Patent TW-200739441-A (TW)
Title: Method for conducting online financial transaction using competitive bidding mechanism for private mutual fund in segmentation type
Inventor: Jian yong-song
IPC: G06Q40/00
Filed: 2006-04-03
Abstract: The present invention relates to a method for conducting online financial transaction using a competitive bidding mechanism for private mutual fund in segmentation type. This method employs a management server via Internet to accept the membership application, and dynamically checks the member's credit record for setting a credit limit. The management server establishes the transaction portfolio and terms (12, 24, 36 terms for different groups) for each member. Each member, according to his/her approved credit limit, attends a suitable transaction portfolio and participates competitive bidding activities. This method employs the management server to divide the amount of $U of the private mutual funds each term into small amounts, P total units, for the established transaction portfolio. Each member can select at most a subscript P bidding fund or selects a subscript partial unit of the bidding fund. After the bid opening, it sequentially chooses P high bidding fund as a bidding winner. Then, the management server remits each member's fund to the winning bidder in a predetermined time. By using the mentioned above competitive bidding mechanism for private mutual fund in segmentation type; the member who only has partial funds demand, can win a bid to get required funds via a subscript partial unit. The remaining un-winning bidding fund can be saved for earning an interest. This method has both savings, financing and financial management functions. It is a direct financial transaction method for shortening the distance between loaners and borrowers. The member who win a partial fund in the same term, has financiers' and depositors' identity with the characteristics of the integration of saving and lending. Members can free decide to choose the transaction portfolio's group. They can decide how to obtain their required funds, what interest that expects to pay, and decide the subscript bidding fund. By means of getting funds of partial segmentation unit to achieve a partial financial and partial saving effects to have the characteristics of the integration of saving and lending with financiers' and depositors' identity. The financier can directly pay bidding fund interest to the depositor. For business, the competitive bidding mechanism for the private mutual fund in segmentation type disperses the funding amount of the winning bidder in each term. It can attract potential customers and disperse credit risk for current winning bidders. Also can increase a transaction portfolio for a high bidding amount or a large number of groups; it is equivalent to consolidate the merge of a lot of small transaction portfolios to simplify and improve the efficiency of the financial management. Like the methods mentioned above, the present invention can increase the effectiveness of online financing, savings, financial benefits and financial management, improve each participant's bidding wishes and investment income, greatly improve the flexibility of the direct financial transaction commodity further to enhance the wider acceptance for the financial products in the market.