Method and system for providing financial functions

• US 7,395,232 B1
• Filed: 08/30/2000
• Issued: 07/01/2008
• Est. Priority Date: 08/30/2000
• Status: Expired due to Fees

• Current Assignee: Traderisks Incorporated
• Original Assignee: Traderisks Incorporated
• Inventors: Pilato, Alejandro M.
• Primary Examiner(s): Kramer; James
• Assistant Examiner(s): BORLINGHAUS, JASON M
• Application Number:
  US09/650,733
• Time in Patent Office: 2,862 Days
• Field of Search: 705 35- 45
• US Class Current: 705/35
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03

Abstract

A method is disclosed for providing financial functions by an agent for each of a plurality of clients. One embodiment includes, relating to a financial function of each client, demonstrating that more than one activity of the agent can be transparent to the client, receiving financial information at the agent, creating risk management information relating to the financial information, analyzing the risk management information in the context of the financial information, determining an action based on the analysis, facilitating implementation of an action on behalf of the client, and communicating with the client one or more activities of the agent.

Claims

1. A computer-assisted method comprising:

relating to each of a plurality of institutional or corporate clients of an agent;

demonstrating, to the client, that a plurality of credit management activities of the agent on behalf of the client are securely, continuously, and transparently monitorable by the client in real-time across a packet-switched public network via a network-based user interface;

receiving from the client financial information sufficient to enable the agent to perform the plurality of credit management activities on behalf of the client;

performing, by the agent, the plurality of credit management activities on behalf of the client, the plurality of credit management activities comprising;

creating risk management information relating to the financial information;

based on an analysis of the risk management information in the context of the financial information, identifying credit exposures arising from;

positions on bonds and money market instruments;

derivatives counterparties;

securities trading counterparties; and

loans;

based on the analysis of the risk management information in the context of the financial information, determining actions to manage the credit exposures, the actions comprising;

monitoring credit risk limits utilizations and positions with derivatives counterparties, securities trading counterparties, borrowers, and bond issuers;

monitoring that transactions are undertaken with eligible counterparties and on eligible financial products;

producing daily actual profit and loss reports;

producing daily predicted profit and loss reports from positions information combined with the risk management information;

comparing daily actual profit and loss reports to predicted profit and loss reports;

determining particular trades and hedges to manage the credit exposures; and

causing execution of the determined trades and hedges, said execution adapted to be halted in real-time by the client across the packet-switched public network via the network-based user interface;

automatically recording a verifiable audit trail of the plurality of credit management activities performed by the agent on behalf of the client, the audit trail comprising a log of all executed trades and hedges and a record of market conditions at the time of each executed trade and hedge, the audit trail securely, continuously, and transparently examinable by the client across the packet-switched public network via the network-based user interface; and

in real time, securely, continuously, transparently, and automatically communicating the plurality of credit management activities of the agent to the client across the packet-switched public network via the network-based user interface.