System and method for management and analysis of electronic trade orders

• US 8,612,335 B2
• Filed: 09/07/2012
• Issued: 12/17/2013
• Est. Priority Date: 03/21/2007
• Status: Active Grant

• Current Assignee: Trading Technologies International, Inc.
• Original Assignee: Trading Technologies International, Inc.
• Inventors: Deitz, Alexander D., Mintz, Sagy P.
• Primary Examiner(s): NIQUETTE, ROBERT R
• Application Number:
  US13/607,061
• Publication Number:
  US 20120330818A1
• Time in Patent Office: 466 Days
• Field of Search: 705 35- 45
• 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 40/03 Credit; Loans; Processing thereof
• 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 and methods are provided for using order descriptor identifiers in relation to orders being used in trading strategies. According to one example method, when a hedge order is submitted upon detecting a fill of another order, the hedge order includes one or more order descriptor identifiers conveying a purpose of the hedge order to a user. The order descriptor identifiers can be used to search for desired orders and perform more effective order management and post trade analysis.

Claims

1. A method comprising:

generating by a computing device an order message for a first order to buy or sell a tradeable object at an electronic exchange, wherein the first order is generated by a first application in response to detecting a fill of a second order;

inserting by the computing device an order descriptor identifier into the generated order message, wherein the order descriptor identifier comprises data that defines an association between the first order and the fill of the second order, and wherein the order descriptor identifier is accessible by a second application that is different from the first application; and

sending by the computing device the order message comprising the order descriptor identifier to the electronic exchange.

2. The method of claim 1, wherein the order descriptor identifier further comprises data defining the first order as a hedge order.

3. The method of claim 1, wherein the order descriptor identifier further comprises data related to the fill of the second order.

4. The method of claim 3, wherein the data related to the fill of the second order comprises at least one of an order identifier associated with the fill, a price at which the second order was filled, a tradeable object associated with the fill, and a time when the second order was filled.

5. The method of claim 1, wherein the order descriptor identifier further comprises data related to a trading strategy associated with the first order and the second order.

6. The method of claim 1, wherein the first order and the second order are generated based on a trading strategy.

7. The method of claim 1, wherein the second order is to buy or sell the tradeable object.

8. The method of claim 1, wherein the second order is to buy or sell a tradeable object that is different from the tradeable object associated with the first order.

9. The method of claim 1, wherein the order descriptor identifier is accessible by the first application.

10. The method of claim 1, further comprising:

receiving a fill for the first order from the electronic exchange, wherein the fill for the first order comprises the order descriptor identifier.

11. A non-transitory computer readable medium having stored therein instructions executable by a processor, wherein the instructions are executable to:

generate an order message for a first order to buy or sell a tradeable object at an electronic exchange, wherein the first order is generated by a first application in response to detecting a fill of a second order;

insert an order descriptor identifier into the generated order message, wherein the order descriptor identifier comprises data that defines an association between the first order and the fill of the second order, and wherein the order descriptor identifier is accessible by a second application that is different from the first application; and

send the order message comprising the order descriptor identifier to the electronic exchange.

12. The computer readable medium of claim 11, wherein the order descriptor identifier further comprises data defining the first order as a hedge order.

13. The computer readable medium of claim 11, wherein the order descriptor identifier further comprises data related to the fill of the second order.

14. The computer readable medium of claim 13, wherein the data related to the fill of the second order comprises at least one of an order identifier associated with the fill, a price at which the second order was filled, a tradeable object associated with the fill, and a time when the second order was filled.

15. The computer readable medium of claim 11, wherein the order descriptor identifier further comprises data related to a trading strategy associated with the first order and the second order.

16. The computer readable medium of claim 11, wherein the first order and the second order are generated based on a trading strategy.

17. The computer readable medium of claim 11, wherein the second order is to buy or sell the tradeable object.

18. The computer readable medium of claim 11, wherein the second order is to buy or sell a tradeable object that is different from the tradeable object associated with the first order.

19. The computer readable medium of claim 11, wherein the order descriptor identifier is accessible by the first application.

20. The computer readable medium of claim 11, wherein the instructions are further executable to:

receive a fill for the first order from the electronic exchange, wherein the fill for the first order comprises the order descriptor identifier.