Securities brokerage-cash management system obviating float costs by anticipatory liquidation of short term assets
First Claim
1. In combination in a system for processing and supervising a plurality of composite subscriber central assets accounts each comprising a margin brokerage account, customer implemented expenditure means administered by a first institution, and participation in at least one short term investment, said system including brokerage account data file means for storing current information characterizing each subscriber margin brokerage account, funds requirement means for communicating the amount of current charges encountered by said first institution without attribution to specific customer accounts, data receiving and verifying means for receiving and verifying customer implemented expenditures from said first institution, short term investment updating means responsive to said brokerage account data file means and said information storing and verifying means for selectively generating short term investment transactions as required to generate and invest proceeds for subscribers'"'"' accounts, and means responsive to the amount of funds communicated by said funds requirement means for selectively liquidating short term investment assets without attribution to specific customer accounts.
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Accused Products
Abstract
Data processing for an improved securities brokerage/cash management system supervises, implements and coordinates a margin securities brokerage account; a participation in one or more short term money market or comparable funds; and subscriber-initiated use of electronically responsive subscriber identity credit/debit media and/or checking systems. Subscriber expenditures, effected as by "charge card" check and/or cash advance are applied on a hierarchal basis, seriatim, against the subscriber'"'"'s free credit balance, short term investment and the lendable equity in his securities account. On a periodic basis, e.g., daily, received card charges, check, securities and deposit transactions for the ensemble of account participants are verified and employed to compute an updated credit limit for each subscriber. The short term investment position of each account is modified as necessary to permit money market or comparable earned yields on the account free credit cash balance.
In accordance with one aspect of the present invention, daily funds demands for the totality of subscribers are satisfied by predicting and executing money funds sales requirements prior to completing individual account data processing before definitive per-account information becomes available. This substantially eliminates the time-interest cost of system float, i.e., money paid by the system proprietor to satisfy customer expenditures while subscriber accounts continue to earn unwarranted interest.
493 Citations
11 Claims
- 1. In combination in a system for processing and supervising a plurality of composite subscriber central assets accounts each comprising a margin brokerage account, customer implemented expenditure means administered by a first institution, and participation in at least one short term investment, said system including brokerage account data file means for storing current information characterizing each subscriber margin brokerage account, funds requirement means for communicating the amount of current charges encountered by said first institution without attribution to specific customer accounts, data receiving and verifying means for receiving and verifying customer implemented expenditures from said first institution, short term investment updating means responsive to said brokerage account data file means and said information storing and verifying means for selectively generating short term investment transactions as required to generate and invest proceeds for subscribers'"'"' accounts, and means responsive to the amount of funds communicated by said funds requirement means for selectively liquidating short term investment assets without attribution to specific customer accounts.
Specification