A computer-implemented method, comprising the steps of:
- by a central computer, operated by a system operator, having memory storage and connected, via an electronic network, to a plurality of network terminals accessible by a plurality of parties, providing a data display relating to the trading of at least one restricted security in at least one respective publically-traded company registered with a trading system;
- by the central computer, accessing a set of restricted securities transaction qualification criteria stored on said memory storage;
- by the central computer, accessing a set of regulatory compliance standards stored on said memory storage;
- by the central computer, qualifying at least one of said plurality of parties to said transaction, via one of said plurality of network terminals, in accordance with said predefined qualification criteria;
- establishing, by the central computer, an online bidding and offering procedure, whereby said online bidding and offering procedure provides a systematically cross-referenced integrated marketplace for facilitating a trade of said at least one restricted security;
- providing, by the central computer system, on a display, user-selectable parameters including a selectable parameter indicative of pricing one of the restricted securities by a discount to a streaming price of a corresponding unrestricted security, or an alternative parameter indicative of pricing one of the restricted securities by a discount to a trailing moving average price of the corresponding unrestricted security;
- by the central computer, responsive to a received parameter selection, interacting with one or more remote exchange data providers to obtain data indicative of streaming prices of corresponding unrestricted securities, and determining at least one of a bid price and ask price for a first of said qualified parties based on a discount to the price of the corresponding unrestricted securities;
- by the central computer, generating, for display on one or more of the plurality of terminals, a screen display including a plurality of share data and a link to activate a market depth screen;
- responsive to receipt, via the screen display, of user activation of the link to activate the market depth screen, obtaining, by the central computer, from a plurality of sources and generating for display on the screen display, a market depth screen showing all current bids and offers, including eligibility data for each bidder and seller;
- dynamically determining, employing charting software technology, the at least one of the bid and ask price of the restricted securities based on the discount to the price of the equivalent unrestricted securities;
- dynamically comparing the at least one of the bid and ask price of the restricted securities based on the discount to price to another one of a bid and ask price for the securities to identify a match;
- monitoring, by the central computer, said transaction to ensure compliance with said predefined set of regulatory compliance standards maintained on said memory storage;
- and
- responsive to identifying, as a result of the dynamic comparing, a match between a dynamically determined bid or offer price of the restricted securities and a corresponding bid or offer price for the restricted securities,
- electronically transmitting instructions for the transfer, by the central computer, of said at least one restricted security, via said system, from a first one of said plurality of parties to a second one of said plurality of parties, wherein said method ensures that said parties to the transaction are legally qualified and said transfer of said at least one restricted security is accomplished in accordance with said regulatory compliance standards;
- wherein transmitting the instructions for transfer comprises issuing instructions to a transfer agent system, wherein the transfer agent system is configured to effect transfers between accounts in accordance with the instructions;
- wherein the method further comprises, determining, by the central computer, based on at least market capitalization and average daily volume, a liquidity coefficient for a plurality of securities;
- and
- responsive to user input of selection of a restricted security for purchase or sale, displaying, on the display, an indication of illiquid status, and a recommendation to base a price of the restricted security on a discount to a trailing moving average of the price of the corresponding free trading security, responsive to the determined value of the liquidity coefficient being below a threshold.