Facilitation of payments between counterparties by a central counterparty

US9317885B2 · kind B2 · utility

Assignee

• Chicago Mercantile Exchange Inc. · US

Inventors

• John Labuszewski · Westmont, US
• John Nyhoff · Darien, US
• David Boberski · Westport, US
• Mike Kamradt · Chicago, US
• Roberta Paffaro · São Paulo, BR
• Edward Gogol · Skokie, US
• John Wiley · New York, US
• Richard Co · Chicago, US
• Steve Youngren · Elgin, US

Key dates

• Filing date: Dec 17, 2014
• Grant date: Apr 19, 2016
• Expiry date: Dec 17, 2034

Classification

• Technology area (CPC G): Physics
• CPC primary: G06Q40/00
• WIPO field: IT methods for management
• WIPO sector: Electrical engineering

Abstract

A system for moving money between accounts of traders by a central counterparty to facilitate payments, i.e. the movement of funds, there between is disclosed which provides a flexible mechanism which supports simpler accounting, new types of derivatives contracts as well new types fees. The disclosed futures contract, referred to as a “payer” contract, comprises a “no-uncertainty” futures contract, i.e. the initial value and settlement value parameters are defined, that leverages the mechanisms of the clearing system to, for example, accommodate related payments. Accordingly, a 1-to-many relationship between contracts and prices is provided whereby each price component may be assigned its own payer contract. The function of the payer contract may be to guarantee the movement of money from related positions. In one embodiment, payer contracts are dynamically created whenever a payment is needed.