Method and system for automated trading of financial instruments

• US 20020004776A1
• Filed: 06/19/2001
• Published: 01/10/2002
• Est. Priority Date: 07/07/2000
• Status: Active Grant

• Current Assignee: Advanced Transactions, LLC (IP Investments Group LLC)
• Original Assignee: Garry D. Gladstone
• Inventors: Gladstone, Garry D.
• Granted Patent: US 7,389,263 B2
• Time in Patent Office: Days
• US Class Current: 705/37
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• 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

In accordance with the present invention, there is provided a method of communicating trade orders in a marketplace for financial instruments through an on-line trading account with a financial institution. The method includes receiving trade trigger criteria and market data for use by market analysis software. The method further includes accessing the market analysis software to generate a trade decision using the trade trigger criteria and the market data. The method further includes automatically communicating a trade order, based upon the trade decision, to the marketplace via the on-line trading account.

Claims

1. An automated method of communicating trade orders to a marketplace for financial instruments through an online trading account with a financial institution, the method comprising the steps of:

(a) receiving, through the use of a computer, trade trigger criteria for use by market analysis software, the market analysis software being configured to electrically receive market data;

(b) accessing, through the use of a computer, the market analysis software to generate a trade decision using the trade trigger criteria and the market data; and

(c) automatically communicating, through the use of a computer, a trade order based upon the trade decision to the marketplace via the on-line trading account.

2. The method of claim 1 wherein the market analysis software is hosted by an entity different than the financial institution.

3. The method of claim 1 wherein the on-line trading account is hosted at a web address accessible through a computer network.

4. The method of claim 1 wherein the market analysis software is hosted at a web address accessible through a computer network.

5. The method of claim 4 wherein step (b) includes communicating the trade trigger criteria to the market analysis software via a computer network.

6. The method of claim 1 wherein the market analysis software is hosted at a personal computer.

7. The method of claim 1 wherein the trade trigger criteria is based upon a status of the on-line trading account.

8. A method of automated trading of financial instruments in a marketplace comprising the steps of:

(a) establishing a trading account with a financial institution, wherein the financial institution agrees to facilitate the purchase financial instruments on behalf an investor;

(b) communicating trade trigger criteria for use by market analysis software, the market analysis software being configured to electrically receive market data;

(c) accessing, through the use of a computer, the market analysis software to generate a trade decision using the trade trigger criteria and the market data; and

(d) automatically communicating, through the use of a computer, a trade order based upon the trade decision to the marketplace through the on-line trading account.

9. The method of claim 8 wherein the trade trigger criteria is based upon a status of the on-line trading account.

10. An automated system for communicating trade orders to a marketplace for financial instruments through an on-line trading account with a financial institution, the system comprising:

a user interface configured to receive trade trigger criteria from a user;

market analysis software in electrical communication with the user interface for receiving the trade trigger criteria therefrom, the market analysis software being configured to receive market data, the market analysis software being further configured to generate a trade decision in response to the trade trigger criteria and the market data; and

a trading account interface in electrical communication with the market analysis software for receiving the trade decision therefrom, the trading account interface being configured to automatically communicate a trade order based upon the trade decision to the marketplace via the on-line trading account.

11. The system of claim 10 wherein the user interface is hosted at a web address accessible through a computer network.

12. The system of claim 10 wherein the market analysis software is hosted by an entity different than the financial institution.

13. The system of claim 10 wherein the market analysis software is hosted at a web address accessible through a computer network.

14. The system of claim 13 wherein the market analysis software is configured to receive the trade trigger criteria from the user interface through a computer network.

15. The system of claim 10 wherein the market analysis software is hosted at a personal computer.

16. The system of claim 10 wherein the trading account interface is configured to communicate with the market analysis software through a computer network.

17. The system of claim 10 wherein the market analysis software includes multiple market analysis software, each having a different analysis algorithm associated therewith.

18. The method of claim 10 wherein the trade trigger criteria is based upon a status of the on-line trading account.

19. An automated system for communicating trade orders to a marketplace for financial instruments through an on-line trading account with a financial institution, the system comprising:

an user interface configured to receive trade trigger criteria from a user;

a market analysis software interface in electrical communication with the user interface for receiving the trade trigger criteria therefrom, the market analysis software interface being configured to communicate the trade trigger criteria to market analysis software, the market analysis software being configured to receive market data, the market analysis software being further configured to generate a trade decision in response to the trade trigger criteria and the market data, the market analysis software interface being configured to receive a trade decision from the market analysis software; and

a trading account interface in electrical communication with the market analysis software interface for receiving a trade decision therefrom, the trading account interface being configured to automatically communicate a trade order based upon the trade decision to the marketplace via the on-line trading account.

20. The system of claim 19 wherein the user interface is hosted at a web address accessible through a computer network.

21. The system of claim 19 wherein the market analysis software is hosted by an entity different than the financial institution.

22. The system of claim 19 wherein the market analysis software interface and the market analysis software are hosted by different entities.

23. The method of claim 19 wherein the market analysis software is hosted at a web address accessible through a computer network.

24. The method of claim 19 wherein the market analysis software interface is configured to communicate with multiple market analysis software, each having a different analysis algorithm associated therewith.

25. The system of claim 19 wherein the market analysis software interface is configured to receive the trade trigger criteria from the user interface through a computer network.

26. The system of claim 19 wherein the trading account interface is configured to receive the trade decision from the market analysis software interface through a computer network.

27. The method of claim 19 wherein the trade trigger criteria is based upon a status of the on-line trading account.