Patent ID: 7340430
Filing Date: 2008-03-04
Classification: G06Q

Abstract:
1. An automated method for managing risk associated with providing real-time trading services, comprising the automated steps of: receiving a plurality of dealing price quotes previously provided in response to client requests, each of said plurality of dealing price quotes being an offer from a financial institution to perform a trade in a security or a derivative and having a limited duration for acceptance, the plurality of dealing price quotes comprising expired dealing price quotes and pending dealing price quotes that are not expired; proactively calculating individual risk exposures to the financial institution resulting from potential trades in securities or derivatives associated with each of said pending dealing price quotes during said respective durations, each of said individual risk exposures being calculated using real time pricing information of a corresponding security or derivative; calculating a total risk exposure to the financial institution based on said individual risk exposures of said pending dealing price quotes; and subsequent to calculation of said total risk exposure, adjusting a next dealing price quote being offered in response to a next client request based on said total risk exposure in order to reduce the total risk exposure to the financial institution.