US 12,321,990 B1
Component-dependent variable combination of separately traded registered discount income and equity securities and systems and methods for trading thereof
Richard P. Sandulli, Kamuela, HI (US)
Assigned to METAURUS, LLC, New York, NY (US)
Filed by Metaurus, LLC, New York, NY (US)
Filed on Aug. 23, 2021, as Appl. No. 17/409,220.
Application 17/409,220 is a continuation in part of application No. 16/452,123, filed on Jun. 25, 2019, granted, now 11,100,585.
Application 16/452,123 is a continuation of application No. 14/827,354, filed on Aug. 17, 2015, granted, now 10,339,603, issued on Jul. 2, 2019.
Claims priority of provisional application 62/119,721, filed on Feb. 23, 2015.
Claims priority of provisional application 62/037,651, filed on Aug. 15, 2014.
This patent is subject to a terminal disclaimer.
Int. Cl. G06Q 40/06 (2012.01); G06Q 40/04 (2012.01)
CPC G06Q 40/06 (2013.01) [G06Q 40/04 (2013.01)] 20 Claims
OG exemplary drawing
 
1. A method of trading component-dependent variable combinations of securities in underlying reference assets separated into income units and equity units, the method comprising the steps of:
creating an equity trust for issuance of a plurality of equity units associated with said one or more underlying reference assets;
creating an income trust for issuance of a plurality of income units associated with one or more underlying reference assets;
co-registering issuance of said equity units and said income units with one or more regulating entities;
co-issuing said equity units and said income units via at least one creation agent, said equity units to be sold to a plurality of equity unit investors and said income units to be sold to a plurality of income unit investors, a combined price of said equity units and said income units being equivalent to a total value of said one or more underlying assets;
enabling investors to specify a component-dependent variable combination of equity units and incomes units representing an equity component and an income component;
receiving the component-dependent variable combination that was specified by a specifying investor;
determining the equity units and the income units needed for the component-dependent variable combination in accordance with how the specifying investor specified the component-dependent variable combination;
combining the equity units and the income units determined in accordance with the component-dependent variable combination, on behalf of the specifying investor;
holding, via a holding trust, the equity units and the income units combined in accordance with the component-dependent variable combination, on behalf of the specifying investor;
creating the holding trust for issuance of a plurality of component-dependent variable combination units associated with one or more underlying reference assets in accordance with the component-dependent variable combination specified by the specifying investor;
registering issuance of said component-dependent variable combination units with one or more regulating entities;
issuing said component-dependent variable combination units via at least one creation agent, said component-dependent variable combination units to be sold to a plurality of component-dependent variable combination unit investors, a combined price of said component-dependent variable combination units being equivalent to a total value of said one or more underlying assets;
purchasing said one or more underlying reference assets to be held by one or more global custodians;
allocating, using a microprocessor, equity proceeds of a sale of said equity units to said equity trust; and
allocating, using a microprocessor, income proceeds of a sale of said income units to said income trust;
wherein specifying the component-dependent variable combination includes specifying for each component a component multiple and a component percentage relative to the underlying assets; and
wherein the income component comprises a dividend cash flow and the equity component comprises a stock price exposure.