METHOD AND APPARATUS FOR OFFERING, PRICING, AND SELLING SECURITIES OVER A NETWORK

• US 20090037347A1
• Filed: 10/08/2008
• Published: 02/05/2009
• Est. Priority Date: 06/28/2000
• Status: Abandoned Application

• Current Assignee: Grigsby & Associates, Inc.
• Original Assignee: Grigsby & Associates, Inc.
• Inventors: GRIGSBY, Calvin B.
• Application Number:
  US12/247,957
• Publication Number:
  US 20090037347A1
• Time in Patent Office: Days
• US Class Current: 705/36.T
• CPC Class Codes: G06Q 30/0283 Price estimation or determination
• 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
• CPC Class Codes: G06Q 40/10 Tax strategies

Abstract

The present invention relates to a system and method of offering, automatically pricing, preparing for sale, selling, and managing securities, such as municipal bonds, over a network, such as the Internet. The present invention also relates to a system and method for an on-line, one-stop and one-source platform for municipal borrowing, production of associated bond legal documents and offering materials, and satisfaction of continuing disclosure requirements.

Claims

1. A method for managing a securities transaction in a system having one or more servers, one or more clients, and one or more databases, comprising:

receiving over a network an application for money from an entity and an application to issue for sale a set of one or more bonds, wherein the application for money indicates and is associated with initiation of a securities issuance;

determining to which of a plurality of categories the securities transaction belongs;

determining a price for the set of bonds using a pricing engine, wherein the pricing engine determines the price based on at least one member selected from the group consisting of a bond volume factor, an income tax factor, a relationship factor, a perception of value factor, and a stock market factor, wherein the bond volume factor comprises volume data associated with bonds in the determined category traded in a secondary market;

receiving over the network interest in the securities transaction in response to the application for money, wherein the securities transaction relates to the issued securities; and

presenting at least one standard document associated with the determined category.

2. The method of claim 1, further comprising:

before presenting the at least one standard document, modifying the at least one standard document based on the application for money.

3. The method of claim 1, wherein the entity is one or more members selected from the group consisting of an issuer, an issuer financial staff, and a financial advisor.

4. The method of claim 1, wherein the securities transaction is a municipal bond sale and the securities issuance is a municipal bond issuance.

5. The method of claim 1, wherein the network is the Internet.

6. The method of claim 1, wherein the one or more standard documents includes one or more members selected from the group consisting of an official statement, a bond indenture, a county resolution, a municipal board resolution, an actual form of bond, a legal opinion, and a certificate of the clerk.

7. The method of claim 1, further comprising communicating the at least one standard documents to the client.

8. The method of claim 1, further comprising communicating for display to the client a representation of one or more of the one or more standard documents on a web page associated with the system.

9. The method of claim 1, further comprising communicating for display to the client a link to a representation of one or more of the one or more standard documents on a web page associated with the system.

10. The method of claim 1, further comprising obtaining, receiving, or communicating a tax-free guarantee associated with the securities transaction.

11. The method of claim 1, further comprising receiving a request to sample one or more pricing dates associated with the securities transaction.

12. The method of claim 1, further comprising creating or presenting an on-line secondary market for sale of the securities.

13. A method for conducting a bond sale transaction, comprising:

receiving an application to issue for sale a set of one or more bonds;

receiving a date to issue for sale the set of bonds;

dynamically determining a price for the set of bonds based on the received date; and

issuing for sale the set of bonds, including preparing for the bond sale without communicating with a counsel.

14. The method of claim 13, wherein the counsel is a bond counsel.

15. The method of claim 13, wherein the bonds are municipal bonds.

16. The method of claim 13, wherein the step of preparing for the bond sale includes preparing a tax opinion.

17. A method for conducting a bond sale transaction, comprising:

receiving an application to issue for sale a set of one or more bonds;

determining a category of the bonds;

determining a price for the set of bonds using a pricing engine, wherein the pricing engine determines the price based on at least one member selected from the group consisting of a bond volume factor, an income tax factor, a relationship factor, a perception of value factor, and a stock market factor, the bond volume factor comprising volume data associated with bonds in the determined category traded in a secondary market; and

issuing for sale the set of bonds, wherein the issuing includes preparing for the bond sale and selling the set of bonds without communicating with one or more of the members selected from the group consisting of a financial advisor, a bond counsel, a disclosure counsel, a tax counsel, an underwriters counsel, an internal counsel, a finance staff, and a bank trustee.

18. A method for managing a bond sale in a system having a network, one or more servers, one or more clients, and one or more databases, comprising:

receiving over a network an indication of interest in a bond sale and an application to issue for sale a set of one or more bonds;

determining a category of the bonds; and

processing the indication of interest by a pricing engine to determine a price for a bond associated with the bond sale, wherein the pricing engine determines the price based on at least one member selected from the group consisting of a bond volume factor, an income tax factor, a relationship factor, a perception of value factor, and a stock market factor, and wherein the bond volume factor comprises volume data associated with bonds in the determined category traded in a secondary market.

19. The method of claim 18, wherein the pricing engine is automated or computerized.

20. The method of claim 18, wherein the bond is a municipal bond.

21. A method for managing a sale of securities in a system having one or more servers, one or more clients, and one or more databases, comprising:

accepting one or more orders for one or more of the securities from one or more individual investors before accepting one or more orders for one or more of the securities from one or more institutional investors.

22. The method of claim 21, wherein the accepting of the one or more orders for the one or more securities from the one or more individual investors occurs at least one day before the accepting of the one or more orders for the one or more securities from the one or more institutional investors.

23. The method of claim 21, wherein the securities are bonds.

24. The method of claim 21, wherein the accepting of the one or more orders for the one or more securities from the one or more individual investors occurs at least two hours before the accepting of the one or more orders for the one or more securities from the one or more institutional investors.

25. A computer program product for use in managing a securities transaction in a system including one or more servers, one or more clients, and one or more databases, said computer program product comprising a computer readable medium including:

computer readable program code embodied in said medium configured to cause a computer to receive over a network an application for money from an entity, an application to issue for sale a set of one or more bonds, and an indication of interest in a bond sale;

computer readable program code for causing the computer to effect reviewing the application for money;

computer readable program code for causing the computer to receive over the network a date for issue of the set of bonds and to dynamically determine a price of the set of bonds based on the date; and

computer readable program code for causing said computer to determine to which of a plurality of categories the securities issuance belongs and, based on the determination, to present at least one standard document associated with that category.

26. A computer program product for use in conducting a bond sale transaction, said computer program product comprising:

a computer readable medium including computer readable program code embodied in said medium for causing receiving over a network an application to issue for sale a set of one or more bonds and an indication of interest in a bond sale;

computer readable program code for causing a computer to effect issuing for sale the set of bonds, wherein the method includes preparing for the bond sale without communicating with a counsel;

computer readable program code for causing the computer to determine to which of a plurality of categories the bonds belong to; and

computer readable program code for causing the computer to determine a price of the set of bonds, wherein the price is based on at least one of a bond volume factor, an income tax factor, a relationship factor, a perception of value factor, and a stock market factor, and wherein the bond volume factor comprises volume data associated with bonds in the determined category traded in a secondary market.

27. An article of manufacture comprising:

a computer readable medium including computer readable program code embodied therein for causing conducting a bond sale transaction, the computer readable program code in said article of manufacture comprising;

computer readable program code for causing a computer to effect receiving over a network an application for money from an entity, an application to issue for sale a set of one or more bonds, and an indication of interest in a bond sale;

computer readable program code for causing the computer to effect issuing for sale the set of bonds, wherein the method includes preparing for the bond sale without communicating with a counsel;

computer readable program code for causing the computer to effect receiving over the network a date of issue of the set of bonds; and

computer readable program code for causing the computer to effect determining dynamically a price of the set of bonds based on the date.

28. A computer program product for use in conducting a bond sale transaction, said computer program product comprising:

a computer readable medium including computer readable program code embodied in said medium for causing receiving over a network an application for money from an entity, an application to issue for sale a set of one or more bonds, and an indication of interest in a bond sale;

computer readable program code for causing a computer to determine to which of a plurality of categories the bonds belong to;

computer readable program code for causing the computer to effect determining a price for the set of bonds, wherein the price is based on at least one of a bond volume factor, an income tax factor, a relationship factor, a perception of value factor, and a stock market factor, and wherein the bond volume factor comprises volume data associated with bonds in the determined category traded in a secondary market; and

computer readable program code for causing the computer to effect issuing for sale the set of bonds, wherein the method includes preparing for the bond sale without communicating with one or more of the members selected from the group consisting of a financial advisor, a bond counsel, a disclosure counsel, a tax counsel, an underwriters counsel, an internal counsel, a finance staff, and a bank trustee.

29. An article of manufacture comprising:

a computer readable medium including computer readable program code embodied therein for managing a securities transaction in a system including one or more servers, one or more clients, and one or more databases, the computer readable program code in said article of manufacture comprising;

computer readable program code for causing a computer to effect receiving over a network an application for money from an entity and an application to issue for sale a set of one or more bonds;

computer readable program code for causing the computer to determine to which of a plurality of categories the bonds belong to;

computer readable program code for causing the computer to effect determining a price for the set of bonds, wherein the price is based on at least one of a bond volume factor, an income tax factor, a relationship factor, a perception of value factor, and a stock market factor, and wherein the bond volume factor comprises volume data associated with bonds in the determined category traded in a secondary market; and

computer readable program code for causing the computer to effect issuing for sale the set of bonds, wherein the method includes preparing for the bond sale without communicating with a counsel.

30. A computer program product for use in managing a sale of securities in a system having one or more servers, one or more clients, and one or more databases, said computer program product comprising:

a computer readable medium including computer readable program code embodied in said medium for causing accepting one or more orders for one or more of the securities from one or more individual investors before accepting one or more orders for one or more of the securities from one or more institutional investors.

31. An article of manufacture comprising:

a computer readable medium including computer readable program code embodied therein for causing managing a sale of securities in a system having one or more servers, one or more clients, and one or more databases, the computer readable program code in said article of manufacture comprising;

computer readable program code for causing a computer to effect accepting one or more orders for one or more of the securities from one or more individual investors before accepting one or more orders for one or more of the securities from one or more institutional investors.