Patent ID: 8515858
Filing Date: 2013-08-20
Classification: G06Q

Abstract:
1. An automated exchange configured to receive a message comprising an order to buy or sell a financial instrument, the message further comprising an order-specific parameter for the financial instrument and information about a risk entity linked to the received order, the automated exchange comprising: a memory configured to store maximum risk exposure parameters for each risk entity which is associated with the automated exchange, the memory further being configured to store risk validated, but unmatched, orders in an order book; the memory being operatively coupled to; a processing logic comprising: a data retrieval module configured to retrieve a maximum risk exposure parameter, for the risk entity linked to the received order, from the memory; a comparator module configured to compare the retrieved maximum risk exposure parameter with an aggregated risk value comprising a sum of previously, in the order book, stored order-specific parameters for the risk entity linked to the received order, the received order-specific parameter, and a net sum of intraday trades of said risk entity; and a control module configured to acknowledge, before matching the received order with orders previously stored in the order book, that the order is risk validated if the aggregated risk value does not exceed the retrieved maximum risk exposure parameter.