Negotiated right exchange system and method

• US 20010037284A1
• Filed: 03/27/2001
• Published: 11/01/2001
• Est. Priority Date: 03/27/2000
• Status: Abandoned Application

• Current Assignee: Helix Financial Systems LP
• Original Assignee: Helix Financial Systems LP
• Inventors: Finkelstein, Ephraim Brian, Blackstein, Ken M., Nakdimen, Kenneth D.
• Application Number:
  US09/818,483
• Publication Number:
  US 20010037284A1
• Time in Patent Office: Days
• US Class Current: 705/37
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

A repurchase agreement trading system comprising a plurality of trading terminals, each having a user interface comprising a display and keyboard, and a central processor, for establishing communications between said trading terminals, wherein each of said trading terminals presents a hierarchal list of repurchase agreement opportunities, and wherein a user at a trading terminal can select one of said repurchase agreement opportunities and communicate directly with a potential repurchase agreement counterparty about the respective repurchase agreement opportunity.

Claims

1. A repurchase agreement trading system comprising:

(a) a plurality of trading terminals, each having a user interface comprising a display and keyboard; and

(b) a central processor, for establishing communications between said trading terminals;

wherein each of said trading terminals presents a hierarchal list of repurchase agreement opportunities, and wherein a user at a trading terminal can select one of said repurchase agreement opportunities and communicate directly with a potential repurchase agreement counterparty about the respective repurchase agreement opportunity.

2. The system according to

claim 1

, wherein a user remains anonymous until he communicates with a potential counterparty.

3. The system according to

claim 1

, wherein the hierarchal list is sorted according to a user defined criteria.

4. The system according to

claim 1

, wherein the hierarchal list is filtered according to a user defined criteria.

5. The system according to

claim 1

, wherein the central processor transmits information defining counterparty trading tickets upon successful conclusion of negotiatiosn between counterparties.

6. The system according to

claim 1

, wherein the plurality of trading terminals are segregated between dealers and investors.

7. A negotiated exchange for facilitating transactions between potential counterparties and enabling communication between the parties to negotiate the terms of the transaction, said system comprising:

a central computer;

a plurality of remote terminals corresponding to a plurality of users, said remote terminals enabling said users to enter transaction data into the system; and

a communications network for transmitting negotiating messages between pairs of said remote terminals in response to control signals from a respective one of the remote terminals;

wherein a party associated with a transaction is anonymous until communications are established through said communications network, for transmitting negotiating messages.

8. A negotiated exchange according to

claim 7

, wherein said transaction data include ranking data whereby each user ranks potential counterparties based on objective criteria, said ranking data indicative of the extent to which the user wishes to deal with each potential counter party.

9. A negotiated exchange according to

claim 7

, wherein said negotiating messages transmitted between said remote terminals comprise messages having a free-style format.

10. A negotiated exchange according to

claim 7

, wherein said negotiating messages transmitted between said remote terminals comprise messages having a predetermined format.

11. A negotiated exchange according to

claim 7

, wherein said transaction data include ranking data whereby each user ranks potential counterparties based on subjective criteria, said ranking data indicative of the extent to which the user wishes to deal with each potential counter party.

12. A negotiated exchange according to

claim 7

, wherein said negotiating messages transmitted between said remote terminals comprise free-style electronic dialogue which is displayed on each user'"'"'s remote terminal.

13. A negotiated exchange according to

claim 12

, wherein said electronic dialogue is unstructured, thereby permitting the parties to negotiate all terms of the transaction.

14. A repurchase agreement exchange method comprising providing a plurality of user terminals, each displaying a list of offers for repurchase agreements of securities, receiving from a user terminal a user entry portion for defining potential repurchase agreement terms, and communicating with a potential counterparty, based on an identification of a respective offer, through a negotiation communications interface.

15. The method according to

claim 14

, wherein a record is communicated between at least two user terminals comprising particulars of a proposed repurchase agreement, comprising an amount, a rate, a term, and an identification of collateral.

16. The method according to

claim 15

, wherein the particulars further comprise a margin.

17. The method according to

claim 15

, wherein the identification of collateral comprises an issuer and a maturity range.

18. The method according to

claim 17

, wherein the identification of the collateral further comprises a number of instruments representing the amount, and the record further identifies a disposition of collateral and a right of collateral substitution.

19. The method according to

claim 15

, wherein the record further comprises a free form text field.

20. The method according to

claim 15

, wherein a bid record is compared with an ask record to selectively indicate a difference therebetween.

21. The method according to

claim 15

, wherein a proposed modification of the particulars is extracted from the free form text field.