System for managing data regarding derivatives trades

• US 20050096931A1
• Filed: 03/19/2004
• Published: 05/05/2005
• Est. Priority Date: 03/25/2003
• Status: Abandoned Application

• Current Assignee: The Clearing (Intercontinental Exchange, Inc.)
• Original Assignee: The Clearing (Intercontinental Exchange, Inc.)
• Inventors: Baker, Richard A., Laird, Brian, Klein, Lance, Billows, Brent, MacQuarrie, Marc, Compall, John, Schuering, Diane, Sweetnam, Matt, Karlovitz, Steven
• Application Number:
  US10/804,531
• Publication Number:
  US 20050096931A1
• 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
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis

Abstract

A system for managing data regarding derivatives trades is configured to support the operations of a derivatives clearinghouse. The system may be implemented with a web server and a database server. The web server receives requests from client computers for information regarding trades that have been previously accepted by the clearinghouse and, in coordination with the database server, provides the information to the client computers.

Claims

1. A computer system for supporting a derivatives clearinghouse, the clearinghouse having a plurality of participants, including a first participant and a second participant, the computer system comprising:

a web server that performs steps comprising;

receiving a request for a web page from a remote computer;

providing a graphical user interface to the remote computer in response to the request;

receiving, through the graphical user interface, a request for a list of previously accepted derivatives trades in which the first participant or a customer of the first participant was a party;

providing the list to the remote computer via the graphical user interface, wherein the list includes a previously executed trade that was carried out by the first and second participants or their respective customers and was accepted by the clearinghouse;

receiving, from the remote computer, an input indicating that the previously executed trade was improperly accepted; and

a database server communicatively linked with the web server, wherein the database server performs steps comprising;

maintaining a database of derivative trades that have been accepted by the clearinghouse;

retrieving, from the database, data representing the list of accepted trades for which the first participant is responsible;

providing the data to the web server for use in creating the list; and

creating an entry in the database that represents an offsetting transaction that has the effect of negating the acceptance of the previously executed trade.

2. The system of claim 1,

wherein the remote computer is a first remote computer, and the graphical user interface is a first graphical user interface,

wherein the web server performs further steps comprising:

presenting a second graphical user interface to a second remote computer; and

querying the second participant, via the second graphical user interface, regarding whether the clearinghouse'"'"'s acceptance of the previously executed trade should be negated;

wherein the database server performs the creating step only if the second participant indicates that the clearinghouse'"'"'s acceptance of the previously executed trade should be negated.

3. The system of claim 1, wherein the database server performs further steps comprising:

receiving a structured query language search command; and

searching the database in accordance with the structured query language search command,

wherein the retrieving step is performed as result of the searching step.

4. The system of claim 1,

wherein the web server receives user-entered data regarding the previously executed trade;

wherein the user-entered data is incorrect;

wherein, subsequent to web server receiving the user-entered data, the clearinghouse accepts the previously executed trade;

wherein the clearinghouse stores data concerning the previously execute trade in the database; and

wherein the data includes an indication that the previously executed trade has been accepted by the clearinghouse.

5. The system of claim 1, wherein the web server receives user-entered data regarding the previously executed trade, wherein the user-entered data is incorrect, and wherein

the clearinghouse performs steps comprising:

accepting the previously executed trade subsequent to web server receiving the user-entered data;

storing the user-entered data in the database;

indicating in the database that the previously executed trade has been accepted;

the web server performing further steps comprising;

presenting a graphical user interface to a remote computer of the second participant; and

querying the second participant, via the graphical user interface, regarding whether the acceptance of the previously executed trade between the first and second participants should be negated;

the database server performing further steps comprising;

receiving a structured query language search command; and

searching the database in accordance with the structured query language search command,

wherein the database server performs the step of retrieving data associated with the previously executed trade as result of the searching step, and

wherein the database server performs the creating step only if the second participant indicates that the acceptance of the trade should be negated.

6. The method of claim 1, wherein the web server displays, via the graphical user interface, an alert message relating to post-trading activity.

7. The method of claim 1, wherein the web server displays, via the graphical user interface, an alert message indicating that all post-trading activity needs to stop.

8. A computer system for managing data regarding a plurality of derivatives trades, wherein a derivative trade of the plurality was carried out between a first party and a second party, the computer system comprising:

a first server communicatively linked to a first remote computer and a second remote computer, wherein the first server performs steps comprising;

receiving a first data record from the first remote computer, the first data record reflecting data recorded by the first party regarding the derivatives trade;

receiving a second data record from the second remote computer, the second data record reflecting data recorded by the second party regarding the derivatives trade;

a second server that maintains a database, wherein the second server performs steps comprising;

storing the first and second data records in a database;

categorizing the first and second data records as unmatched;

in response to a query, retrieving, from the database, a plurality of unmatched data records in which the underlying trades involved the first party, including the first and second data records;

providing the plurality of unmatched data records, including the first and second data records, to the first server;

wherein the first server performs further steps comprising;

receiving the plurality of unmatched trade records, including the first and second data records, from the second server;

in response to a query from the first party, listing the contents of the plurality of unmatched trade records on a user interface;

displaying the user interface the first party on a display of a computer;

receiving an input from the first party via the computer on which the user interface is displayed, wherein the input indicates that the first data record and the second data record should match;

wherein the second server performs further steps comprising;

in response to the input received by the first server from the first party, editing the first data record so that it matches the second data record.

9. The computer system of claim 8, wherein the first server is a web server.

10. The computer system of claim 8, wherein the second server is a database server.

11. The computer system of claim 8, wherein the first and second remote computers communicate with the first server via the internet.

12. The computer system of claim 8, wherein the second server performs further steps comprising:

for those records categorized as unmatched, periodically attempting to match the records into pairs, such that each pair comprises a buyer'"'"'s record of a particular derivatives trade and a seller'"'"'s record of the opposing side of the trade; and

subsequent to the editing step, successfully matching the first data record and the second data record during one of the periodic attempts.

13. The computer system of claim 12, wherein, after the second server performs the matching step, the clearinghouse accepts the trade represented by the first data record and the second data record.

14. A computer system for supporting a derivatives clearinghouse having a plurality of participants, the computer system comprising:

a web server that performs steps comprising;

receiving a request for a web page from a remote computer;

providing a first graphical user interface to the remote computer in response to the request;

receiving, through the first graphical user interface, a selection of which fields a user at the remote computer would like to have on a derivatives trade entry screen;

receiving, through the first graphical user interface, a selection of one or more default values to be automatically entered on the derivatives trade entry screen;

providing a second graphical user interface to the remote computer, the second graphical user interface including the derivatives trade entry screen with the selected fields shown and the selected default values already entered into entry fields and;

receiving, through the second graphical user interface, an input of data representing a derivatives trade; and

a database server that performs steps comprising;

maintaining a database of profiles for users of the computer system, including that of the user at the remote computer;

receiving, from the first computer, the selection of default values and the selection of fields; and

updating the profile of the user in the database based on the received selection of default values and received selection of fields.

15. The computer system of claim 14, wherein the web server performs further steps comprising:

receiving, from the remote computer, the identity of a plurality of subaccounts;

receiving, from the remote computer, an indication of how the derivatives trade is to be allocated among the plurality of subaccounts; and

displaying, on the graphical user interface, a list of the plurality of subaccounts and the allocation of the derivatives trade among the plurality of subaccounts.

16. The computer system of claim 14, further comprising:

a mainframe computer for receiving data regarding derivatives trades;

a first application server for processing data regarding derivatives trades received by the mainframe computer;

a second application server for processing data regarding derivatives trades received by the web server; and

a router for routing network traffic between the mainframe computer and the first application server, and for routing network traffic between the web server and the second application server.

17. The computer system of claim 14, further comprising:

an application server that performs steps comprising;

receiving the input data from the web server;

analyzing the input data to determine what action to take regarding the data; and

making calls to the database server to store the input data in the database.

18. The computer system of claim 14, further comprising:

an application server that performs steps comprising;

receiving the input data from the web server;

analyzing the input data to determine what action to take regarding the data; and

making calls to the database server to store the input data in the database;

a firewall that performs steps comprising;

screening network traffic coming into the computer system through the internet, including network traffic from the remote computer.

19. The computer system of claim 14, further comprising:

an application server that performs steps comprising;

receiving the input data from the web server;

analyzing the input data to determine what action to take regarding the data; and

making calls to the database server to store the input data in the database;

a firewall that performs steps comprising;

screening network traffic coming into the computer system through the internet, including network traffic from the remote computer;

an authentication server that performs steps comprising;

in cooperation with the web server, verifying the identity of a user at the remote computer in response to a login attempt by the user.

20. A computer system for supporting a derivatives clearinghouse, the computer system comprising:

a first computer that maintains a database, the database comprising;

a first table having a row that defines a general category of operation that can be performed;

a second table having a row that defines a unit of work within the general category, wherein the row of the first table has an entry that identifies the row of the second table;

a third table having a row that defines a logical operation to be performed to carry out the unit of work, wherein the row of the second table has an entry that identifies the row of the third table;

a fourth table having a row having a reference to computer code for carrying out the logical operation, wherein the row of the third table has an entry that identifies the row of the fourth table;

a second computer communicatively linked to the first computer, wherein the second computer performs steps comprising;

receiving data representing a derivatives trades that has been previously carried out in a derivatives exchange or in an over the counter marketplace;

requesting the first computer to traverse the respective rows of the respective first, second, third and fourth tables in order to find the computer code; and

executing the computer code to process the data.

21. The system of claim 20,

wherein the step of executing the computer code comprises identifying an object oriented programming module and calling methods that are specified by the module.

22. The system of claim 20,

wherein the step of executing the computer code comprises identifying a Java Bean and calling Java methods that are specified by the Bean.

23. The system of claim 20, wherein the first, second and third tables are related in such a way that they form a decision tree.