AUTOMATED SYSTEM FOR ROUTING ORDERS FOR FINANCIAL INSTRUMENTS BASED UPON UNDISCLOSED LIQUIDITY

Title:

AUTOMATED SYSTEM FOR ROUTING ORDERS FOR FINANCIAL INSTRUMENTS BASED UPON UNDISCLOSED LIQUIDITY

Document Type and Number:

WIPO Patent Application WO2004068272

Kind Code:

A3

Abstract:

A computerized system and method for placing orders for financial instruments with an exchange or alternative trading system is provided. In accordance with this embodiment, updated order book information is received from each of a plurality of trade execution entities. An order for a first financial instrument of the plurality of financial instruments is received from a first user. The order includes a first price per unit component, and a first unit quantity. The first unit quantity includes a disclosed liquidity quantity and an undisclosed liquidity quantity. The order, including the disclosed liquidity quantity and the undisclosed liquidity quantity, is sent to a first one of the plurality of trade execution entities for execution. A reciprocal order for the first financial instrument that does not require that the trade execution entity be the first one of the trade execution entities is received from a second user. The reciprocal order includes a second price per unit component, and a second unit quantity, and the first and second price per unit components have overlapping values. As a function of (1) the price per unit value and the disclosed liquidity quantity for the first financial instrument in the updated order book information, and (2) the first price per unit component and the first undisclosed liquidity quantity, the reciprocal order is sent to one of the plurality of trade execution entities.

Inventors:

KORHAMMER RICHARD A (US)
RAFIEYAN KAMREN L (US)
WRIGHT PETER J (US)
CHUTJIAN KEITH P (US)

Application Number:

PCT/US2003/039439

Publication Date:

February 17, 2005

Filing Date:

December 11, 2003

Export Citation:

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Assignee:

LAVA TRADING INC (US)
KORHAMMER RICHARD A (US)
RAFIEYAN KAMREN L (US)
WRIGHT PETER J (US)
CHUTJIAN KEITH P (US)

International Classes:

G06Q40/04; G06F; (IPC1-7): G06F17/60

Foreign References:

US20030018563A1	2003-01-23
US20020128958A1	2002-09-12
US20020147670A1	2002-10-10

Other References: