System and method for changing order priority levels in an electronic trading environment
AssigneeTrading Technologies International, Inc.
InventorFred Monroe
Life of this patent
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Abstract
A system and method for fee-based order priority level modification in an electronic trading environment are described. When an order reaches an exchange, a priority level of the order may be changed to a higher priority level, and the priority level of the order initially at the higher priority level may be changed to a lower priority level of the received order. In one embodiment, a trader who is gaining a higher priority level will be preferably charged a fee for having his order moved to the higher priority level, and at least a portion of that fee may be paid to a trader who is giving up his high priority level.
Claims20
A method for changing priority levels of orders in an electronic trading environment, the method comprising:
- receiving, via a computing device having a processor, a first order to trade a first quantity of a tradeable object at a price via an electronic exchange, the first order including a first user-identified priority for the order;
- and
- sorting, via the computing device, the first order in an order book for the tradeable object at the electronic exchange according to the price and the first user-identified priority, where the first order is arranged into an order queue for order matching by the electronic exchange according to a match algorithm of the electronic exchange and prioritized within the order queue according to the first user-identified priority and a second user-identified priority of a second order.
A computer readable medium having computer-executable instructions stored thereon, which when executed by a processor cause the processor to perform acts comprising:
- receiving, via a computing device having a processor, a first order to trade a first quantity of a tradeable object at a price via an electronic exchange, the first order including a first user-identified priority for the order;
- and
- sorting, via the computing device, the first order in an order book for the tradeable object at the electronic exchange according to the price and the first user-identified priority, where the first order is arranged into an order queue for order matching by the electronic exchange according to a match algorithm of the electronic exchange and prioritized within the order queue according to the first user-identified priority and a second user-identified priority of a second order.
A method for changing priority levels of orders in an electronic trading environment, the method comprising:
- receiving a plurality of orders to trade a tradeable object via an electronic exchange, each order of the plurality of orders including a user-identified priority for the order;
- and
- sorting each of the plurality of orders in an order book for the tradeable object at the electronic exchange according to a price for each of the plurality orders and the user-identified priority, where each order is arranged into an order queue for order matching by the electronic exchange according to a match algorithm of the electronic exchange and prioritized within the order queue according to user-identified priority.
A computer readable medium having computer-executable instructions stored thereon, which when executed by a processor cause the processor to perform acts comprising:
- receiving, via a computing device having a processor, a plurality of orders to trade a tradeable object via an electronic exchange, each order of the plurality of orders including a user-identified priority for the order;
- and
- sorting, via the computing device, each of the plurality of orders in an order book for the tradeable object at the electronic exchange according to a price for each of the plurality orders and the user-identified priority, where each order is arranged into an order queue for order matching by the electronic exchange according to a match algorithm of the electronic exchange and prioritized within the order queue according to user-identified priority.
Dependencies are inferred from the claim text.