Method and apparatus for auctioning securities

• US 20020035534A1
• Filed: 04/30/2001
• Published: 03/21/2002
• Est. Priority Date: 05/04/2000
• Status: Abandoned Application

• Current Assignee: UBS Ag
• Original Assignee: UBS Ag
• Inventors: Loehr, Mark F., Buist, Walter D.
• Application Number:
  US09/845,224
• Publication Number:
  US 20020035534A1
• Time in Patent Office: Days
• US Class Current: 705/37
• 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 present invention is a system and method for conducting an on-line auction of securities. A preferred method of auctioning a security comprises the steps of: transmitting to a plurality of potential bidders information identifying the security, a price range having a maximum price and a minimum price, and a time for the auction; receiving from each bidder an offer price for a number of units of the security; transmitting to bidders information concerning the bids that are received; closing the auction either when offers are received for all units of the security at the maximum price or when a predetermined time has elapsed; and upon closing the auction, allocating units of the security so that all bids at a price in excess of the closing price are filled and all bids at the closing price or less are filled on a first-come, first-served basis.

Claims

1. A method of conducting an on-line auction of a security comprising the steps of:

transmitting to a plurality of potential bidders information identifying the security, a price range having a maximum price and a minimum price, and a time for the auction;

receiving from each bidder an offer price for a number of units of the security, transmitting to bidders information concerning the bids that are received, said information indicating the number of units that are bid for at each offer price, closing the auction either when offers are received for all units of the security at the maximum price or when a predetermined time has elapsed, and upon closing the auction, allocating units of the security so that all bids at a price in excess of a closing price are filled and all bids at the closing price or less are filled on a first-come, first-served basis.

2. A computer system for conducting an on-line auction of a security comprising:

means for transmitting to a plurality of potential bidders information identifying the security, a price range having a maximum price and a minimum price, and a time for the auction;

means for receiving from each bidder an offer price for a number of units of the security, means for transmitting to bidders information concerning the bids that are received, means for closing the auction either when offers are received for all units of the security at the maximum price or when a predetermined time has elapsed, and means for allocating units of the security upon closing the auction, so that all bids at a price in excess of a closing price are filled and all bids at the closing price or less are filled on a first-come, first-served basis.

3. Computer software on a readable medium for conducting an on-line auction of a security by:

transmitting to a plurality of potential bidders information identifying the security, a price range having a maximum price and a minimum price, and a time for the auction;

receiving from each bidder an offer price for a number of units of the security, transmitting to bidders information concerning the bids that are received, closing the auction either when offers are received for all units of the security at the maximum price or when a predetermined time has elapsed, and upon closing the auction, allocating units of the security so that all bids at a price in excess of a closing price are filled and all bids at the closing price or less are filled on a first-come, first-served basis.