Methods and systems for managing investments in complex financial investments

• US 7,231,364 B1
• Filed: 05/07/2001
• Issued: 06/12/2007
• Est. Priority Date: 05/07/2001
• Status: Active Grant

• Current Assignee: Goldman Sachs & Co. LLC (Goldman Sachs Group Incorporated)
• Original Assignee: Goldman Sachs & Company (Goldman Sachs Group Incorporated)
• Inventors: Cobrinik, Zachariah, Logan, Edward, Walter, Andrew
• Primary Examiner(s): Poinvil, Frantzy
• Assistant Examiner(s): Graham, Clement
• Application Number:
  US09/850,589
• Time in Patent Office: 2,227 Days
• Field of Search: 705/33, 705/36, 705/5
• US Class Current: 705/37
• CPC Class Codes: G06Q 10/02 Reservations, e.g. for tickets, services or events
• 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

Abstract

A metric, Investment Participation at Cost (IPAC) has been developed to determine the amount of money working in an investment vehicle. IPAC has particular application in a complex, private equity investment vehicle. Using IPAC, an investor can get a repeatable, readily understood indication of the amount of working money left in an investment. Further using IPAC, the investor, financial advisor or other interested party can, based on the money still working in any one or more investments, better determine the overall risk profile of an investment portfolio. An investment portfolio can be changed based on the risk profile as so determined.

Claims

1. A method of using a computer to determine an amount of investor money working in an investment vehicle including at least one investor and multiple investments, comprising the steps of:

receiving fund management information relating to said investment vehicle;

receiving investor information relating to an investor;

calculating on said computer, using said fund management information and said investor information, an IPAC to determine the amount of money working in said investment vehicle; and

outputting from said computer said IPAC;

said step of calculating said IPAC comprising

2. A method in accordance with claim 1 and further including the steps of:

calculating an individual IPAC for each of a plurality investors in said investment vehicle; and

outputting each of said individual IPAC'"'"'s.

3. A method in accordance with claim 2 and further including the steps of:

outputting for each of the investors a profile including a list of said multiple investments of said investment vehicle;

outputting for each of the investors said IPAC; and

providing a respective profile and IPAC to each of the investors.

4. Apparatus for determining an amount of investor money working in an investment vehicle including at least one investor and multiple investments, comprising:

a processor;

a memory connected to said processor, said memory including instructions for controlling the operation of said processor;

said processor operative with said instructions in said memory to perform the steps of

inputting into the computer fund management information relating to said investment vehicle;

inputting into the computer investor information relating to an investor;

calculating on said computer, using the fund management and investor information, a first IPAC to determine the amount of money working in said investment vehicle for a first investor; and

outputting from said computer said IPAC;

said step of calculating said IPAC comprising

5. The apparatus of claim 4 wherein said processor is further operative to perform the steps of:

calculating an individual IPAC for each of a plurality of investors in said investment vehicle; and

outputting each of said individual IPAC'"'"'s.

6. The apparatus of claim 5 wherein said processor is further operative to perform the steps of:

outputting for each of the investors a profile including a list of said multiple investments of said investment vehicle;

outputting for each of the investors said IPAC; and

providing a respective profile and IPAC to each of the investors.

7. The apparatus of claim 5 wherein said memory further stores a financial advisor database containing information relating to the at least one investor.

8. The apparatus of claim 5 wherein said memory further stores a fund management database containing information relating to said multiple investments.

9. Apparatus for determining an amount of investor money working in an investment vehicle including at least one investor and multiple investments, comprising:

means for determining fund management information relating to said investment vehicle;

means for determining investor information relating to an investor;

means for calculating on said computer, using said fund management information and said investor information, an IPAC to determine the amount of money working in said investment vehicle for a first investor; and

means for outputting from said computer said IPAC;

said step of calculating said IPAC comprising

10. A program product containing computer-executable instructions operative to control a computer to determine an amount of investor money working in an investment vehicle including at least one investor and multiple investments, said program product comprising:

said instructions operative to control said computer to perform the steps of inputting into the computer fund management information relating said investment vehicle;

inputting into the computer investor information relating to an investor;

calculating on said computer, using said fund management information and said investor information, an IPAC to determine the amount of money working in said investment vehicle for a investor; and

outputting from said computer said IPAC;

said step of calculating said IPAC comprising

11. A method of determining an amount of investor money working in an investment vehicle including at least one investor and multiple investments, comprising the steps of:

determining fund management information relating to said investment vehicle;

determining investor information relating to said at least one investor;

calculating an IPAC to determine the amount of money working in said investment vehicle for an investor; and

providing said IPAC to said investor;

said step of calculating said IPAC comprising

12. A method of using a computer to manage an investment profile of an investor, comprising the steps of:

determining an initial investment profile for said investor;

developing, based on said initial investment profile, a recommended investment portfolio including calculating an initial investment amount in an investment fund including multiple investments;

inputting into the computer fund management information relating to a change in one of said multiple investments;

receiving into the computer investor information relating to said investor;

calculating on the computer an IPAC to determine the amount of money working in said investment vehicle for said investor;

said step of calculating said first IPAC comprising

13. A method in accordance with claim 12 and further including the step of recommending to said investor a change in said investment portfolio.

14. A method in accordance with claim 13 and further including the steps of:

outputting said recommended portfolio;

outputting said change to said one of said multiple investments;

outputting said IPAC; and

providing said recommended portfolio, said change to said one of said multiple investments and said IPAC to said investor.

15. Apparatus for managing an investment profile of an investor, comprising:

a processor;

a memory connected to said processor, said memory containing instructions operative with said processor to perform the steps of

determining an initial investment profile for said investor;

developing, based on said initial investment profile, a recommended investment portfolio including calculating an initial investment amount in an investment fund including multiple investments;

inputting into the computer fund management information relating to a change in one of said multiple investments;

inputting into the computer investor information relating to said investor;

calculating on the computer an IPAC to determine the amount of money working in said investment vehicle for said investor;

said step of calculating said first IPAC comprising

16. The apparatus of claim 15 wherein said processor is further operative with the instructions in said memory to perform the steps of:

outputting said recommended portfolio;

outputting said change to said one of said multiple investments;

outputting said IPAC; and

transmitting said recommended portfolio, said change to said one of said multiple investments and said IPAC to said investor.

17. The apparatus of claim 15 wherein said memory further contains an investor database containing information relating to the investors.

18. The apparatus of claim 15 wherein said memory further contains an investment database containing information relating to said multiple investments.

19. A method for managing an investment profile of an investor, comprising the steps of:

determining an initial investment profile for said investor;

developing, based on said initial investment profile, a recommended investment portfolio including calculating an initial investment amount in an investment fund including multiple investments;

determining a change in one of said multiple investments;

calculating an IPAC to determine the amount of money working in said investment vehicle for said investor;

said step of calculating said first IPAC comprising

20. Apparatus for managing an investment profile of an investor, comprising:

means for determining an initial investment profile for said investor;

means for developing, based on said initial investment profile, a recommended investment portfolio including calculating an initial investment amount in an investment fund including multiple investments;

means for inputting into the computer information relating to a change in one of said multiple investments;

means for calculating on the computer an IPAC to determine the amount of money working in said investment vehicle for said investor;

said step of calculating said first IPAC comprising

21. The apparatus of claim 20 and further comprising:

means for outputting said recommended portfolio;

means for outputting said change to said one of said multiple investments;

means for outputting said IPAC; and

means for transmitting said recommended portfolio, said change to said one of said multiple investments and said IPAC to said investor.

22. A program product containing computer-executable instructions operative to manage an investment profile of an investor, said program product comprising:

said instructions operative to control said computer to perform the steps of

determining an initial investment profile for said investor;

developing, based on said initial investment profile, a recommended investment portfolio including calculating an initial investment amount in an investment fund including multiple investments;

inputting into the computer information relating to a change in one of said multiple investments;

calculating on the computer an IPAC to determine the amount of money working in said investment vehicle for said investor;

said step of calculating said first IPAC comprising

23. A method of using a computer to structure an investment portfolio of one investor having multiple investments, comprising the steps of:

receiving fund management information relating to said investment vehicle;

receiving investor information relating to said investor;

calculating on said computer, using said fund management information and said investor information, an IPAC to determine the amount of money working in said investment vehicle;

outputting from said computer said IPAC; and

determining, using said IPAC, if a change to said investment portfolio is appropriate;

said step of calculating said first IPAC comprising

24. Apparatus for structuring an investment portfolio of one investor having multiple investments, comprising:

a processor;

a memory connected to said processor and storing fund management information relating to said investment vehicle and investor information relating to said investor;

said processor operative with said fund management information and said investor information and instructions in said memory to perform the steps of

calculating on said computer, using said fund management information and said investor information, an IPAC to determine the amount of money working in said investment vehicle;

outputting from said computer said IPAC; and

determining, using said IPAC, if a change to said investment portfolio is appropriate;

said step of calculating said first IPAC comprising

25. A method of using a computer to initiate a buy, sell or hold of a fund in an investment vehicle, comprising the steps of:

receiving fund management information relating to said investment vehicle;

receiving investor information relating to said investor;

calculating on said computer, using said fund management information and said investor information, an IPAC to determine the amount of money working in said investment vehicle;

outputting from said computer said IPAC; and

initiating, based on said IPAC, a buy, sell or hold of said fund;

said step of calculating said first IPAC comprising

26. Apparatus for initiating a buy, sell or hold of a fund in an investment vehicle, comprising:

a processor;

a memory connected to said processor and storing fund management information relating to said investment vehicle and investor information relating to said investor;

said processor operative with said fund management information and said investor information and instructions in said memory to perform the steps of

calculating on said computer, using said fund management information and said investor information, an IPAC to determine the amount of money working in said investment vehicle;

outputting from said computer said IPAC; and

initiating a buy, sell or hold, based on said IPAC, of said fund;

said step of calculating said first IPAC comprising