08 Auctions
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis

Abstract

The invention relates to systems and methods that provide a user interface for use with an electronic trading system. The interface notifies the user that the price at which he or she may have attempted to trade has changed and presents the user with the opportunity to submit, modify or cancel the trade command. The user may configure the trading system to enable such a notification based on the time span for the price change, the number of increments of the price change, a combination thereof or any other appropriate consideration for protecting against the occurrence of erroneous price entries. Subsequent trade commands, such as those entered by third parties, may be used to validate prices and execute trades at these prices.

Claims

1. A method, comprising:

rendering, by at least one processor, on a display device a plurality of real-time bid and ask prices that are based on real-time electronic transactions executed among a plurality of networked devices;

receiving, by the at least one processor, a trade command to bid or offer at least one price specified from the plurality of bid and ask prices being rendered on the display device;

determining, by the at least one processor, whether the at least one price has changed due to a velocity of the real-time electronic transactions executed among the plurality of networked devices;

determining, by the at least one processor, whether the change in price has occurred within a predetermined period of time from receipt of the trade command due to the velocity of the real-time electronic transactions;

automatically in response to a determination that a market is moving at a type of pace which is indicated by real-time electronic market data, rendering, by the at least one processor, on the display device, a popup window displaying a second price resulting from the change in price to the at least one price with an indication that the market is moving at the type of pace; and

in response to determining that an amount of the change in price from the at least one price within the predetermined period of time from receipt of the trade command satisfies a specified condition selected at a graphical user interface of the display device, automatically presenting, by the at least one processor, a prompt on the display device, requesting a choice between submission of at least a portion of the trade command at the second price and cancellation of the trade command.

2. The method of claim 1 further comprising rendering, by the at least one processor, a prompt requesting modification of the trade command if the at least one price has changed within the predetermined period of time from receipt of the trade command.

3. The method of claim 1 wherein rendering the prompt requesting the choice between submission and cancellation of the trade command comprises rendering, by the at least one processor, a window on the display device requesting confirmation of the trade command.

4. The method of claim 1 further comprising playing, by the at least one processor, a sound indicating that the at least one price has changed.

5. The method of claim 1 further comprising rendering, by the at least one processor, a prompt requesting submission of at least a portion of the trade command at the second price for select bid and ask prices.

6. The method of claim 1 wherein the predetermined period of time is configurable.

8. The method of claim 1 wherein the at least one processor comprises at least one of a server or a workstation.

7. A system comprising:

a display device;

at least one processor and a memory electronically coupled to the at least one processor, the memory having software stored thereon that when executed by the at least one processor directs the at least one processor to;

display on the display device a plurality of real-time bid and ask prices that are based on real-time electronic transactions executed among a plurality of networked devices;

receive a trade command to bid or offer at least one price specified from the plurality of bid and ask prices being displayed on the display device;

determine whether the at least one price has changed due to a velocity of the real-time electronic transactions executed among the plurality of networked devices;

determine whether the change in price has occurred within a predetermined period of time from receipt of the trade command due to the velocity of the real-time electronic transactions;

automatically in response to a determination that a market is moving at a type of pace which is indicated by real-time electronic market data, rendering, on the display device, a popup window displaying a second price resulting from the change in price to the at least one price with an indication that the market is moving at the type of pace; and

in response to determining that an amount of the change in price from the at least one price within the predetermined period of time from receipt of the trade command satisfies a specified condition selected at a graphical user interface of the display device, automatically display a prompt requesting a choice between submission of at least a portion of the trade command at the second price and cancellation of the trade command.

9. The system of claim 7 wherein the software, when executed by the at least one processor, further directs the at least one processor to:

render a prompt on the display device requesting modification of the trade command if the change in price has occurred within the predetermined period of time from receipt of the trade command.

10. The system of claim 7 wherein rendering the prompt requesting the choice between submission and cancellation of the trade command comprises rendering a window requesting confirmation of the trade command.

11. The system of claim 7 wherein the predetermined period of time is configurable.