System and method for automated commodities transactions including an automatic hedging function

US7418423B2 · kind B2 · utility

Assignee

• Farm Technology, LLC · US

Inventors

• Gary Reding · Minnetonka, US
• Kent Beadle · Hudson, US
• Chris Nikkel · Minneapolis, US
• Mark Schulze · Austin, US
• Walker Humphries · Edina, US
• Dave Womeldorf · Lakeville, US
• David William Clark · Chatswood, AU
• Scott Cerreta · Framingham, US
• Carl Ozkaynak · Quincy, US
• Julia Argentina Granada Rodriguez · Waltham, US

Key dates

• Filing date: Jun 17, 2004
• Grant date: Aug 26, 2008
• Expiry date: Feb 24, 2027

Classification

• Technology area (CPC G): Physics
• CPC primary: G06Q40/06
• WIPO field: IT methods for management
• WIPO sector: Electrical engineering

Abstract

An integrated virtual market is provided that facilitates communication between the producers of a given commodity and the parties wishing to purchase such commodities. This system provides real-time updated information about local pricing being offered by those purchasers. In addition, those producers can post offers that can automatically be accepted by purchasers and have contracts automatically generated. An important consideration from a purchaser's prospective is minimizing the risk associated with making such transactions. Due to this, futures contracts are often obtained. The virtual market system of the present inventions automatically requests and obtains futures contracts to hedge the contracts being generated.