Patent ID: 8200564

Claim:
A method for creating an equity exchange fund over a computer network, the method comprising the steps of: receiving, by a server coupled to the computer network, an application to participate in the fund from at least one investor via a client application, the at least one investor having a position in at least one commercial entity; evaluating, by the server, the at least one commercial entity based on at least one predetermined financial performance criteria; if the at least one commercial entity is acceptable, performing, by the server, a valuation of the position in the at least one commercial entity; calculating a composite score from a plurality of criteria and financial information of the at least one commercial entity and comparing the composite score to a predetermined threshold; issuing, by the server, a determined number of shares of the fund in exchange for the position in the at least one commercial entity without requiring the at least one investor to sell the position, wherein the position in the at least one commercial entity is sold and reinvested by the fund; crediting, by the server, a cash value to the at least one investor at the date of deposit, the cash value equaling the determined number of shares times a value per share of the fund at the date of deposit; and wherein the number of shares to be exchanged is determined based on the future value of the position, total current fund value, number of overall fund shares, interest rate, and number of years to liquidate the fund.