AUTOMATED ACTIONS BASED ON RESTRICTIONS

• US 20090287613A1
• Filed: 07/15/2009
• Published: 11/19/2009
• Est. Priority Date: 06/07/2005
• Status: Active Grant

• Current Assignee: Tegra118 Wealth Solutions, Inc.
• Original Assignee: Adrian Feliciano, Amy Kandravy, Ann Harding, Charles Smith, Donna Figlik, Lorraine Giordano, Michele Pierdinock, Simon Gershon, William Mckinney
• Inventors: Smith, Charles, Figlik, Donna, Feliciano, Adrian, Kandravy, Amy, McKinney, William, Gershon, Simon, Pierdinock, Michele, Giordano, Lorraine, Harding, Ann
• Granted Patent: US 7,930,239 B2
• Time in Patent Office: Days
• US Class Current: 705/36.R
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• 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

A technique for resolving a violation of an investment account restriction is provided. The restriction is associated with the holding of one or more securities in an investment account. A restriction definition and an associated resolution rule are stored in a data repository. A received order to perform an investment account management action is processed to determine that performance of the action violates the stored restriction definition. The associated resolution rule is then retrieved based upon the determination and then executed. Indications of the determined violation and of the executed resolution rule are stored in the data repository.

Claims

1-20. -20. (canceled)

21. A computer-implemented method, comprising:

storing a restriction definition and an associated resolution rule, wherein the restriction definition specifies a constraint regarding a first asset, and wherein the resolution rule specifies criteria for dynamically determining, at a time of execution of the resolution rule, at least one second asset to substitute for the first asset;

receiving an order to perform an action for an investment account, wherein the action involves the first asset;

processing the received order to determine that performance of the action violates the stored restriction definition;

responsive to determining that performance of the action violates the stored restriction definition, performing a first execution of the resolution rule to dynamically determine the at least one second asset to substitute for the first asset in accordance with the specified criteria, wherein the at least one second asset is not specifically identified by the resolution rule prior to execution of the resolution rule; and

substituting the at least one second asset for the first asset in performing the action for the investment account,

wherein the prior steps are performed by one or more computers of a portfolio management system.

22. The computer-implemented method of claim 21, wherein the stored restriction prohibits a holding of the first asset in the investment account.

23. The computer-implemented method of claim 21, further comprising:

receiving a second order to perform a second action for the investment account, wherein the second action involves the first asset;

processing the received second order to determine that performance of the second action violates the stored restriction definition; and

responsive to determining that performance of the second action violates the stored restriction definition, performing a second execution of the resolution rule to dynamically determine at least one second asset to substitute for the first asset in accordance with the specified criteria,

wherein the at least one second asset determined during the second execution of the resolution rule is different, at least in part, than the at least one second asset determined during the first execution of the resolution rule.

24. The computer-implemented method of claim 21, wherein the first asset comprises a first security, and wherein the at least one second asset comprises (i) a second security or (ii) a group of second securities.

25. The computer-implemented method of claim 21, wherein the second asset comprises a group of securities, and wherein an amount going into or coming out of the group of securities is distributed across the securities in the group either evenly or in accordance with a model proportion.

26. The computer-implemented method of claim 25, wherein the group of second securities is defined according to industry sector, issue type, or security rating.

27. The computer-implemented method of claim 21, wherein the criteria for dynamically determining the at least one second asset comprises identifying an overweighted or underweighted security or group of securities in the investment account.

28. The computer-implemented method of claim 27, wherein the overweighted or underweighted security or group of securities is determined according to one or more style models associated with the investment account.

29. The computer-implemented method of claim 21, wherein the action is performed by buying or selling the at least one second asset.

31. A system, comprising:

a memory configured to store a restriction definition and an associated resolution rule, wherein the restriction definition specifies a constraint regarding a first asset, and wherein the resolution rule specifies criteria for dynamically determining, at a time of execution of the resolution rule, at least one second asset to substitute for the first asset; and

a processor configured to access the memory, wherein the processor is configured to;

receive an order to perform an action for an investment account, wherein the action involves the first asset,

process the received order to determine that performance of the action violates the stored restriction definition,

responsive to determining that performance of the action violates the stored restriction definition, perform a first execution of the resolution rule to dynamically determine the at least one second asset to substitute for the first asset in accordance with the specified criteria, wherein the at least one second asset is not specifically identified by the resolution rule prior to execution of the resolution rule, and

substitute the at least one second asset for the first asset in performing the action for the investment account.

32. The system of claim 31, wherein the stored restriction prohibits a holding of the first asset in the investment account.

33. The system of claim 31, wherein the processor is further configured to:

receive a second order to perform a second action for the investment account, wherein the second action involves the first asset;

processing the received second order to determine that performance of the second action violates the stored restriction definition; and

responsive to determining that performance of the second action violates the stored restriction definition, perform a second execution of the resolution rule to dynamically determine at least one second asset to substitute for the first asset in accordance with the specified criteria,

wherein the at least one second asset determined during the second execution of the resolution rule is different, at least in part, than the at least one second asset determined during the first execution of the resolution rule.

34. The system of claim 31, wherein the first asset comprises a first security, and wherein the at least one second asset comprises (i) a second security or (ii) a group of second securities.

35. The system of claim 31, wherein the second asset comprises a group of securities, and wherein an amount going into or coming out of the group of securities is distributed across the securities in the group either evenly or in accordance with a model proportion.

36. The system of claim 35, wherein the group of second securities is defined according to industry sector, issue type, or security rating.

37. The system of claim 31, wherein the criteria for dynamically determining the at least one second asset comprises identifying an overweighted or underweighted security or group of securities in the investment account.

38. The system of claim 37, wherein the overweighted or underweighted security or group of securities is determined according to one or more style models associated with the investment account.

39. The system of claim 31, wherein the action is performed by buying or selling the at least one second asset.

40. The system of claim 31, wherein the action comprises a trade or “

what if”

analysis.