System and method for processing securities trading instructions and commnicating order status via a messaging interface

• US 20060026091A1
• Filed: 07/29/2005
• Published: 02/02/2006
• Est. Priority Date: 07/30/2004
• Status: Active Grant

• Current Assignee: Chicago Mercantile Exchange, Inc. (CME Group Incorporated)
• Original Assignee: Pivot Solutions Inc. (CME Group Incorporated)
• Inventors: Shen, Richard, Keen, Thomas R. Jr.
• Granted Patent: US 8,176,127 B2
• Time in Patent Office: Days
• US Class Current: 705/37
• CPC Class Codes: G06Q 30/0283 Price estimation or determination
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

A system allowing traders, etc. to use instant messaging (IM) (or other non-FIX based) communications to input trading instructions directly into a broker'"'"'s Order Management System (OMS) for managing/executing trades. Accordingly, trading instructions may be provided electronically directly from a buy-side trader, and directly to a sell-side broker'"'"'s/brokerage'"'"'s OMS, without the need for the sell-side broker to manually re-key the order into the sell-side firm'"'"'s OMS. Further, trading instructions are provided in electronic format directly to the broker'"'"'s OMS without the need for the buy-side trader to have an expensive FIX based OMS or associated FIX connection, which is also expensive, thereby allowing relatively smaller investment houses/buy-side organizations to enjoy the benefits of electronic delivery of trading instructions directly to brokers'"'"' OMS.

Claims

1. A method for communicating instructions to a computerized order management system (OMS) of a securities brokerage firm, the method comprising a computerized system:

receiving a communication via a communications network;

scanning the communication to identify at least one of a predefined plurality of keywords, each of said plurality of keywords corresponding to a respective instruction to be performed by the OMS;

parsing the communication to identify at least one parameter corresponding to the respective instruction;

preparing an OMS-compliant communication reflecting the respective instruction and the at least one parameter; and

transmitting the OMS-compliant communication to the OMS via a communications network.

2. The method of claim 1, wherein said communications network comprises an instant messaging communications network, and wherein said communication comprises an instant message (IM) communication.

3. The method of claim 1, wherein the OMS-compliant communication is prepared to comply with the FIX protocol.

4. The method of claim 3, wherein said preparing comprises:

mapping at least one of the instruction and the at least one parameter for the communication to a corresponding field according to the FIX protocol to present at least one of the instruction and the at least one parameter in the corresponding field.

5. The method of claim 1, wherein the respective instruction is parsed from a textual character string included in a textual body of the communication.

6. The method of claim 1, wherein the parameter is parsed from a textual character string included in a textual body of the communication.

7. The method of claim 1, wherein the parsing is performed according to a predefined cadence, the cadence identifying a prescribed sequence of variables.

8. The method of claim 7, wherein the parsing identifies values for each of the variables, each of the variables corresponding to a respective one of a plurality of fields according to a predefined protocol, the preparing comprising:

composing the OMS-compliant communication to include each of the values arranged in a respective field in accordance with the predefined protocol.

9. The method of claim 1, wherein the receiving of the communication is performed in an automated fashion by the computerized system in response to a human sender operating instant message (IM) client software to provide an instruction to send an IM communication to a virtual buddy appearing in a buddy list, said virtual buddy corresponding to an automated computer process and not to a human recipient having a corresponding IM buddy identity.

10. The method of claim 1, wherein preparing the OMS-compliant communication comprises preparing a new communication.

11. The method of claim 1, further comprising:

preparing a confirmatory communication reflecting the respective instruction and the at least one trade parameter; and

transmitting the confirmatory communication to a sender of the communication via the communications network.

12. The method of claim 11, further comprising:

receiving, via the communications network, an affirmative confirmatory communication from the sender of the communication;

wherein the preparing and the transmitting are performed only after receipt of the affirmative confirmatory communication.

13. The method of claim 1, wherein the respective instruction comprises an instruction to trade a security.

14. The method of claim 2, further comprising:

scanning the IM communication to identify at least one of a predefined second plurality of keywords, each of the second plurality if keywords corresponding to a respective instruction to provide information stored externally to an OMS;

parsing the IM communication to identify at least one parameter corresponding to the respective instruction to provide information stored externally to the OMS;

retrieving from a database external to the OMS information relating to the respective instruction to provide information stored externally to an OMS;

preparing a responsive IM communication providing the information retrieved from the database; and

transmitting the responsive IM communication via the instant messaging communications network to a sender of the IM communication.

15. The method of claim 14, wherein the respective instruction to provide information stored externally to an OMS comprises an instruction to provide research information relating to a security.

16. The method of claim 14, wherein the respective instruction to provide information stored externally to an OMS comprises an instruction to provide trade blotter information.

17. The method of claim 1, further comprising:

storing, in a memory of the computerized system, said plurality of predefined keywords.

18. The method of claim 1, further comprising:

transmitting the communication to the intended recipient if the scanning does not identify at least one of the predefined plurality of keywords in the communication.

19. The method of claim 1, wherein said parsing, preparing and transmitting being performed only if the scanning identifies at least one of the predefined plurality of keywords in the communication.

20. The method of claim 1, wherein at least one of the instruction and the parameter identifies a trading algorithm, the OMS being capable of performing trading according to the trading algorithm.

21. The method of claim 1, further comprising:

receiving, via the communications network, the OMS-compliant communication;

adding a record to a database of the OMS, the record comprising the instruction and the parameter; and

the OMS performing an action in accordance with the instruction and the parameter.

22. The method of claim 21, wherein said adding is performed responsive to receipt of the OMS-compliant communication, in an automated fashion, irrespective of any subsequent human interaction.

23. The method of claim 20, wherein performing the action comprises execution of a trade of securities.

25. A system for communicating instructions to a computerized order management system (OMS) of a securities brokerage firm, the system comprising:

a microprocessor;

a memory operatively connected to the microprocessor;

a network interface device operatively connected to the microprocessor for communicating via a communications network; and

instructions stored in the memory and executable by the microprocessor to carry out the method of claim 1.

26. A computer program product embodied on one or more computer-readable media, the computer program product adapted for communicating instructions to a computerized order management system (OMS) of a securities brokerage firm and comprising:

computer-readable program code configured to carry out the method of claim 1.

24. A method for communicating instructions between a computerized order management system (OMS) of a securities brokerage firm and an instant messaging client device, the method comprising a computerized system:

receiving, via a communications network, an OMS-compliant communication confirming performance of an action by the OMS;

parsing the OMS-compliant communication to identify details relating to the action;

preparing an instant message (IM) communication confirming the details; and

transmitting the IM communication via an instant messaging communications network.

27. A system for processing instructions provided in an instant message (IM) communication, the system comprising:

a microprocessor;

a memory operatively connected to the microprocessor;

a network interface device operatively connected to the microprocessor for communicating via a communications network; and

instructions stored in the memory and executable by the microprocessor to;

scan a communication received via a communications network to identify at least one of a predefined plurality of keywords, each of said plurality of keywords corresponding to a respective instruction to be performed by the OMS;

parse the communication to identify at least one parameter corresponding to the respective instruction;

prepare an OMS-compliant communication reflecting the respective instruction and the at least one parameter; and

transmit the OMS-compliant communication to the OMS via a communications network.

28. The system of claim 27, further comprising instructions stored in the memory and executable by the microprocessor to configure the system as an OMS.

29. The system of claim 28, further comprising instructions stored in the memory and executable by the microprocessor to:

add a record to a database of the OMS, the record comprising the instruction and the parameter; and

perform an action in accordance with the instruction and the parameter.

30. A graphical user interface for communicating instructions to a computerized order management system (OMS) of a securities brokerage firm, the graphical user interface comprising:

a single display window having a boundary defining a perimeter of said window, said window comprising a plurality of distinct display areas disposed internal to said boundary, said plurality of display areas comprising;

a first display area configured to display a first chat text corresponding to a first chat session via a first instant messaging (IM) network; and

a second display area configured to display a second chat text corresponding to a second chat session via a second IM network, said second IM network being different from said first IM network.

31. The graphical user interface of claim 30, further comprising a user selectable option to initiate broadcasting of a single instant message communication to a plurality of recipients.

32. The graphical user interface of claim 31, wherein said single instant message communication is transmitted to at least one of said plurality of recipients via said first IM network, and to at least an other of said plurality of recipients via said second IM network.

33. The graphical user interface of claim 30, further comprising a user selectable option selectable from a menu to provide a predetermined reply, said reply being selected from the group consisting of a textual response, an instruction to an OMS, and a command to an OMS.

34. A system for processing instructions provided in an instant message (IM) communication, the system comprising:

a microprocessor;

a memory operatively connected to the microprocessor;

a network interface device operatively connected to the microprocessor for communicating via a communications network; and

instructions stored in the memory and executable by the microprocessor to;

establish a virtual buddy in an instant messaging (IM) communications buddy list displayed via a graphical user interface of IM client software, the virtual buddy being selectable via the IM client software as a recipient for an instant message communication;

associate a plurality of individual recipients with the virtual buddy, each of said plurality of individual recipients having a respective IM buddy identity for receiving an instant message communication;

identify an instant message communication intended to be transmitted to the virtual buddy; and

transmit the instant message communication, via the IM communications network, from the IM client software to each of said plurality of individual recipients using each respective IM buddy identity.

35. The system of claim 34, further comprising instructions stored in the memory and executable by the microprocessor to:

identify an IM buddy having transmitted, via the IM communications network, an instruction to trade a particular security;

associate the IM buddy with a respective virtual buddy corresponding to the particular security.

36. A method for communicating instructions via an instant messaging communications network, the method comprising a computerized system:

receiving, via an instant messaging communications network, an instant message (IM) communication;

scanning the communication to identify at least one of a predefined plurality of keywords, each of said plurality of keywords corresponding to a respective instruction to provide information;

parsing the communication to identify at least one parameter corresponding to the respective instruction;

retrieving from a database information relating to the respective instruction to provide information;

preparing a responsive IM communication providing the information retrieved from the database; and

transmitting, to a sender of the IM communication, the responsive IM communication via the instant messaging communications network.

37. A system for communicating via an instant messaging communications network, the system comprising:

a microprocessor;

a memory operatively connected to the microprocessor;

a network interface device operatively connected to the microprocessor for communicating via the communications network; and

instructions stored in the memory and executable by the microprocessor to carry out the method of claim 36.

38. A computer program product embodied on one or more computer-readable media, the computer program product adapted for communicating via an instant messaging communications network and comprising:

computer-readable program code configured to carry out the method of claim 36.