Patent ID: 7379911

Claim:
A system for executing trades in a market for trading hedged instruments, the system comprising: one or more participant interfaces each programmed to electronically transmit orders from a market participant to a trading platform; the trading platform programmed to: receive an order from a participant interface; undertake a plurality of positions in at least a first tradable instrument and a second tradable instrument for an instrument provider; in response to receiving the order from the participant interface, execute a sale of a hedged instrument between the instrument provider and a market participant based, at least in part, on information in the order, wherein the value of the hedged instrument is based at least on: a first position on the first tradable instrument, wherein the first position comprises a long position on a first bond; and a second position on the second tradable instrument, the second position being contrary to the first position, wherein the second position comprises a short position on a second bond issued by a same corporation as the first bond and having a different maturity date from the first bond, and wherein the trading platform is operable to execute the sale without the market participant acquiring a position in either of the first tradable instrument and the second tradable instrument.