Systems and methods for direct electronic trading of depositary receipts
AssigneeBNY ConvergEx Group, LLC
InventorAndrew P. Levine
Life of this patent
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Abstract
An electronic DR conversion system includes a DR authority that interfaces with investors through the investor's order management system. When an investor has purchased or sold ordinary shares in a local market and wishes to convert them to, or cancel DRs, the investor can so instruct the DR authority. The DR authority will automatically obtain a foreign exchange rate for the transaction and compute a pass through cost, which is displayed to the investor via their order management system. If the investor accepts the pass through cost, then the DR authority can be configured to automatically issue a plurality of directions to the computer systems of various entities that will be involved in the issuance or cancellation process.
Claims49
A DR authority, comprising:
- a database configured to store information related to the issuance and cancellation of DRs;
- memory configured to store instructions;
- and
- a processor coupled with the memory and the database, the processor configured to execute the instructions, the instructions configured to cause the processor to receive a request related to the issuance or cancellation of certain DRs and to automatically communicate directions to certain computer systems to facilitate the issuance or cancellation of the certain DRs.
A DR authority, comprising:
- a database configured to store information related to the issuance and cancellation of DRs;
- memory configured to store instructions;
- and
- a processor coupled with the memory and the database, the processor configured to execute the instructions, the instructions configured to cause the processor to continuously update information related to the cost of issuing an canceling certain DRs and to display the continuously updated information.
A method for trading in a local market with clearing and settlement in DRs and U.S. dollars, comprising:
- automatically establishing a connection with a foreign exchange dealer authority;
- requesting a foreign exchange rate from the foreign exchange dealer authority;
- receiving a foreign exchange rate quote in response to the foreign exchange rate request;
- and
- automatically determining a pass through cost for the issuance or cancellation of DRs based on the quoted foreign exchange rate and information stored in a database.
Dependencies are inferred from the claim text.