Method and computer program for evaluating mutual fund portfolios

• US 5,930,774 A
• Filed: 01/29/1996
• Issued: 07/27/1999
• Est. Priority Date: 01/29/1996
• Status: Expired due to Fees

• Current Assignee: Overlap Incorporated
• Original Assignee: Overlap Incorporated
• Inventors: Chennault, William C.
• Primary Examiner(s): Cosimano, Edward R.
• Application Number:
  US08/593,656
• Time in Patent Office: 1,275 Days
• Field of Search: 705/1, 705/35, 705/36
• US Class Current: 705/36.00R
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis

Abstract

A computer-readable storage device for storing computer programs for operating a computer is disclosed. The computer-readable storage device includes a computer program stored thereon which directs or operates a computer for evaluating and comparing investment portfolios. The computer program analyzes one or more investment portfolios and determines the extent of diversity or lack of diversity among several investment portfolios each including several securities.

Claims

1. A computer program stored on a computer-readable memory device for directing a computer for evaluating a plurality of investment portfolios each including a plurality of securities, said computer program comprising:

access means for accessing a first investment portfolio data record including the investment attributes of a first investment portfolio and for accessing a second investment portfolio data record including the investment attributes of a second investment portfolio; and

evaluating means for evaluating said first and second investment portfolios, said evaluating means including investment attribute comparing means for comparing the investment attributes of said first investment portfolio with the investment attributes of said second investment portfolio for identifying matching investment attributes that are common to both of said first and second investment portfolios.

2. The computer program as set forth in claim 1, said investment attributes including country percentages for each of said first and second investment portfolios indicating the percentage of the total assets of said first and second investment portfolios that are invested in particular countries, said investment attribute comparing means including country calculating means for calculating the extent said first and second investment portfolios are invested in the same country.

3. The computer program as set forth in claim 1, said investment attributes including sector percentages for each of said first and second investment portfolios indicating the percentage of the total assets of said first and second investment portfolios that are invested in particular sectors of the economy, said investment attribute comparing means including sector calculating means for calculating the extent said first and second investment portfolios are invested in the same sector of the economy.

4. The computer program as set forth in claim 3, said sectors of the economy including utility, energy, financial, industrial cyclical, consumer durables, consumer staples, services, retail, health and technology.

5. The computer program as set forth in claim 1, said investment portfolios including stock mutual funds.

6. The computer program as set forth in claim 5, said securities including stocks.

7. The computer program as set forth in claim 1, said investment portfolios including money market funds.

8. The computer program as set forth in claim 7, said securities including government notes.

9. The computer program as set forth in claim 1, said investment portfolios including bond funds.

10. The computer program as set forth in claim 9, said securities including bonds.

11. The computer program as set forth in claim 1, said investment attributes including a list of the securities in each of said first and second investment portfolios, said investment attribute comparing means including means for identifying securities that are in both of said first and second investment portfolios.

12. The computer program as set forth in claim 11, said investment attributes including an asset percentage for each of the securities indicating the percentage that each of the securities forms of the total assets of its respective investment portfolio, said investment attribute comparing means including asset percentage comparing means for comparing the asset percentages for the securities that are identified as being in both of said first and second investment portfolios determining the lower of the asset percentages for pair of matching securities.

13. The computer program as set forth in claim 12, said investment attribute comparing means further including aggregating means for aggregating said lower asset percentages for each of the matching pairs of securities.

14. A computer program stored on a computer-readable memory device including a computer program for directing a computer for evaluating a plurality of investment portfolios each including a plurality of securities, said computer program comprising:

a first investment portfolio data record including a list of the securities in a first investment portfolio and an asset percentage for each of said first investment portfolio securities indicating the percentage that each of said first investment portfolio securities forms of the total assets of said first investment portfolio;

a second investment portfolio data record including a list of the securities in a second investment portfolio and an asset percentage for each of said second investment portfolio securities indicating the percentage that each of said second investment portfolio securities forms of the total assets of said second investment portfolio; and

diversity determining means for determining the extent of diversity between said first and second investment portfolios, said diversity determining means including-comparing means for comparing said first investment portfolio data record with said second investment portfolio data record for identifying matching pairs of securities that are in both of said first and second investment portfolios,

comparing means for comparing the percentages that the securities in said matching pairs of securities forms of their respective investment portfolios and for determining the lower of said percentages for each matching pair of securities, and

aggregating means for aggregating said lower percentages for each of said matching pairs of securities for determining the lack of diversity between said first and second investment portfolios.