Method and system for executing trades in a user preferred security

• US 7,962,398 B1
• Filed: 09/15/2000
• Issued: 06/14/2011
• Est. Priority Date: 09/15/2000
• Status: Active Grant

• Current Assignee: Charles Schwab Trust Company (Charles Schwab Corporation)
• Original Assignee: Charles Schwab Trust Company (Charles Schwab Corporation)
• Inventors: Ferris, Gregory, Swearingen, Bradley J., Munoz, Richard Jr., Harding, David S., Lewis, Brant C., Mogonye, Gregory Scott, Berber, Philip R.
• Primary Examiner(s): Subramanian; Narayanswamy
• Application Number:
  US09/663,151
• Time in Patent Office: 3,924 Days
• Field of Search: 705 35- 37
• US Class Current: 705/37
• 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 system for executing trades in a user preferred security comprising a server system (12) in communication with a client system (14), a security data source (26) and a trade execution location (30). The security data source (26) provides security data relating to a plurality of securities to the server system (12). The server system (12) analyzes the security data based upon M user specific criteria, and identifies user preferred securities from the plurality of securities and provides the client system (14) with data relating to the user preferred securities. The client system (14) uses N user specific parameters to generate and display an N dimensional graph that is populated with icons representing the user preferred securities. After a user preferred security is selected, the server system (12) routes the order to a trade execution location (30).

Claims

1. A computer readable medium having a sequence of instructions which, when executed by a processing entity, effectuates a trade in a user selected user preferred security, the computer readable medium comprising:

a code segment for identifying user preferred securities from a plurality of securities based upon at least two user specific criteria including at least one criterion related to pricing;

a code segment for generating a graph in which each of the user preferred securities is represented and graphically differentiated from each of the other user preferred securities based upon the values of at least three user specific parameters associated with each of the user preferred securities;

a code segment for receiving a user selection of one of the user preferred securities represented on the graph;

a code segment for associating order parameters with the user selected user preferred security; and

a code segment for sending an order to execute a trade in the user selected user preferred security according to the order parameters.

2. The computer readable medium as recited in claim 1 wherein the at least one criterion related to pricing is one of:

Current Price, High/Low, Open/Close, Daily High/Low Count, 52 Week High/Low, Gap, Change from Close/Open, Change from X Day/Month/YTD Avg Close, X Day/Month/YTD High/Low, 15/60/120 Day SMA, 15/60/120 Day EMA, Rate of Change, 10/30/50 Day RSI, 10/30/50 Day RSI from Close, Bollinger Bands, MACD, 20/40/60 Day Momentum, 20/40/60 Day Momentum from Close, Money Flow, Money Flow (%), Williams % R, PE Ratio, and Market Cap.

3. The computer readable medium as recited in claim 1 wherein the code segment for associating order parameters with the selected user preferred security further comprises a code segment for associating a number of shares, a price and an execution location with the user selected user preferred security.

4. The computer readable medium as recited in claim 1 further comprising a code segment for preloading the order parameters prior to receiving the user selection of one of the user preferred securities represented on the graph.

5. The computer readable medium as recited in claim 1 wherein the code segment for sending an order to execute a trade in the user selected user preferred security further comprises a code segment for sending an order selected from the group comprising a buy order, a sell order, a short order and a cancel order.

6. The computer readable medium as recited in claim 1 further comprising a code segment for performing compliance analysis on the order.

7. The computer readable medium as recited in claim 1 further comprising a code segment for storing information relating to the order in a database.

8. The computer readable medium as recited in claim 1 further comprising a code segment for receiving a continuously updated stream of security data, including level one, level two and time and sales data, relating to the plurality of securities.

9. The computer readable medium as recited in claim 1 further comprising a code segment for receiving a continuously updated stream of security data, including at least one of fundamental data and analytical data, relating to the plurality of securities.

10. The computer readable medium as recited in claim 1 wherein code segment for generating a graph comprises a code segment for displaying a three dimensional coordinate system having mutually perpendicular axes intersecting at a common origin and representing the user preferred securities as visually distinct graphical icons located within the coordinate system at positions representative of the values of each of the user preferred securities.

11. The computer readable medium as recited in claim 10 wherein the code segment for generating a graph further comprises a code segment for altering characteristics of the visually distinct graphical icons to represent dimensions greater than 3.

12. The computer readable medium as recited in claim 1 wherein each of the user specific criteria is different from each of the user specific parameters.

13. The computer readable medium as recited in claim 1 wherein the user specific criteria and the user specific parameters are the same.

14. The computer readable medium as recited in claim 1 wherein at least one of the user specific criteria is different from any of the user specific parameters.

15. The computer readable medium as recited in claim 1 wherein at least one of the user specific criteria is the same as one of the user specific parameters.

16. A computer readable medium having a sequence of instructions which when executed by a processing entity, effectuates a trade in a user selected user preferred security, the computer readable medium comprising:

a code segment for receiving security data for a plurality of securities from a security data source;

a code segment for receiving from a user at least two user specific criteria including at least one criterion related to pricing;

a code segment for automatically identifying within the plurality of securities at least two user preferred securities conforming to the user specific criteria received from the user;

a code segment for receiving at least first, second and third user specific parameters from the user;

a code segment for generating a graph having first, second and third mutually-orthogonal axes intersecting at a common origin;

a code segment for plotting each of the user preferred securities as an icon on the graph at a coordinate corresponding to the value of the first parameter of that user preferred security along the first axis, corresponding to the value of the second parameter of that user preferred security along the second axis and corresponding to the value of the third parameter of that user preferred security along the third axis, thereby representing and graphically differentiating the user preferred securities from one another;

a code segment for receiving a user selection of one of the user preferred securities represented on the graph;

a code segment for associating order parameters with the user selected user preferred security; and

a code segment for sending an order to execute a trade in the user selected user preferred security according to the order parameters.

17. A system for enabling a trade in a user selected user preferred security, the system comprising:

means for identifying user preferred securities from a plurality of securities based upon at least two user specific criteria including at least one criterion related to pricing;

means for generating a graph in which each of the user preferred securities is represented and graphically differentiated from each of the other user preferred securities based upon the values of at least three user specific parameters associated with each of the user preferred securities;

means for receiving a user selection of one of the user preferred securities represented on the graph;

means for associating order parameters with the user selected user preferred security; and

means for sending an order to execute a trade in the user selected user preferred security according to the order parameters.

18. The system as recited in claim 17 wherein the at least one criterion related to pricing is one of:

Current Price, High/Low, Open/Close, Daily High/Low Count, 52 Week High/Low, Gap, Change from Close/Open, Change from X Day/Month/YTD Avg Close, X Day/Month/YTD High/Low, 15/60/120 Day SMA, 15/60/120 Day EMA, Rate of Change, 10/30/50 Day RSI, 10/30/50 Day RSI from Close, Bollinger sands, MACD, 20/40/60 Day Momentum, 20/40/60 Day Momentum from Close, Money Flow, Money Flow (%), Williams % R, PE Ratio, and Market Cap.

19. The system as recited in claim 17 wherein the means for associating order parameters with the selected user preferred security further comprises means for associating a number of shares, a price and an execution location with the user selected user preferred security.

20. The system as recited in claim 17 further comprising means for preloading the order parameters prior to the selection of one of the user preferred securities represented on the graph.

21. The system as recited in claim 17 wherein the means for sending an order to execute a trade in the user selected user preferred security further comprises means for sending an order selected from the group comprising a buy order, a sell order, a short order and a cancel order.

22. The system as recited in claim 17 further comprising means for performing compliance analysis on the order.

23. The system as recited in claim 17 further comprising means for storing information relating to the order in a database.

24. The system as recited in claim 17 further comprising means for receiving a continuously updated stream of security data, including level one, level two and time and sales data, relating to the plurality of securities.

25. The system as recited in claim 17 further comprising means for receiving a continuously updated stream of security data, including at least one of fundamental data and analytical data, relating to the plurality of securities.

26. The system as recited in claim 17 wherein means for generating a graph comprises means for displaying a three dimensional coordinate system having mutually perpendicular axes intersecting at a common origin and representing the user preferred securities as visually distinct graphical icons located within the coordinate system at positions representative of the values of each of the user preferred securities.

27. The system as recited in claim 26 wherein the means for generating a graph further comprises means for altering characteristics of the visually distinct graphical icons to represent dimensions greater than 3.

28. The system as recited in claim 17 wherein each of the user specific criteria is different from each of the user specific parameters.

29. The system as recited in claim 17 wherein the user specific criteria and the user specific parameters are the same.

30. The system as recited in claim 17 wherein at least one of the user specific criteria is different from any of the user specific parameters.

31. The system as recited in claim 17 wherein at least one of the user specific criteria is the same as one of the user specific parameters.

32. A system for enabling a trade in a user selected user preferred security, the system comprising:

means for receiving security data for a plurality of securities from a security data source;

means for receiving from a user at least two user specific criteria including at least one criterion related to pricing;

means for automatically identifying within the plurality of securities at least two user preferred securities conforming to the user specific criteria received from the user;

means for receiving at least first, second and third user specific parameters from the user;

means for generating a graph having first, second and third mutually-orthogonal axes intersecting at a common origin;

means for plotting each of the user preferred securities as an icon on the graph at a coordinate corresponding to the value of the first parameter of that user preferred security along the first axis, corresponding to the value of the second parameter of that user preferred security along the second axis and corresponding to the value of the third parameter of that user preferred security along the third axis, thereby representing and graphically differentiating the user preferred securities from one another;

means for receiving a user selection of one of the user preferred securities represented on the graph;

means for associating order parameters with the user selected user preferred security; and

means for sending an order to execute a trade in the user selected user preferred security according to the order parameters.