Method and system for providing option spread indicative quotes
First Claim
1. A computer implemented method for minimizing communications bandwidth among parties trading derivatives using computers, the method comprising:
- (a) receiving, by a network computer, via a network, market data, the market data representative of a state of a market for a plurality of products;
(b) receiving, by the network computer, via the network, quote data from at least one market maker computer, the quote data operative to facilitate derivation, by the network computer, of at least one indicative quote for at least a subset of the plurality of products;
(c) generating, by the network computer, a plurality of indicative quotes for the subset of the plurality of products based on the market data and the quote data, and transmitting the plurality of indicative quotes to a subscriber computer via the network; and
(d) facilitating, by the network computer, the subscriber computer to generate a request for actionable quote for at least one product of the subset of the plurality of products based on the plurality of quotes and transmit the request for actionable quote to all of the at least one market maker computer via the network, each of the at least one market maker computer being responsive thereto to generate an actionable quote in response to the request for actionable quote and transmit the actionable quote back to the subscriber computer via the network wherein the subscriber computer may generate an order based on the actionable quote.
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Accused Products
Abstract
A computer network and method for electronically trading combinations of derivatives. One preferred method of trading includes providing quotes information to a central server, and determining indicative quotes for combination trades, and providing the non-binding, indicative quotes to market participants (which typically includes subscribers, but may also include market makers). A participant may then submit an e-RFQ, which is a request for a binding quote for the combination of derivatives. Market Makers may then elect to submit a binding quote for the corresponding derivative combination. Market participants may then elect to enter a binding order.
73 Citations
8 Claims
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1. A computer implemented method for minimizing communications bandwidth among parties trading derivatives using computers, the method comprising:
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(a) receiving, by a network computer, via a network, market data, the market data representative of a state of a market for a plurality of products; (b) receiving, by the network computer, via the network, quote data from at least one market maker computer, the quote data operative to facilitate derivation, by the network computer, of at least one indicative quote for at least a subset of the plurality of products; (c) generating, by the network computer, a plurality of indicative quotes for the subset of the plurality of products based on the market data and the quote data, and transmitting the plurality of indicative quotes to a subscriber computer via the network; and (d) facilitating, by the network computer, the subscriber computer to generate a request for actionable quote for at least one product of the subset of the plurality of products based on the plurality of quotes and transmit the request for actionable quote to all of the at least one market maker computer via the network, each of the at least one market maker computer being responsive thereto to generate an actionable quote in response to the request for actionable quote and transmit the actionable quote back to the subscriber computer via the network wherein the subscriber computer may generate an order based on the actionable quote. - View Dependent Claims (2, 3, 4, 5, 6, 7, 8)
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Specification