System and method for simulating an electronic trading environment
First Claim
1. A system for simulating an electronic trading environment, the system comprising:
- a simulated electronic exchange;
a storage device configured to electronically store data for market information from a live market corresponding to a tradeable object being traded at an electronic exchange; and
a market simulator comprising a processor associated with a computing device, wherein the market simulator, using the processor, retrieves the stored market information corresponding to the tradeable object, the retrieved market information corresponding to a next state of market data recorded from the live market at the electronic exchange, the market simulator comprising;
a market order book that is updated to reflect the retrieved market information; and
a simulated order book that is updated based on order information and fill information being received from the simulated electronic exchange;
wherein upon retrieval of the market information, the market simulator, using the processor, compares the updated market order book and the simulated order book, and generates at least one trade order to equalize the simulated market order book with the updated market order book to reflect the next state of market data in the retrieved market information, and wherein the market simulator, using the processor, further sends the at least one trade order to the simulated electronic exchange.
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Accused Products
Abstract
Market data is recorded from a real live exchange. The recording data can be played back in real time or delayed, in any manner, to simulate the recorded market. Moreover, one or more users can participate in the simulated market just as if they were participating in a real-live market. The system provides a realistic trading environment without the associated risks of trading in a live-market such as losing money and the cost of making trades. The system may be used for training purposes and for purposes of testing and analyzing various trading strategies. Software developers and testers may also utilize the realistic environment to develop trading products or applications. Additionally, the system provides a means for demonstrating trading application products.
95 Citations
21 Claims
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1. A system for simulating an electronic trading environment, the system comprising:
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a simulated electronic exchange; a storage device configured to electronically store data for market information from a live market corresponding to a tradeable object being traded at an electronic exchange; and a market simulator comprising a processor associated with a computing device, wherein the market simulator, using the processor, retrieves the stored market information corresponding to the tradeable object, the retrieved market information corresponding to a next state of market data recorded from the live market at the electronic exchange, the market simulator comprising; a market order book that is updated to reflect the retrieved market information; and a simulated order book that is updated based on order information and fill information being received from the simulated electronic exchange; wherein upon retrieval of the market information, the market simulator, using the processor, compares the updated market order book and the simulated order book, and generates at least one trade order to equalize the simulated market order book with the updated market order book to reflect the next state of market data in the retrieved market information, and wherein the market simulator, using the processor, further sends the at least one trade order to the simulated electronic exchange. - View Dependent Claims (2, 3, 4, 5, 6, 7, 8, 9, 10, 11)
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12. A method for simulating an electronic trading environment, comprising:
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retrieving stored market information corresponding to a tradeable object at a processor associated with a computing device, the stored market information corresponding to a next state of market data recorded from a live market for trading a tradeable object at an electronic exchange; updating a market order book, at the processor, to reflect the retrieved market information; receiving, at the processor, order information and fill information from a simulated electronic exchange; updating a simulated order book, at the processor, based on the received order information and the fill information to reflect the current state of the simulated market; comparing the updated market order book with the updated simulated order book at the processor; generating, using the processor, at least one trade order to equalize the updated simulated market order book with the updated market order book to reflect the next state of market data in the retrieved market information; and submitting, using the processor, to the simulated electronic exchange the at least one trade order generated based on the comparison. - View Dependent Claims (13, 14, 15, 16, 17, 18, 19, 20)
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21. A computer readable medium having code stored thereon which when executed by a processor performs a method for simulating an electronic trading environment the method comprising:
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processing market information of a live market corresponding to a tradeable object being traded at an electronic exchange; retrieving the stored market information corresponding to the tradeable object, the retrieved market information corresponding to a next state of market data recorded from the live market at the electronic exchange; maintaining a market order book for the tradeable object, the market order book being updated to reflect the retrieved market information; maintaining a simulated order book that is updated based on order information and fill information being received from a simulated electronic exchange; and in response to the retrieval of the market information, comparing the updated market order book with the simulated order book, and generating at least one trade order to equalize the simulated order book with the updated market order book to reflect the next state of market data in the retrieved market information, and further sending the at least one trade order to the simulated electronic exchange.
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Specification