Patent ID: 7840481

Claim:
A method for generating an indication-of-interest (“IOI”) with respect to a particular security in an Pass-Through Alternative Trading System (“ATS”), and transacting upon contra-flow with respect to said Indication of Interest (“IOI”), said method comprising the steps of: obtaining by said ATS at least one order to buy or sell a specified amount of a security within a price range, wherein said at least one order has an ultimate destination other than the ATS initially receiving said at least one order and wherein said at least one order is a pass-through order or immediate execution order; allowing at said ATS said at least one order to age for a period of time before passing said at least one order to its ultimate destination or canceling said at least one order and aggregating said at least one aged order with other orders during said aging period; when said aggregated aged orders meet a preset trade amount for the security and is executable within a spread favorable to the ATS, the ATS generating, at time x, an IOI to buy or sell the specified amount of the security within the price range; transmitting the IOI to at least one ATS IOI subscriber; and upon receipt of a contra-flow order responding to the IOI transmitted, transacting at a time y upon at least a portion of the IOI during the aging period if the spread is favorable to the ATS, and canceling any remaining portion of the IOI not transacted upon during the aging period.