System and method for generating transaction based recommendations

• US 8,494,946 B2
• Filed: 07/27/2012
• Issued: 07/23/2013
• Est. Priority Date: 01/23/2003
• Status: Active Grant

• Current Assignee: Frank Duane Jr. Lortscher
• Original Assignee: Frank Duane Jr. Lortscher
• Inventors: Lortscher, Frank Duane Jr.
• Primary Examiner(s): Hammond, III, Thomas M
• Application Number:
  US13/560,268
• Publication Number:
  US 20120296849A1
• Time in Patent Office: 361 Days
• Field of Search: 705 35- 45
• US Class Current: 705/36.R
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• 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
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis

Abstract

A system for generating recommendation data includes an assessment unit and an evaluation unit. The assessment unit is configured to receive transaction data for a plurality of transactions and to assess each transaction and generate assessment data based thereon. The evaluation unit is coupled with the assessment unit and configured to receive an evaluation request including a proposed transaction, and generate recommendation data including a certainty indicator which indicates a level of certainty that the proposed transaction will be successful according to predetermined criteria.

Claims

1. In a computer-implemented financial trading system, a method for automatically generating a securities transaction assessment to participants of the financial trading system, comprising:

receiving, by a computer, historical transaction data for a plurality of executed securities transactions over an electronic data network, wherein said historical transaction data includes, for each executed securities transaction, a data element that identifies one or more parties to said transaction;

receiving, by said computer, data identifying a set of one or more possible index fund transactions, said data including, for each of said possible transactions, one or more of the following data elements;

a security name or identification symbol of the index fund, a value or price associated with said possible transaction, a type of said possible transaction, and an identification of a party associated with said possible transaction;

determining, by said computer, a set of relevant executed securities transactions from said plurality of executed securities transactions, wherein the relevance of an executed securities transaction is based on its membership in the set of securities that form the index of one or more of said possible transactions;

calculating, by said computer, for each relevant executed securities transaction of said set of relevant executed securities transactions, a degree of similarity of the executed securities transaction to the one or more possible transactions, wherein the degree of similarity is based upon a plurality of predetermined variables;

generating, by said computer, an assessment of said one or more possible transactions based on the historical transaction data of said set of relevant executed securities transactions, wherein the generation of said assessment includes the weighting of each relevant executed securities transaction based on a level of expertise of the identified party associated with the relevant executed securities transaction and the calculated degree of similarity of the executed securities transaction to the one or more possible transactions, and aggregating the weighted data; and

generating, by said computer, a certainty indicator for the assessment, wherein the certainty indicator indicates a probability that the assessment would meet a participant'"'"'s stated objectives.

2. The method of claim 1, wherein the index fund is defined according to the market industry or sector in which the companies issuing the securities conduct business.

3. The method of claim 1, wherein the index fund is defined according to the market capitalization level of the companies issuing the securities.

4. The method of claim 1, wherein the index fund is defined according to the geographic location of the headquarters of the companies issuing the securities.

5. The method of claim 1, wherein the index fund is defined according to the national economic outlook of the country in which the headquarters of the companies issuing the securities are located.

6. The method of claim 1, wherein the index fund is defined according to at least one of the price-earnings ratio level and trend direction of the companies issuing the securities.

7. A computer-implemented financial trading system for automatically generating a securities transaction assessment to participants of the financial trading system, comprising:

a computer system connected to an electronic data network, said computer system being configured to;

receive, via the electronic data network, historical transaction data for a plurality of executed securities transactions, wherein said historical transaction data includes, for each executed securities transaction, a data element that identifies one or more parties to said transaction;

receive data identifying a set of one or more possible index fund transactions, said data including, for each of said possible transactions, one or more of the following data elements;

a security name or identification symbol of the index fund, a value or price associated with said possible transaction, a type of said possible transaction, and an identification of a party associated with said possible transaction;

determine a set of relevant executed securities transactions from said plurality of executed securities transactions, wherein the relevance of an executed securities transaction is based on its membership in the set of securities that form the index of one or more of said possible transactions;

calculate, for each relevant executed securities transaction of said set of relevant executed securities transactions, a degree of similarity of the executed securities transaction to the one or more possible transactions, wherein the degree of similarity is based upon a plurality of predetermined variables;

generate an assessment of said one or more possible transactions based on the historical transaction data of said set of relevant executed securities transactions, wherein the generation of said assessment includes the weighting of each relevant executed securities transaction based on a level of expertise of the identified party associated with the relevant executed securities transaction and the calculated degree of similarity of the executed securities transaction to the one or more possible transactions, and aggregating the weighted data; and

generate a certainty indicator for the assessment, wherein the certainty indicator indicates a probability that the assessment would meet a participant'"'"'s stated objectives.

8. The computer-implemented financial trading system of claim 7, wherein the index fund is defined according to the market industry or sector in which the companies issuing the securities conduct business.

9. The computer-implemented financial trading system of claim 7, wherein the index fund is defined according to the market capitalization level of the companies issuing the securities.

10. The computer-implemented financial trading system of claim 7, wherein the index fund is defined according to the geographic location of the headquarters of the companies issuing the securities.

11. The computer-implemented financial trading system of claim 7, wherein the index fund is defined according to the national economic outlook of the country in which the headquarters of the companies issuing the securities are located.

12. The computer-implemented financial trading system of claim 7, wherein the index fund is defined according to at least one of the price-earnings ratio level and trend direction of the companies issuing the securities.