System and method for providing efficiency and stability to securities financing marketplace

摘要

The present invention provides a system and method for providing matching buyers and sellers of securities. The system and method of the present system provides auction services over a network. A list of designated counterparties is maintained by each of a plurality of lenders. Another list of designated counterparties is maintained by each of a plurality of borrowers. Another list of preferred characteristics (preferences) that a potential borrower would have is maintained by each of a plurality of lenders. Another list of preferred characteristics (preferences) that a potential lender would have is maintained by each of a plurality of borrowers. These lists can be updated daily or as frequently as desired. When securities are to loaned, a matching process accesses the appropriate list of designated counterparties to create a list of one or more suggested counterparty. The matching process also accesses the appropriate list of preferred characteristics. Based on the list of preferred characteristics, a search is made of a database of securities lending information to find matches to the preferred characteristics. Based on the matches, the list of one or more suggested counterparties is updated. The suggested list of counterparties is then sent to an intermediary who completes the loan of securities using the matching information.