FINANCIAL MODELING SYSTEMS AND METHODS

• US 20090259580A1
• Filed: 03/20/2009
• Published: 10/15/2009
• Est. Priority Date: 03/20/2008
• Status: Active Grant

• Current Assignee: LEAP System Incorporated
• Original Assignee: LEAP System Incorporated
• Inventors: Castiglione, Christian, Castiglione, Robert
• Granted Patent: US 10,096,061 B2
• Time in Patent Office: Days
• US Class Current: 705/35
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes

Abstract

Systems and methods for providing financial modeling are provided. A financial modeling method according to the present invention can comprise receiving comprehensive financial data relating to an entity. The financial data can be categorized into a plurality of financial components, which can comprise a protection component, and savings component, and a growth component. An additional step can comprise analyzing the financial data, along with a set of assumptions, to create a financial model based on the plurality of financial components. The method can display a graphical representation of the financial model, and the graphical representation can illustrate an application of one or more of the financial components to the financial data. An update to the financial data or the assumptions can be received and dynamically incorporated into the graphical representation.

Claims

1. A computer program product embodied in a computer-readable medium, the computer program product comprising an algorithm adapted to effectuate a method for modeling financial data, the method comprising:

receiving comprehensive financial data relating to an entity;

categorizing the financial data into a plurality of financial components, including a protection component, and savings component, and a growth component;

analyzing the financial data and a set of assumptions to create a financial model based on the plurality of financial components;

displaying a graphical representation of the financial model, wherein the graphical representation illustrates application of one or more of the financial components to the financial data;

receiving an update to the financial data or the set of assumptions; and

updating the graphical representation of the financial model dynamically and automatically based on the received update.

2. The computer program product of claim 1, each of the financial components comprising a plurality of sub-components.

3. The computer program product of claim 2, the method further comprising associating one or more values with the sub-components, wherein the values correspond to projected dollar values.

4. The computer program product of claim 2, the method further comprising arranging the plurality of sub-components at least partially based on a number of functions of each sub-component.

5. The computer program product of claim 2, the method further comprising arranging the plurality of sub-components at least partially based on a degree of risk of each sub-component.

6. The computer program product of claim 2, the method further comprising arranging the plurality of sub-components at least partially based on liquidity of each sub-component.

7. The computer program product of claim 2, the method further comprising arranging the plurality of sub-components at least partially based on productivity of each sub-component.

8. The computer program product of claim 1, wherein updating the graphical representation of the financial model dynamically and automatically comprises simulating a move of funds from a first position to a second position.

9. The computer program product of claim 1, the protection component corresponding to funds used to protect the entity'"'"'s wealth.

10. The computer program product of claim 1, the savings component corresponding to funds that are saved.

11. The computer program product of claim 1, the growth component corresponding to funds expected to grow.

12. The computer program product of claim 1, the debt component corresponding to liabilities of the entity.

13. A method for modeling financial data, the method comprising:

receiving financial data related to an entity;

storing the financial data on a physical storage device;

compartmentalizing the financial data into one or more sub-components;

receiving a request to simulate a money move from a first sub-component to a second sub-component; and

presenting a plurality of predetermined steps simulating the money move, wherein the predetermined steps comprise determining an effect of the money move on a third sub-component.

14. The method of claim 13, further comprising calculating and displaying a tax consequence associated with the money move.

15. The method of claim 13, further comprising calculating and displaying a lost opportunity cost associated with the money move.

16. The method of claim 13, further comprising calculating and displaying a change in cash flow based on the money move.

17. The method of claim 13, further comprising generating a projected output of the second sub-component at a predetermined age of the entity.

18. A method for modeling financial data, the method comprising:

receiving a user'"'"'s responses to a financial questionnaire;

automatically importing the user'"'"'s responses to the financial questionnaire into a financial model, the financial model having at least two distinct and explicitly identified financial components;

receiving a set of assumptions relating to the financial model;

displaying a graphical representation of the financial model, the graphical representation incorporating at least a portion of the user'"'"'s responses and at least a portion of the set of assumptions;

receiving an update to the user'"'"'s responses or the set of assumptions; and

updating the graphical representation of the financial model automatically based on the update to the user'"'"'s responses or the set of assumptions.

19. The computer program product of claim 18, the method further comprising determining one or more input values based on the user'"'"'s responses.

20. The computer program product of claim 18, the method further comprising calculating one or more output values corresponding to financial outputs in a specified future year.

21. The computer program product of claim 20, further comprising applying an inflation rate to the output values to generate a present value of the output values.

22. The computer program product of claim 18, wherein receiving an update to user'"'"'s responses or the set of assumptions comprises receiving an update to a start age of an entity, and updating the graphical representation of the financial model automatically comprises updating one or more input values based on the updated start age.

23. The computer program product of claim 18, wherein receiving an update to the user'"'"'s responses or the set of assumptions comprises receiving an update to an end age of an entity, and updating the graphical representation of the financial model automatically comprises updating one or more output values based on the updated start age.

24. The computer program product of claim 18, the method further comprising updating a future representation of a cash flow based on a projected debt repayment term.