Method and system for determining, contracting to exchange, and accounting for matched sets of offsetting cash flows

Abstract

One disclosed embodiment comprises a computerized method and system for matching structured cash flows by transmitting an information of an exchange definition comprising information of two or more underlyings, a notional amount or range, and a payment provision, and receiving a linear combination of one or more partial exchange definitions such that the net present value of the cumulative cash flow of the linear combination of partial exchange definitions is substantially zero.

What is claimed is: 
     
         1 - 24 . (canceled) 
     
     
         25 . A system for transmitting and receiving information concerning a transaction involving two or more underlyings comprising:
 one or more processors;   one or more electronic memories;   stored program code for composing and transmitting electronic signals representing first information corresponding to at least one proposed transaction, the information further comprising information of two or more underlyings;   stored program code for receiving electronic signals representing second information corresponding to at least one proposed transaction at least partially compatible with the first proposed transaction, the second information comprising at least one of a start date, an end date, an underlying, a notional amount, a payment provision, information of creditworthiness;   stored program code for transmitting or receiving electronic signals representing third information of a credit risk assumption transaction based at least in part on information from the first or second information.   
     
     
         26 . The system of  claim 25  wherein the third information further comprises information of a credit risk premium. 
     
     
         27 . The system of  claim 25  further comprising a transaction monitor providing atomicity, consistency, integrity and durability. 
     
     
         28 . The system of  claim 25  where at least one underlying is a specified interest rate. 
     
     
         29 . The system of  claim 25  where at least one underlying is a security price. 
     
     
         30 . The system of  claim 25  where at least one underlying is a commodity price. 
     
     
         31 . The system of  claim 25  where at least one underlying is a foreign exchange rate. 
     
     
         32 . The system of  claim 25  where at least one underlying is an index of prices or rates. 
     
     
         33 . A system for transmitting and receiving information concerning proposed transactions comprising the steps of:
 one or more processors;   one or more electronic memories;   stored program code for storing in at least one of said one or more electronic memories first information at least partially corresponding to a proposed first transaction concerning two or more underlyings;   stored program code for receiving electronic signals representing digitally encrypted second information at least partially corresponding to a second transaction proposed by a second party at least partially compatible with the first transaction, the second information not including the identity of the second party;   stored program code for decrypting and storing in at least one of the one or more electronic memories at least a portion of the second information;   stored program code for storing in at least one of the one or more electronic memories third information at least partially corresponding to a third proposed transaction based at least in part on the first transaction or the second transaction, in which a third party will assume at least a portion of credit risk otherwise due to the first party or the second party;   the third information representing third proposed transaction being such that upon execution of the of the third transaction, the third party is hedged at least in part by the obligations of the first party and the second party under said first and second proposed transactions.   
     
     
         34 . The system of  claim 33  wherein the third information further comprises information of a credit risk premium. 
     
     
         35 . The system of  claim 33  further comprising a transaction monitor providing atomicity, consistency, integrity and durability. 
     
     
         36 . The system of  claim 33  where at least one underlying is a specified interest rate. 
     
     
         37 . The system of  claim 33  where at least one underlying is a security price. 
     
     
         38 . The system of  claim 33  where at least one underlying is a commodity price. 
     
     
         39 . The system of  claim 33  where at least one underlying is a foreign exchange rate. 
     
     
         40 . The system of  claim 33  where at least one underlying is an index of prices or rates.