Patent ID: 7599876

Claim:
A data processing system for use in establishing operating parameters for use in supporting the operations of a securities market by implementing an Electronic Market-Maker, said system comprising a data processor and: a Market Quality Control Module for receiving inputs including trade orders and select market conditions, and based thereon, generating trading recommendations with a primary objective of maintaining market quality; an Inventory Control Module for assessing market conditions and a position of said market maker in one or more select securities, and based thereon generating trading recommendations to adjust inventory levels to enhance market maker position; a Speculation Module for assessing market conditions during past and current time periods, and generating trading recommendations; and an Arbitration Module for receiving trading recommendations from said Market Quality Control Module, Inventory Control Module, and Speculation Control Module, wherein said Arbitration Module resolves any conflicts between said received recommendations and delivers a buy or sell command, wherein said data processing system receives said command and executes one or more trades, and wherein said Market Quality Control Module, Inventory Control Module Speculation Module, Arbitration Module comprise software implemented by said data processor and stored on a computer-readable medium accessible by said data processor.