System and method for pricing and allocation of commodities or securities

US7415436B1 · kind B1 · utility

Assignee

• W.R. Hambrecht + Co., LLC · US

Inventors

• Michael H. Evelyn · Far Hills, US
• Robert Goldberg · Brookville, US
• Jordan M. Hayes · Berkeley, US
• Cliff M. Gerrish · San Francisco, US
• Othar Hansson · Sunnyvale, US
• Charles A. Ocheret · Scarsdale, US

Key dates

• Filing date: Sep 21, 2000
• Grant date: Aug 19, 2008
• Expiry date: Aug 15, 2023

Classification

• Technology area (CPC G): Physics
• CPC primary: G06Q50/188
• WIPO field: IT methods for management
• WIPO sector: Electrical engineering

Abstract

The present invention provides an economical, high performance, adaptable system and method (designated “the OpenBook system”) for conducting an auction of debt securities to institutional and individual investors on the Web. In the OpenBook system auction: (1) Bidders are rewarded for anonymously revealing their bids early; (2) All winners pay a single market-clearing price that sells out the securities; and (3) All participants can monitor the auction in real time. The OpenBook system thus creates a transparent and low-cost new issue market; offers all bidders equal access to securities; and gives both investors and issuers a “seat on the syndicate desk.”