Detection of intra-firm matching and response thereto

US11348173B2 · kind B2 · utility

Assignee

• Chicago Mercantile Exchange Inc. · US

Inventors

• Paul Andrew Bauerschmidt · Chicago, US
• Ari Studnitzer · Northbrook, US
• William J. Albert · Arlington Heights, US
• Paul J. Callaway · Chicago, US
• James W. Farrell · Wheaton, US
• A. Shanthi Thiruthuvadoss · Chicago, US

Key dates

• Filing date: Mar 13, 2020
• Grant date: May 31, 2022
• Expiry date: Mar 13, 2040

Classification

• Technology area (CPC G): Physics
• CPC primary: G06Q40/08
• WIPO field: IT methods for management
• WIPO sector: Electrical engineering

Abstract

The disclosed systems and methods relate to allowing trading of over the counter (“OTC”) foreign exchange (“FX”) contracts on a centralized matching and clearing mechanism, such as that of the Chicago Mercantile Exchange's (“CME”'s) futures exchange system (the “Exchange”). The disclosed systems and methods allow for anonymous transactions, centralized clearing, efficient settlement and the provision of risk management/credit screening mechanisms to lower risk, reduce transaction costs and improve the liquidity in the FX market place. In particular, the disclosed embodiments increase speed of execution facilitating growing demand for algorithmic trading, increased price transparency, lower cost of trading, customer to customer trading, and automated asset allocations, recurring trades as well as clearing and settlement efficiencies.