Browse Prior Art Database

Personal Optimized Decision/Transaction Program

IP.com Disclosure Number: IPCOM000114583D
Original Publication Date: 1995-Jan-01
Included in the Prior Art Database: 2005-Mar-29
Document File: 2 page(s) / 120K

Publishing Venue

IBM

Related People

Baumann, GW: AUTHOR [+2]

Abstract

Disclosed is a system of software and hardware which, when interacting with both internal and external data bases, internally stored rules, and physical sensors, optimizes and executes transactions. These transactions may include purchase, sale, or transfer of property, transfer of funds, update of records and data bases, or control of physical processes in chemical, medical, or other areas.

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Personal Optimized Decision/Transaction Program

      Disclosed is a system of software and hardware which, when
interacting with both internal and external data bases, internally
stored rules, and physical sensors, optimizes and executes
transactions.  These transactions may include purchase, sale, or
transfer of property, transfer of funds, update of records and data
bases, or control of physical processes in chemical, medical, or
other areas.

      In typical financial management and consumer decision activity,
queries, decisions, and transactions are performed in an ad hoc,
non-integrated manner.  For example, a person planning to finance
travel through sale of financial instruments would typically either
track the prices of those instruments, attempting to sell high, or
would track travel expenses, attempting to acquire them low.  He
would rarely track the sum of the various constituent travel
expenses, currency exchange rates (if appropriate), and the price of
his financial instruments to find the "best time" to take the trip,
in terms of net overall cost.  If this financing involved disposal of
multiple assets, the task would be even more complex, and the
optimizing would usually be done with less optimal results.

      In this decision system, a set of transaction rules is
controlled by the principals who operate the system.  The system
polls the designated data bases (e.g., stock exchanges, multiple
listings, agricultural markets, data collection devices) on a
frequency specified by the user, searching for "satisfied transaction
criteria".  When such criteria are met, it either queries the user or
simply completes the transaction, depending on the user specified
rules.  The amount of activity between human interactions may be
limited (e.g., maximum dollar value of stock traded) to avoid
unexpected results and provide stability.

      The system uses data and rules to control interacting
transactions.  For example, financial instruments may be sold, and
those funds applied to other instruments, or assets may be purchased
and be immediately used as collateral on other transactions.  Float
may be tracked, optimized, and included in the dynamic strategy
model.  Sale of one instrument may trigger purchase or bid on
another.  This system has the ability to stage transactions.  For
example, when stock is purchased, an order is placed, stock is
transferred, and funds are transferred.  If orders are placed for
multiple purchases, then funds and/or credit must be committed to
support those transactions.  Without this staging, outstanding buy
orders would need to be limited to available assets, in case multiple
prices fell within criteria simultaneously, thereby generating
purchases to in excess of allocated assets.  With staging,
alternating short duration bids may be tendered and cancelled, for
the full amount of allocated assets, without creating that risk.

      This system acquires an initial status...