System and Method for Money Management Using a Plurality of Profit Levels in an Electronic Trading Environment
First Claim
1. A method for money management in an electronic trading environment, the method comprising:
- storing a first plurality of money management filters via a memory of a client device, where each filter is associated with at least one filter criterion and at least one filter condition, where the at least one filter criterion comprises a net profit level, and where the at least one filter condition comprises a maximum order quantity and a maximum net position;
receiving an order submission for an order for a tradeable object to be traded at an electronic exchange via an input of the client device;
determining a net profit level based at least in part on a net position and a current market level for the tradeable object via the client device;
selecting a first money management filter to control order parameters associated with the order based on the net profit level via the client device; and
modifying an order quantity associated with the order to a first maximum order quantity associated with the first selected money management filter according to the order quantity exceeding the first maximum order quantity via the client device.
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Accused Products
Abstract
A system and method for money management in an electronic trading environment are presented. According to one embodiment, a money management application intercepts an order before the order is sent to an exchange, and determines a plurality of P/L levels, based on which the money management application then selects a set of money management parameters to be used to control or modify order parameters before the order is sent to the exchange. The plurality of profit levels may include a net profit level determined based on a trader'"'"'s net position and a current market level, a realized profit level determined based on trader'"'"'s sells and buys associated with the tradeable object, or an open profit level determined based on the realized and net profit levels. The set of money management parameters may include a maximum order quantity and a maximum net position so that, for example, if the order quantity associated with the order is higher than the maximum order quantity associated with the applicable set of money management parameters, the order quantity may be modified to the maximum order quantity.
70 Citations
20 Claims
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1. A method for money management in an electronic trading environment, the method comprising:
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storing a first plurality of money management filters via a memory of a client device, where each filter is associated with at least one filter criterion and at least one filter condition, where the at least one filter criterion comprises a net profit level, and where the at least one filter condition comprises a maximum order quantity and a maximum net position; receiving an order submission for an order for a tradeable object to be traded at an electronic exchange via an input of the client device; determining a net profit level based at least in part on a net position and a current market level for the tradeable object via the client device; selecting a first money management filter to control order parameters associated with the order based on the net profit level via the client device; and modifying an order quantity associated with the order to a first maximum order quantity associated with the first selected money management filter according to the order quantity exceeding the first maximum order quantity via the client device. - View Dependent Claims (2, 3, 4, 5, 6, 7, 8, 9, 10, 11)
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12. A computer readable medium having instructions stored therein, which when executed by a processor cause the processor to carry out acts comprising:
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storing a first plurality of money management filters, where each filter is associated with at least one filter criterion and at least one filter condition, where the at least one filter criterion comprises a net profit level, and where the at least one filter condition comprises a maximum order quantity and a maximum net position; receiving an order submission for an order for a tradeable object to be traded at an electronic exchange; determining a net profit level based at least in part on a net position and a current market level for the tradeable object; selecting a first money management filter to control order parameters associated with the order based on the net profit level; and modifying an order quantity associated with the order to a first maximum order quantity associated with the first selected money management filter according to the order quantity exceeding the first maximum order quantity. - View Dependent Claims (13, 14, 15, 16, 17, 18, 19)
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20. A system for money management in an electronic trading environment, the system comprising:
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an order input configured to receive an order submission of an order for a tradeable object to be traded at an electronic exchange; a memory configured to store a first plurality of money management filters, where each filter is associated with at least one filter criterion and at least one filter condition, where the at least one filter criterion comprises a net profit level, and where the at least one filter condition comprises a maximum order quantity and a maximum net position; and a processor coupled with the order input and the memory, the processor being configured to determine a net profit level based at least in part on a net position and a current market level for the tradeable object and to select a first money management filter to control order parameters associated with the order based on the net profit level, and to modify an order quantity associated with the order to a first maximum order quantity associated with the first selected money management filter according to the order quantity exceeding the first maximum order quantity.
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Specification