System and methods for trading complex financial products

• US 8,639,614 B2
• Filed: 12/29/2006
• Issued: 01/28/2014
• Est. Priority Date: 12/29/2006
• Status: Active Grant

• Current Assignee: The DEBT Exchange Incorporated
• Original Assignee: The DEBT Exchange Incorporated
• Inventors: Greenland, J. Kingsley II, Jakubowski, William J.
• Primary Examiner(s): FELTEN, DANIEL S
• Application Number:
  US11/647,582
• Publication Number:
  US 20080162337A1
• Time in Patent Office: 2,587 Days
• Field of Search: 705/35, 705/38, 235/379
• US Class Current: 705/38
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• 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

Abstract

A system for managing the formation of and transactions relating to a syndicated loan is described which provides an interface for all active and prospective participants of a syndicated loan to interact with the system an each other, thereby making the syndication process more efficient and dynamic. In addition, a trading functionality is incorporated and described herein that creates a market for trading syndicated loans and disseminating information about the loans to other participants in the market.

Claims

1. An automated system for managing syndicated loans, comprising:

a Contact Management and Transaction Surveillance portion accessible to an administrator through a website portal for managing lenders of a syndicated loan and for trading portions of said syndicated loan; and

a Transaction Management portion accessible to the administrator through a website portal for creating and editing transaction information and providing a transaction view for the syndicated loan that includes;

offering details for the syndicated loan including due diligence information associated with the syndicated loan,

transaction metrics including a number of the lenders who have viewed the offering details for the syndicated loan, a reserve price for the syndicated loan, an asking price for the syndicated loan, and a price talk range based on inputs received from the lenders, and

a list of buyers for the syndicated loan including an identity for each lender that is invited to join in the syndicated loan and a trade status for each lender that is based on whether the lender has viewed the due diligence information.

2. The system for managing syndicated loans according to claim 1, wherein the Contact Management and Transaction Surveillance portion is configured to receive information regarding use of the system to access the due diligence information associated with the syndicated loan by the buyers.

3. The system for managing syndicated loans according to claim 1, wherein the Contact Management and Transaction Surveillance portion is configured to retrieve historical participation information related to past syndicated loans associated with the buyers.

4. The system for managing syndicated loans according to claim 1, wherein the Contact Management and Transaction Surveillance portion is configured to log comments from the buyers related to a plurality of syndicated loans that are managed by the system.

5. The system of claim 1, wherein the buyer list further includes an indication of whether each buyer has actually been invited to join in the syndicated loan or is a target for possible invitation to join the syndicate loan.

6. The system of claim 1, wherein the buyer list further includes a date that each buyer was last contacted regarding the syndicated loan.

7. The system of claim 1, wherein selection of a buyer on the buyer list allows viewing of a telephone call history for the buyer that includes comments from traders that have interacted with the buyer.

8. The system of claim 1, wherein selection of a buyer on the buyer list allows viewing of a log of when the buyer has viewed information regarding the syndicated loan.

9. The system of claim 3, wherein the Transaction Management portion further includes a buyer view that includes a number of bids for syndicated loans that have been placed by the buyer that is based on the retrieved historical participation information.

10. The system of claim 9, wherein the buyer view further includes a percentage of bids for syndicated loans that have been won by the buyer.

11. The system of claim 9, wherein the buyer view further includes a number of syndicated loans that have been viewed by the buyer.

12. The system of claim 10, wherein the buyer view further includes a date that the buyer most recently placed a bid for one of the syndicated loans.