System and method for determining odds for wagering in a financial market environment

Abstract

A method for providing a wager in a financial market environment is provided that includes presenting an opportunity to make a wager that is based on a moving market line associated with a financial market. An end user is given an opportunity to bet on whether a financial market value will be above or below the moving market line at a designated time. The wager may be accepted from the end user. The wager may be monitored in order to determine whether the financial market value was above or below the moving market line at the designated time.

1 . A method for offering odds for a wager in a financial market environment, comprising: 
 generating market line odds associated with a wager, the market line odds for the wager being based on, at least, a volatility factor, a time factor, and a market line associated with a financial market;    providing the market line odds to an end user interested in participating in the wager, wherein the end user is given an opportunity to bet on whether a financial market value will be above or below the market line at a designated time; and    settling the wager based on the market line odds after the designated time in order to resolve whether the end user is entitled to a credit or a debit based on a level of the market line at the designated time.    
   
   
       2 . The method of  claim 1 , further comprising: 
 determining the market line odds for the wager dynamically based the market line, the market line being capable of movement in any direction.    
   
   
       3 . The method of  claim 1 , further comprising: 
 generating a first and a second set of high line odds for a high line that corresponds to an increase in the market line; and    providing a high line wager to the end user, the high line wager being accompanied by the first and second sets of high line odds that correspond to whether the financial market value will reach below or above the high line during a specified time period.    
   
   
       4 . The method of  claim 1 , further comprising: 
 generating a first and a second set of low line odds for a low line that corresponds to a decrease in the market line; and    presenting an opportunity to make a low line wager, the low line wager being accompanied by the first and second sets of low line odds that correspond to whether the financial market value will reach below or above the low line during a specified time period.    
   
   
       5 . The method of  claim 1 , wherein the low line moves closer to the market line over time while the market line odds and the low line odds remain substantially constant.  
   
   
       6 . The method of  claim 1 , further comprising: 
 generating a first and a second set of spread line odds for a spread line that corresponds to a deviation above and below the market line; and    presenting an opportunity to make a spread line wager, the spread line wager being accompanied by the first and second sets of spread line odds that correspond to whether the financial market value will reach below or above the spread line during a specified time period.    
   
   
       7 . The method of  claim 6 , wherein the spread line odds are weighted more favorably toward the end user in comparison to the market line odds offered to the end user.  
   
   
       8 . The method of  claim 1 , further comprising: 
 evaluating data associated with the financial market; and    modifying the market line odds in order to generate new odds for the end user that take into account the data, wherein the data is capable of affecting a change in the financial market value.    
   
   
       9 . The method of  claim 8 , wherein the data relates to a selected one of a group of elements consisting of: 
 (a) labor statistics;    (b) interest rate information;    (c) employment data;    (d) bond pricing;    (e) gross domestic product (GDP) data;    (f) consumer confidence;    (g) consumer spending;    (h) debt; and    (i) trade deficit data.    
   
   
       10 . The method of  claim 1 , wherein the market line odds generated may also be based, in part, on a prize value associated with the wager and a risk value associated with the wager.  
   
   
       11 . The method of  claim 1 , further comprising: 
 generating static market line odds associated with a static market line wager, the static market line wager being based on a static market line associated with the financial market value, wherein the end user is given an opportunity to bet on whether the financial market value will be above or below the static market line, and wherein the static market line odds for the wager are determined based on movement in the financial market value.    
   
   
       12 . A system for offering odds for a wager in a financial market environment, comprising: 
 a central controller operable to offer an opportunity to make a wager that is based on a moving market line associated with a financial market, wherein the central controller includes: 
 a processor that is operable to generate market line odds associated with a wager, the market line odds for the wager being based on, at least, a volatility factor, a time factor, and a market line associated with the financial market, wherein the market line odds may be provided to an end user, the end user being given an opportunity to bet on whether a financial market value will be above or below the market line at a designated time; and  
 a memory element operable to store the wager as a financial instrument that includes one or more terms associated with the wager, wherein the terms include a selected one or more of a price associated with the wager, the market line odds associated with the wager, and an expiration of the wager, and wherein the central controller is further operable to accept the wager from the end user and to monitor the wager until the designated time in order to determine whether the financial market value was above or below the moving market line.  
   
   
   
       13 . The system of  claim 12 , wherein the processor is further operable to settle the wager based on the market line odds after the designated time in order to resolve whether the end user is entitled to a credit or a debit based on a level of the market line at the designated time.  
   
   
       14 . The system of  claim 13 , wherein the processor includes an odds determination module operable to determine the market line odds for the wager dynamically based the market line, the market line being capable of movement in any direction.  
   
   
       15 . The system of  claim 14 , wherein the odds determination module is further operable to: 
 generate a first and a second set of high line odds for a high line that corresponds to an increase in the market line; and    present an opportunity to make a high line wager, the high line wager being accompanied by the first and second sets of high line odds that correspond to whether the financial market value will reach below or above the high line during a specified time period.    
   
   
       16 . The system of  claim 14 , wherein the odds determination module is further operable to: 
 generate a first and a second set of low line odds for a low line that corresponds to a decrease in the market line; and    present an opportunity to make a low line wager, the low line wager being accompanied by the first and second sets of low line odds that correspond to whether the financial market value will reach below or above the low line during a specified time period.    
   
   
       17 . The system of  claim 14 , wherein the odds determination module is further operable to: 
 generate a first and a second set of spread line odds for a spread line that corresponds to a deviation above and below the market line; and    present an opportunity to make a spread line wager, the spread line wager being accompanied by the first and second sets of spread line odds that correspond to whether the financial market value will reach below or above the spread line during a specified time period.    
   
   
       18 . The system of  claim 12 , further comprising: 
 a financial market data element that is operable to provide data associated with the financial market, wherein the market line odds may be modified in order to generate new odds for the end user that take into account the data, and wherein the data is capable of affecting a change in the financial market value.    
   
   
       19 . The system of  claim 12 , further comprising: 
 an administrator module operable to communicate with the central controller and to approve one or more wagers placed on margin by one or more end users.    
   
   
       20 . Software for offering odds for a wager in a financial market environment, the software being embodied in a computer readable medium and comprising computer code such that when executed is operable to: 
 generate market line odds associated with a wager, the market line odds for the wager being based on, at least, a volatility factor, a time factor, and a market line associated with a financial market;    provide the market line odds to an end user interested in participating in the wager, wherein the end user is given an opportunity to bet on whether a financial market value will be above or below the market line at a designated time; and    settle the wager based on the market line odds after the designated time in order to resolve whether the end user is entitled to a credit or a debit based on a level of the market line at the designated time.    
   
   
       21 . The medium of  claim 20 , wherein the code is further operable to: 
 determine the market line odds for the wager dynamically based the market line, the market line being capable of movement in any direction.    
   
   
       22 . The medium of  claim 20 , wherein the code is further operable to: 
 generate a first and a second set of high line odds for a high line that corresponds to an increase in the market line; and    present an opportunity to make a high line wager, the high line wager being accompanied by the first and second sets of high line odds that correspond to whether the financial market value will reach below or above the high line during a specified time period.    
   
   
       23 . The medium of  claim 20 , wherein the code is further operable to: 
 generate a first and a second set of low line odds for a low line that corresponds to a decrease in the market line; and    present an opportunity to make a low line wager, the low line wager being accompanied by the first and second sets of low line odds that correspond to whether the financial market value will reach below or above the low line during a specified time period.    
   
   
       24 . The medium of  claim 23 , wherein the low line moves closer to the market line over time while the market line odds and the low line odds remain substantially constant.  
   
   
       25 . The medium of  claim 20 , wherein the code is further operable to: 
 generate a first and a second set of spread line odds for a spread line that corresponds to a deviation above and below the market line; and    present an opportunity to make a spread line wager, the spread line wager being accompanied by the first and second sets of spread line odds that correspond to whether the financial market value will reach below or above the spread line during a specified time period.    
   
   
       26 . The medium of  claim 25 , wherein the spread line odds are weighted more favorably toward the end user in comparison to the market line odds offered to the end user.  
   
   
       27 . The medium of  claim 20 , wherein the market line odds generated may also be based, in part, on a prize value associated with the wager and a risk value associated with the wager.  
   
   
       28 . A system for offering odds for a wager in a financial market environment, comprising: 
 means for generating market line odds associated with a wager, the market line odds for the wager being based on, at least, a volatility factor, a time factor, and a market line associated with a financial market;    means for providing the market line odds to an end user interested in participating in the wager, wherein the end user is given an opportunity to bet on whether a financial market value will be above or below the market line at a designated time; and    means for settling the wager based on the market line odds after the designated time in order to resolve whether the end user is entitled to a credit or a debit based on a level of the market line at the designated time.    
   
   
       29 . The system of  claim 28 , further comprising: 
 means for determining the market line odds for the wager dynamically based the market line, the market line being capable of movement in any direction.    
   
   
       30 . The system of  claim 28 , further comprising: 
 means for generating a first and a second set of high line odds for a high line that corresponds to an increase in the market line; and    means for presenting an opportunity to make a high line wager, the high line wager being accompanied by the first and second sets of high line odds that correspond to whether the financial market value will reach below or above the high line during a specified time period.    
   
   
       31 . The system of  claim 28 , further comprising: 
 means for generating a first and a second set of low line odds for a low line that corresponds to a decrease in the market line; and    means for presenting an opportunity to make a low line wager, the low line wager being accompanied by the first and second sets of low line odds that correspond to whether the financial market value will reach below or above the low line during a specified time period.    
   
   
       32 . The system of  claim 31 , wherein the low line moves closer to the market line over time while the market line odds and the low line odds remain substantially constant.  
   
   
       33 . The system of  claim 28 , further comprising: 
 means for generating a first and a second set of spread line odds for a spread line that corresponds to a deviation above and below the market line; and    means for presenting an opportunity to make a spread line wager to the end user, the spread line wager being accompanied by the first and second sets of spread line odds that correspond to whether the financial market value will reach below or above the spread line during a specified time period.    
   
   
       34 . The system of  claim 33 , wherein the spread line odds are weighted more favorably toward the end user in comparison to the market line odds offered to the end user.  
   
   
       35 . A method for offering odds for a wager in a financial market environment, comprising: 
 generating static market line odds associated with a wager, the wager being based on a static market line associated with a financial market, wherein an end user is given an opportunity to bet on whether a financial market value will be above or below the static market line at a designated time, and wherein the static market line odds for the wager are determined based on movement in the financial market value;    accepting the wager from the end user; and    monitoring the wager in order to determine whether the financial market value was above or below the static market line at the designated time.    
   
   
       36 . The method of  claim 35 , further comprising: 
 establishing one or more additional static lines; and providing additional odds for the one or more additional static lines based on movement of the financial market value such that one or more additional betting opportunities are provided to the end user.    
   
   
       37 . The method of  claim 35 , further comprising: 
 offering the wager in a financial instrument that includes one or more terms associated with the wager, wherein the terms include a selected one or more of a price associated with the wager, the static market line odds associated with the wager, and an expiration of the wager.    
   
   
       38 . The method of  claim 35 , further comprising: 
 settling the wager based on the static market line odds after the designated time in order to resolve whether the end user is entitled to a credit or a debit.