Method and system for providing risk tranches in an investment product
OwnerNicholas Matthew Maounisinventor
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Abstract
A method and system for investing in an investment fund by at least one investor are provided. The method includes defining at least two tranches of the investment fund, each tranche associated with a tranche risk profile. The method includes, for each investor, receiving an investment amount in each tranche. The method includes calculating a profit/loss for each investor based on the investment amounts, the tranche risk profiles and a performance of the investment fund.
Claims24
An investment method, comprising:
- defining a plurality of tranches of an investment product having different risk profiles with respect to a same investment fund;
- offering the plurality of tranches for sale to each of a plurality of investors in the investment product;
- receiving from the investors respective an investment amounts;
- and
- for each of at least one of the investors, in accordance with instructions of the investor, allocating to each of at least two of the plurality of tranches a respective portion of the investment amount of the investor.
An investment method, comprising:
- selling to a plurality of investors in an investment product shares of each of a plurality of tranches of the investment product, the tranches having different assigned risk profiles, wherein at least one share of each of multiple ones of the plurality of tranches is sold to a single one of the plurality of investors;
- for each of the plurality of tranches, receiving for the sale of its shares a respective monetary sum;
- investing a total of the monetary sums as a single investment in at least one investment fund;
- allocating one of a profit and a loss resulting from the investment in the at least one fund to the plurality of tranches in accordance with the assigned risk profiles and in a manner disproportionate to respective percentages of the total to which the respective monetary sums correspond.
A computer system controlling investments in an investment fund by an investor, comprising:
- a memory, the memory configured to store:
- data representing a plurality of tranche risk profiles of a respective plurality of tranches, each associated with a same investment fund;
- and
- for an investor, at least two records, each record (a) indicating a respective position of an investment amount of the investor and (b) associated with a different respective one of the plurality of tranche risk profiles;
- and
- a processor configured to calculate a profitloss for the investor based on the investment amount positions, the tranche risk profiles and a performance of the investment fund.
A computer-readable medium having stored thereon instructions adapted to be executed by a processor, the instructions which when executed cause the processor to perform an investment method, the investment method comprising:
- storing definitions of a plurality of tranches of an investment product having different risk profiles with respect to a same investment fund, the definitions defining the different risk profiles;
- allocating to each of at least two of the plurality of tranches a respective portion of an investment amount of a single one of a plurality of investors in the investment product;
- and
- calculating a profit/loss for the investor based on the investment amount portions, the risk profiles defined by the respective definitions of the at least two tranches, and a performance of the investment fund.
Dependencies are inferred from the claim text.