System and Method for Market Research Based on Financial Exchange

• US 20060173761A1
• Filed: 04/17/2006
• Published: 08/03/2006
• Est. Priority Date: 03/25/1996
• Status: Abandoned Application

• Current Assignee: CFPH LLC (Cantor Fitzgerald, L.P.)
• Original Assignee: CFPH LLC (Cantor Fitzgerald, L.P.)
• Inventors: Costakis, Alexander M.
• Application Number:
  US11/279,997
• Publication Number:
  US 20060173761A1
• Time in Patent Office: Days
• US Class Current: 705/35
• 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

Abstract

A system for trading a plurality of derivative financial instruments comprises a processor operable to receive a first order to buy a derivative financial instrument representing at least one product. The processor is further operable to receive a second order to sell the derivative financial instrument. The processor is further operable to determine a market price based at least in part on the first order and the second order. The processor is further operable to execute a trade at the determined market price. The processor is further operable to generate market data associated with the at least one product, the market data based at least in part on the first order and/or the second order. The system further comprises a memory operable to store the first order and/or the second order.

Claims

1. A system for trading a plurality of derivative financial instruments, comprising:

a processor operable to;

receive a first order to buy a derivative financial instrument representing at least one product, wherein the at least one product is at least one of the following;

a pharmaceutical;

a manufactured product; and

a service;

receive a second order to sell the derivative financial instrument;

determine a market price based at least in part on the first order and the second order;

execute a trade at the determined market price; and

generate market data associated with the at least one product, the market data based at least in part on the executed trade; and

a memory operable to store the first order and/or the second order.

2. The system of claim 1, wherein:

the derivative financial instrument is associated with an initial price; and

the initial price is based at least in part on an attribute of the at least one product.

3. The system of claim 1, wherein the processor is further operable to adjust the market price associated with the derivative financial instrument, the adjustment based at least in part on a result associated with the at least one product.

4. The system of claim 3, wherein:

the at least one product is under review for approval; and

the result is associated with the review for approval.

5. The system of claim 3, wherein the result is associated with safety testing of the at least one product.

6. The system of claim 3, wherein the result is associated with performance testing of the at least one product.

7. The system of claim 3, wherein the result is associated with one or more sales of the at least one product.

8. The system of claim 1, wherein the processor is further operable to:

compare a portfolio of derivative financial instruments associated with a first trader against a portfolio of derivative financial instruments associated with a second trader; and

determine a winning trader, the determination based a least in part on the comparison.

9. The system of claim 1, wherein:

the first order was received from a first trader, the first trader associated with a first account of electronic currency; and

the second order was received from a second trader, the second trader associated with a second account of electronic currency; and

the processor is further operable to;

debit the first account according to the executed trade; and

credit the second account with proceeds of the executed trade.

10. A method for trading a plurality of derivative financial instruments, comprising:

receiving a first order to buy a derivative financial instrument representing at least one product, wherein the at least one product is at least one of the following;

a pharmaceutical;

a manufactured product; and

a service;

receiving a second order to sell the derivative financial instrument;

determining a market price based at least in part on the first order and the second order;

executing a trade at the determined market price; and

generating market data associated with the at least one product, the market data based at least in part on the executed trade.

11. The method of claim 10, wherein:

the derivative financial instrument is associated with an initial price; and

the initial price is based at least in part on an attribute of the at least one product.

12. The method of claim 10, further comprising adjusting the market price associated with the derivative financial instrument, the adjustment based at least in part on a result associated with the at least one product.

13. The method of claim 12, wherein:

the at least one product is under review for approval; and

the result is associated with the review for approval.

14. The method of claim 12, wherein the result is associated with safety testing of the at least one product.

15. The method of claim 12, wherein the result is associated with performance testing of the at least one product.

16. The method of claim 12, wherein the result is associated with one or more sales of the at least one product.

17. The method of claim 10, further comprising:

comparing a portfolio of derivative financial instruments associated with a first trader against a portfolio of derivative financial instruments associated with a second trader; and

determining a winning trader, the determination based a least in part on the comparison.

18. The method of claim 10, wherein:

the first order was received from a first trader, the first trader associated with a first account of electronic currency; and

the second order was received from a second trader, the second trader associated with a second account of electronic currency;

and further comprising;

debiting the first account according to the executed trade; and

crediting the second account with proceeds of the executed trade.

19. Logic for trading a plurality of derivative financial instruments, the logic encoded in computer-readable media and operable when executed to:

receive a first order to buy a derivative financial instrument representing at least one product, wherein the at least one product is at least one of the following;

a pharmaceutical;

a manufactured product; and

a service;

receive a second order to sell the derivative financial instrument;

determine a market price based at least in part on the first order and the second order;

execute a trade at the determined market price; and

generate market data associated with the at least one product, the market data based at least in part on the executed trade.

20. The logic of claim 19, wherein:

the derivative financial instrument is associated with an initial price; and

the initial price is based at least in part on an attribute of the at least one product.

21. The logic of claim 19, wherein the logic is further operable when executed to adjust the market price associated with the derivative financial instrument, the adjustment based at least in part on a result associated with the at least one product.

22. The logic of claim 21, wherein:

the at least one product is under review for approval; and

the result is associated with the review for approval.

23. The logic of claim 21, wherein the result is associated with safety testing of the at least one product.

24. The logic of claim 21, wherein the result is associated with performance testing of the at least one product.

25. The logic of claim 21, wherein the result is associated with one or more sales of the at least one product.

26. The logic of claim 19, wherein the logic is further operable when executed to:

compare a portfolio of derivative financial instruments associated with a first trader against a portfolio of derivative financial instruments associated with a second trader; and

determine a winning trader, the determination based a least in part on the comparison.

27. The logic of claim 19, wherein:

the first order was received from a first trader, the first trader associated with a first account of electronic currency; and

the second order was received from a second trader, the second trader associated with a second account of electronic currency; and

the logic is further operable when executed to;

debit the first account according to the executed trade; and

credit the second account with proceeds of the executed trade.

28. A system for trading a plurality of derivative financial instruments, comprising:

a processor operable to;

receive a first order to buy a derivative financial instrument representing at least one product;

receive a second order to sell the derivative financial instrument;

determine a market price based at least in part on the first order and the second order;

execute a trade at the determined market price; and

generate market data associated with the at least one product, the market data based at least in part on the first order and/or the second order; and

a memory operable to store the first order and/or the second order.

29. A system for trading a plurality of derivative financial instruments, comprising:

a processor operable to;

receive a first order to buy a derivative financial instrument associated with an event;

receive a second order to sell the derivative financial instrument;

determine a market price based at least in part on the first order and the second order;

execute a trade at the determined market price; and

generate opinion data associated with the event, the opinion data based at least in part on the executed trade; and

a memory operable to store the first order and/or the second order.

30. The system of claim 29, wherein:

the event is an election; and

the derivative financial instrument represents a candidate associated with the election.

31. The system of claim 29, wherein:

the event is an investigation; and

the derivative financial instrument represent a public figure associated with the investigation.

32. The system of claim 29, wherein:

the event is a military action; and

the derivative financial instrument represents a potential result of the military action.

33. The system of claim 29, wherein:

the derivative financial instrument is associated with an initial price; and

the initial price is based at least in part on an attribute of the event.

34. The system of claim 29, wherein the processor is further operable to adjust the market price associated with the derivative financial instrument, the adjustment based at least in part on a result associated with the event.

35. The system of claim 29, wherein the processor is further operable to:

compare a portfolio of derivative financial instruments associated with a first trader against a portfolio of derivative financial instruments associated with a second trader; and

determine a winning trader, the determination based a least in part on the comparison.

36. The system of claim 29, wherein:

the first order was received from a first trader, the first trader associated with a first account of electronic currency;

the second order was received from a second trader, the second trader associated with a second account of electronic currency; and

the processor is further operable to;

debit the first account according to the executed trade; and

credit the second account with proceeds of the executed trade.

37. A method for trading a plurality of derivative financial instruments, comprising:

receiving a first order to buy a derivative financial instrument associated with an event;

receiving a second order to sell the derivative financial instrument;

determining a market price based at least in part on the first order and the second order;

executing a trade at the determined market price; and

generating opinion data associated with the event, the opinion data based at least in part on the executed trade.

38. The method of claim 37, wherein:

the event is an election; and

the derivative financial instrument represents a candidate associated with the election.

39. The method of claim 37, wherein:

the event is an investigation; and

the derivative financial instrument represent a public figure associated with the investigation.

40. The method of claim 37, wherein:

the event is a military action; and

the derivative financial instrument represents a potential result of the military action.

41. The method of claim 37, wherein:

the derivative financial instrument is associated with an initial price; and

the initial price is based at least in part on an attribute of the event.

42. The method of claim 37, further comprising adjusting the market price associated with the derivative financial instrument, the adjustment based at least in part on a result associated with the event.

43. The method of claim 37, further comprising:

comparing a portfolio of derivative financial instruments associated with a first trader against a portfolio of derivative financial instruments associated with a second trader; and

determining a winning trader, the determination based a least in part on the comparison.

44. The method of claim 37, wherein:

the first order was received from a first trader, the first trader associated with a first account of electronic currency; and

the second order was received from a second trader, the second trader associated with a second account of electronic currency;

and further comprising;

debiting the first account according to the executed trade; and

crediting the second account with proceeds of the executed trade.

45. Logic for trading a plurality of derivative financial instruments, the logic encoded in computer-readable media and operable when executed to:

receive a first order to buy a derivative financial instrument associated with an event;

receive a second order to sell the derivative financial instrument;

determine a market price based at least in part on the first order and the second order;

execute a trade at the determined market price; and

generate opinion data associated with the event, the opinion data based at least in part on the executed trade.

46. The logic of claim 45, wherein:

the event is an election; and

the derivative financial instrument represents a candidate associated with the election.

47. The logic of claim 45, wherein:

the event is an investigation; and

the derivative financial instrument represent a public figure associated with the investigation.

48. The logic of claim 45, wherein:

the event is a military action; and

the derivative financial instrument represents a potential result of the military action.

49. The logic of claim 45, wherein:

the derivative financial instrument is associated with an initial price; and

the initial price is based at least in part on an attribute of the event.

50. The logic of claim 45, wherein the logic is further operable when executed to adjust the market price associated with the derivative financial instrument, the adjustment based at least in part on a result associated with the event.

51. The logic of claim 45, wherein the logic is further operable when executed to:

compare a portfolio of derivative financial instruments associated with a first trader against a portfolio of derivative financial instruments associated with a second trader; and

determine a winning trader, the determination based a least in part on the comparison.

52. The logic of claim 45, wherein:

the first order was received from a first trader, the first trader associated with a first account of electronic currency;

the second order was received from a second trader, the second trader associated with a second account of electronic currency; and

the logic is further operable when executed to;

debit the first account according to the executed trade; and

credit the second account with proceeds of the executed trade.