Credit management for electronic brokerage system
First Claim
1. A computerized method of allowing traders to trade financial instruments at a plurality of trading floors, some, but not all, of the trading floors being credit bearing counter-parties which extend bilateral credit to one another, at least one of the trading floors being associated with one or more taker screens at which a trader can trade the financial instruments, at least a first of the taker screens displaying at least quotes made by other trading floors and permitting a trader using the first taker screen to accept certain ones of the quotes, the first taker screen having a best dealable price area and a best market price area, the method comprising:
- displaying in the best market price area of the first taker screen of the computerized trading system the best market quote made by one or more traders at any of the trading floors irrespective of whether or not the quote originated from a trading floor which is a credit bearing counter-party to the trading floor with which the first taker screen is associated;
simultaneously displaying in the best dealable price area of the first taker screen the best dealable quote made by one or more credit bearing counter-parties of the trading floor with which the first taker screen is associated whereby the best dealable quote has been prescreened for credit; and
permitting the trader using the first taker screen to accept the best dealable quote displayed in the best dealable price area but preventing that trader from accepting the best market quote displayed in the best market price area.
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Accused Products
Abstract
An anonymous trading system (FIG. 1) identifies the best bids and offers (QuoteSubmit, FIG. 3) from those counterparties (WS A1a1) with which each party (WS A1b1, WS A1b2, . . . . WSA2a2) is currently eligible to deal, while maintaining the anonymity of the potential counterparty and the confidentiality of any specific credit limitations imposed by the anonymous potential counterparty. To that end, each bid or offer (QuoteSubmit, FIG. 3) for a particular type of financial instrument is prescreened by the system for compatibility with limited credit information (for example, a one bit flag indicating whether a predetermined limit has already been exceeded) and an anonymous “Dealable” price (24,26) is calculated for each of the traders (WS A1b, . . . WS A2a) dealing with that particular financial instrument.
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Citations
24 Claims
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1. A computerized method of allowing traders to trade financial instruments at a plurality of trading floors, some, but not all, of the trading floors being credit bearing counter-parties which extend bilateral credit to one another, at least one of the trading floors being associated with one or more taker screens at which a trader can trade the financial instruments, at least a first of the taker screens displaying at least quotes made by other trading floors and permitting a trader using the first taker screen to accept certain ones of the quotes, the first taker screen having a best dealable price area and a best market price area, the method comprising:
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displaying in the best market price area of the first taker screen of the computerized trading system the best market quote made by one or more traders at any of the trading floors irrespective of whether or not the quote originated from a trading floor which is a credit bearing counter-party to the trading floor with which the first taker screen is associated; simultaneously displaying in the best dealable price area of the first taker screen the best dealable quote made by one or more credit bearing counter-parties of the trading floor with which the first taker screen is associated whereby the best dealable quote has been prescreened for credit; and permitting the trader using the first taker screen to accept the best dealable quote displayed in the best dealable price area but preventing that trader from accepting the best market quote displayed in the best market price area. - View Dependent Claims (2, 3, 4)
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5. A computerized trading system comprising:
one or more computers programmed to; (a) receive a plurality of quotes; (b) automatically determine which of the quotes a trader can accept and which of the quotes the trader cannot accept as a function of predetermined criteria including credit that has been extended to the trader whereby the quotes have been prescreened for credit; and (c) send information to a display device associated with a trader concerning at least a best quote that the trader can accept such that a properly configured display device can display at least the best quote that the trader can accept as a function of the information sent by the one or more computers. - View Dependent Claims (6, 7, 8, 9, 10)
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11. A process for trading on a computerized electronic trading system including a plurality of computers and a display device associated with a trader, the process comprising:
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receiving a plurality of quotes in at least one computer of the computerized electronic trading system; automatically determining, in one or more of the computers, which of the quotes the trader can accept and which of the quotes the trader cannot accept as a function of predetermined criteria including credit that has been extended to the trader whereby the quotes have been prescreened for credit; and sending information to the trader concerning at least a best quote that the trader can accept whereby a properly configured display device receiving the information can display at least the best quote that the trader can accept. - View Dependent Claims (12, 13, 14)
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15. A process for trading on a computerized electronic trading system including a plurality of computers and a plurality of display devices associated with respective traders, the process comprising:
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receiving a plurality of quotes in at least one computer of the computerized electronic trading system; automatically determining, in one or more of the computers, which of the quotes each of a plurality of the traders can accept and which of the quotes each of that plurality of traders cannot accept as a function of predetermined criteria including credit that has been extended to each of the traders whereby the quotes have been prescreened for credit; and sending information to each of the plurality of traders concerning at least a best quote the respective trader can accept so that at least the best quote that the respective trader can accept can be displayed on a properly configured display device associated with that trader. - View Dependent Claims (16, 17, 18)
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19. A computerized trading system allowing a first trader to trade with other traders, comprising:
a computer system comprising one or more computers, the computer system configured to receive quotes from a plurality of traders and determine which of the quotes the first trader can accept and which of the quotes the first trader cannot accept as a function of predetermined criteria including credit that has been extended to the first trader whereby the quotes have been prescreened for credit, the computer system configured to send information to the first trader concerning at least the best quote that the trader can accept whereby a properly configured display device associated with the first trader can display at least the best quote that the first trader can accept as a function of the information sent to the first trader. - View Dependent Claims (20, 21, 22, 23, 24)
Specification