Cash Sweep Patent PNC
Cash Sweep Patent PNC
Sweep Brokerage
Cash Position
Issues
116 Banking Debºrº
IBTS sold Service
to broker Provider
(IBTS)
Banking 110 Issues
Services Fees Checkbook
112
FIG. 1
Issues Issues
Debit Card f"in-house’, Debit Card
214 : or Banking : 114
. s= e i = t ºf" . . ºr *******X Services
; : Provider ;
! 204 ;
Issues '------------ e” ISSues
Checkbook bps 202 Sweep Brokerage Checkbook
212 (12b-1 º less Cash Position 112
banking 104
service costs)
FIG. 2
Patent Application Publication Nov. 20, 2008 Sheet 2 of 5 US 2008/0288398 A1
Broker
Dealer
Sub
accounting
engine
304
FIG. 3
Patent Application Publication Nov. 20, 2008 Sheet 3 of 5 US 2008/0288398 A1
Sub
accounting
engine
304
FIG. 4
Patent Application Publication Nov. 20, 2008 Sheet 4 of 5 US 2008/0288398 A1
500
Broker Dealer
Banking Service
Broker Dealer Provider
504 554
FIG. 5B
Patent Application Publication Nov. 20, 2008 Sheet 5 of 5 US 2008/0288398 A1
600
FIG, 6
US 2008/0288398 A1 Nov. 20, 2008
CASH SWEEP ACCOUNT PLATFORM and services to their investors. In addition, the brokerage
SYSTEM AND METHOD processing solutions are costly, do not provide asset alloca
tion features, and require a significant amount of customiza
BACKGROUND tion. Customizing a brokerage processing system requires
[0001] Many investment options are available to investors. substantial one-time up-front investment costs and ongoing
maintenance costs.
Investment firms (funds) provide collective investments that [0005] FIG. 1 illustrates a conventional system 100
pools money from many investors and invest their money in employing integrated banking transaction services 116
stocks, bonds, dividends, short-term money market instru
ments, and/or other securities. Investors may purchase assets (IBTS), which is described in more detail below. A broker
from the fund via a fee arrangement from a broker-dealer. A dealer 102 manages investor brokerage cash accounts in
broker-dealer is a company that trades in securities for inves house through a relationship with a banking service provider
tors as well as for its own account. In the United States, a 110. When an investor (e.g., a client of the broker-dealer 102)
broker-dealer must be registered with the U.S. Securities and opens a brokerage account with the broker-dealer 102, they
Exchange Commission. When executing trade orders on are given the option of opening an investment account and/or
behalf of an investor, the broker-dealer is said to be acting as a cash management account.
a broker. When executing trades for its own account, the [0006] The broker-dealer 102 generally offers two main
broker-dealeris said to be acting as a dealer. Securities bought cash management account options for the investor. One cash
from one investor or other firms in the capacity of dealer may management account option is a money-market mutual fund
be sold to other investors or other firms acting in the capacity account provided by an investment firm or fund. Money
of dealer, or they may become a part of the broker-dealer’s market mutual fund accounts levy a management fee, pay an
holdings. interest rate that mirrors prevailing short-term rates, and are
[0002] Broker-dealers are required to provide some form of not insured. Another cash management account option is a
brokerage processing system. The brokerage processing sys bank-deposit sweep account. Bank-deposit sweep accounts
tem helps the firms open new accounts, monitor and clear generally pay less interest than money-market mutual fund
trades, create confirmations, process dividends and corporate accounts and are insured.
actions. The system also helps investors manage their broker [0007] The broker-dealer 102 may provide brokerage
age and idle cash positions left over from brokerage transac accounts through an investment firm 106 (e.g., a mutual fund
tions. Idle cash position refers to money that is left over from company or “fund”). Idle cash positions are swept 104 into
brokerage transactions. Idle cash from brokerage transactions the brokerage account managed by the fund 106. Idle cash
is generally swept into a brokerage cash management account positions arise from cash left over from brokerage transac
such as a money market brokerage account that is invested in tions. For example, buying and/or selling securities may give
a money market mutual fund. rise to an idle cash position, which is then swept 104 into the
[0003] To assist the investor in managing their brokerage brokerage account. The fund 106 may offer a money market
and cash accounts including idle cash positions, broker-deal mutual fund (e.g., Fund) as a brokerage account in which to
ers often provide banking type products and services to the sweep 104 the idle cash. The investor can access cash held in
investor. These banking type products and services include their brokerage accounts through checkbooks 112 and debit
checking accounts and debit cards tied to an investment cards 114 (or other banking products or services) issued on
vehicle for the brokerage and cash accounts. From time to behalf of the broker-dealer 102 by a banking service provider
time a broker-dealer may wish to switch to a new investment 110. Through the checkbooks 112 and debit cards 114 the
firm based on changing market conditions, regulatory pres client can easily access idle cash from liquidated securities
sures, or investor preferences. Switching to a new investment from their brokerage account to make purchases. The broker
firm, however, creates challenges for the broker-dealer with dealer 102 pays banking service fees 118 to the banking
respect to any banking products offered. For example, if the service provider 110 for providing checkbooks 112, debit
broker-dealer switches to a new investment vehicle provided cards 114, and/or other banking products or services, to the
by a new investment firm (e.g., a new mutual fund company) client. The fund 106 pays basis points (bps) fees 108 to the
the broker-dealer must endure the costly and painful process broker-dealer 102.
of changing the banking products or services provided to the [0008] Through the banking service provider 110, the bro
investor to make the new investment vehicle available to the ker-dealer 102 may provide accounts insured by the Federal
investor. Changing banking products may include repopula Deposit Insurance Corporation (FDIC) to clients. If the bro
tion of the investor’s checkbooks and/or issuing new debit ker-dealer 102 changes the brokerage account from one fund
cards to the investor. The broker-dealer must repopulate the 106 to another investment firm or fund 206 (Fund,,), the client
checkbook every time there is a change in the investment will be minimally affected because their checkbooks 112 and
vehicle from a new investment firm provided to investors. debit cards 114 are provided by the banking service provider
Repopulating checkbooks and issuing new debit cards creates 110 and not by the broker-dealer 102. Accordingly, there is no
a conversion expense for the broker-dealer, leads to client need for the client to change their checkbooks 112 and debit
dissatisfaction, and presents unique and difficult challenges cards 114 and the broker-dealer 102 can offer more of a
for the broker-dealer in terms of offering a mix of banking turnkey service.
tools and services with investment vehicles whose perfor [0009 FIG. 2 illustrates a conventional system 200 that
mance is tied to market conditions. does not employ the IBTS 116 services described in the
[0004] Securities processors like, ADP/Broadridge and system 100 shown in FIG. 1. With reference to the system
Thomson’s Beta offer multiple funds for Cash Management 200, the fund 106 offers end-to-end cash management
Accounts (CMA) on their brokerage processing system. account solutions either in-house or through a relationship
These solutions, however, require the cooperation of a bank with a third-party banking services provider 204. In the sys
or other financial institution to provide the banking products tem 200, the fund 106 may provide banking services to the
US 2008/0288398 A1 Nov. 20, 2008
client eitherin-house or through a relationship with a banking a need for a brokerage system that enables multiple money
services provider 204. This is in contrast to the system 100 market accounts to act as investment vehicles for cash sweep
illustrated in FIG. 1 where the broker-dealer 102 rather than accounts, to accommodate multiple investment funds (e.g.,
the fund 106 has a relationship with the third party banking money market funds, FDIC accounts), and enables swapping
service provider 110. Thus either the fund 106 or the third investment vehicles without incurring conversion expenses or
party banking services provider 204 issues the checkbooks impacting the client by necessitating the reissue of check
112 or the debit cards 114 to the client on behalf of the fund books and debit cards to each and every shareholder at a
106. Because the system 200 does not employ the IBTS 116 significant cost per account.
services, the fund 106 manager pays fees 202 in terms of basis
points (bps) to the broker-dealer 102. The fees 202 paid to the SUMMARY
broker-dealer 102, however, are 12b-1 fees minus any bank [0013] In one embodiment, an integrated banking transac
ing service costs incurred by the fund 106 in providing, man tion services (IBTS) module receives an instrument from a
aging, or paying for issuing the checkbooks 112 and debit client to initiate a brokerage transaction between a broker
cards 114 to the client. The fund 106 manger deducts the dealer and an investment firm. The IBTS module transmits a
banking services costs from 12b-1 paid to the broker-dealer notification message to a broker-dealer that the instrument
102 on assets. Such transactions, however, obscure the bank was presented. The IBTS module receives a confirmation
ing services fees and make it seem as though the banking message from the broker-dealer comprising information as to
services are “free”.
whether to pay the instrument. If the instrument is to be paid,
[0010] In addition, the system 200 illustrated in FIG. 2 the IBTS module transmits information associated with the
makes it difficult for the broker-dealer 102 to offer insured brokerage transaction to a sub-accounting engine.
FDIC products to the clients. For example, if the fund 106
does not offer an FDIC product, the broker-dealer 102 must BRIEF DESCRIPTION OF THE DRAWINGS
make arrangements with a new fund 206 that offers an FDIC
product or potentially lose the client. When the broker-dealer [0014] FIG. 1 illustrates a conventional system employing
102 makes arrangements with the new fund 206 to provide an integrated banking transaction services.
FDIC product, however, the new fund 206 must issue new [0015] FIG. 2 illustrates a conventional system that does
checkbooks 212 and new debit cards 214 to the client. In the not employ the IBTS services described in the system shown
United States, however, such an FDIC arrangement with the in FIG. 1.
new fund 206 may be of interest to federal regulators. This is [0016] FIG. 3 illustrates one embodiment of a cash sweep
particularly true in regards to banked-on broker-dealers 102 brokerage system.
that offer FDIC products and then maintain those assets on [0017|| FIG. 4 illustrates one embodiment of a cash sweep
their books (e.g., accounting records, such as ledgers and transaction flow diagram employing the cash sweep broker
journals). The federal regulators have an interest in ensuring age system illustrated in FIG. 3.
that there was full disclosure to the client concerning the new [0018] FIGS.5A and 5B illustrate embodiments offee flow
fund 206. There must be full disclosure to the client that the diagrams for cash sweep account management as discussed
product offered is insured by the FDIC and the disclosure above with reference to FIGS. 3 and 4.
must be was made with candor. For example, the client must [0019] FIG. 6 illustrates a logic diagram.
beinformed that the principal is insured in FDIC accounts and
is not insured in money-market accounts. The client also must DESCRIPTION
be informed that the performance of a money market fund is [0020) FIG. 3 illustrates one embodiment of a cash sweep
tied to the financial markets and is not guaranteed. brokerage system 300. The cash sweep brokerage system 300
[0011] In the system 200, full disclosure requirements and is described with respect to an account model designated by
payment of 12b-1 fees on assets leave the broker-dealer 102 the various modules and a data flow designated as arrows
with limited opportunities. The broker-dealer 102 can either connecting the various modules. With reference to the
address the regulatory issues and accept potential client fall account model, the cash sweep brokerage system 300 com
out, or switch to the new fund 206. As discussed above, if the prises an open asset management account (AMA) platform
broker-dealer 102 switches to the new fund 206, however, the 301 comprising an IBTS module 302 combined with a sub
broker-dealer 102 incurs conversion costs associated with accounting engine 304 to manage cash sweep accounts on
repopulating checkbooks 212 and debit cards 214, which may behalf of a client 310. The IBTS module 302 includes bank
cost approximately $7 per shareholder account. The broker ing transaction modules. The subaccounting engine 304
dealer102 also may be bound to investment vehicles arranged includes comprehensive recordkeeping modules. In the illus
through or provided by the fund 106 and may switch only trated embodiment, the IBTS module 302 and the subac
upon payment of conversion costs. The broker-dealer 102 counting engine 304 interact with a broker-dealer 308 bro
will incur significant costs if it swaps mutual fund investment kerage processing system. Additional connectivity between
vehicles in a cash management account without re-issuing the IBTS module 302 and the subaccounting engine 304 may
checkbooks and debit cards to each and every client (e.g., be implemented as may be required. The subaccounting
shareholder) at significant cost. Furthermore, the broker engine 304 provides investment fund (e.g., mutual fund)
dealer 102 is unable to easily offer multiple fund options for supermarket capabilities. With the combination of the IBTS
cash management accounts. module 302 and the subaccounting engine 304, the open
[0012] Accordingly, there is a need for a brokerage system AMA platform 301 enables multiple fund options, asset allo
to provide cash sweep account products and services to man cation, and full integration into the broker-dealer 308 broker
age brokerage cash sweep accounts and provide multiple fund age processing system. The broker-dealer 308 interfaces with
options (e.g., mutual fund supermarket), asset allocation, and an investment vehicle provider 306 (fund). The open AMA
full integration within a single platform to the client. There is platform 301 enables multiple brokerage investment accounts
US 2008/0288398 A1 Nov. 20, 2008
(e.g., money market accounts) to act as vehicles for a cash [0026] In one embodiment, the subaccounting engine 304
sweep account, accommodates multiple providers of the bro provides comprehensive recordkeeping for all classes of pro
kerage investment vehicles (e.g., money market funds), mini prietary and non-proprietary of investment vehicles (e.g.,
mizes or eliminates expenses to the broker-dealer 308 for stock, bond, or money market mutual funds), including full
swapping out investment vehicles, and minimizes or elimi accounting, tax reporting, and statement generation for the
nates impacts to the client 310 when investment vehicles are client 310. The subaccounting engine 304 enables financial
swapped by the broker-dealer 308. The embodiments are not institutions (e.g., banks, brokerage firms, funds) to consoli
limited in this context. date asset and activity reporting through their own systems by
[0021] In one embodiment, accounts on the IBTS module bringing shareholder accounting and administration in-house
302 and positions on the subaccounting engine 304 are held at and by clearing trades (e.g., mutual fund trades). Transactions
the individual account 312,314 levels, respectively. Accounts can quickly be spread across multiple families of investment
at the fund 306 may be held as individual accounts 316 or vehicles (e.g., mutual fund vehicles) and other products, such
omnibus accounts 318. The broker-dealer 308 may house as variable annuities, stocks, bonds, and other securities or
either omnibus account positions 320 or individual accounts investment vehicles. As previously discussed, the subac
322 on the brokerage processing system. The embodiments counting engine 304 provides omnibus accounts 316 capa
are not limited in this context.
[0022] In one embodiment, the open AMA platform 301 bilities held at the fund 306. Accordingly, the broker-dealer
comprising the IBTS module 302 and the subaccounting 308 can control the client 310 accounts 316,320,322 directly
engine 304 provides banking transaction services to the bro to save time and reduce trading and, thus, to increases the
ker-dealer 308 and the fund 306. The IBTS module 302 efficiency of the broker-dealer 308. The embodiments are not
provides check processing services with online bill payment limited in this context.
and presentment, debit card, and automated clearing house [0027] With reference to the data flow in the brokerage
(ACH) capabilities. The IBTS module 302 is an integral com system 300, the client 310 funds 324 a new omnibus and/or
ponent to managing the client 310 cash sweep account. The individual account 320, 322 at the broker-dealer 308. The
embodiments are not limited in this context. broker-dealer 308 transmits 326 data associated with the
[0023] In one embodiment, the IBTS module 302 provides account 320, 322 to the IBTS module 302 where it may be
automated teller machine (ATM) deposit services. In this stored in the IBTS individual account 312. The IBTS module
respect, the IBTS module 302 enables the client 310 to 302 transmits 328 the new updated account data to the sub
deposit funds into one or more brokerage accounts 320, 322 accounting engine 304 where it may be stored in the subac
held at the broker-dealer 308 via ATMs tied to an individual counting engine individual account 314. The subaccounting
account 312 held at the IBTS module3.302. In various imple engine 304 transmits 330 the updated account data the broker
mentations, the ATM service may be implemented and is dealer 308. The broker-dealer 308 then transmits 332 a bro
currently available at multiple nationwide ATMs that accept kerage transaction (e.g., trade) request to the fund 306. The
deposits within the STARR and PLUSR networks, for embodiments are not limited in this context.
example. Via the IBTS module 302, the client 310 funds may
be moved from the IBTS individual account 312 to the bro [0028] In various embodiments, the cash sweep brokerage
kerage investment omnibus orindividual accounts 320,322 in system 300 provides multiple investment vehicles (e.g.,
a paperless transaction environment. This assists in stream money market funds) for cash sweep accounts, multiple pro
lining broker-dealer 308 back-office operations. It also viders of the investment vehicles, and the ability to swap out
speeds up the processing time for deposits and provides the investment vehicles without incurring expenses or substan
client 310 with a convenient way to deposit funds into the tially affecting the client 310. The cash sweep brokerage
broker-dealer omnibus or individual accounts 320, 322. The system 300 may be employed to render cash sweep account
embodiments are not limited in this context. services to manufacturers and distributors in the financial
[0024] In one embodiment, the IBTS module 302 provides industry. The embodiments are not limited in this context.
cash sweep account management services for the client 310. [0029] Accordingly, as described in more detail below with
The open AMA platform 301 comprising the IBTS module reference to FIG. 4, in various embodiments the cash sweep
302 in combination with the subaccounting engine 304 pro brokerage system 300 provides an open AMA platform 301 to
vides banking transaction services and enables cash sweep manage cash sweep accounts employing a combination of the
transactions of any idle cash positions held by the client 310. IBTS module 302 and the subaccounting engine 304. The
Idle cash is automatically transferred or swept into one of cash sweep brokerage system 300 provides the broker-dealer
several available investment vehicles (e.g., money market) 308 with open and flexible cash sweep account management
held in the omnibus or individual brokerage accounts 320, platform that enables the broker-dealer 308 to offer more
322. Accordingly, the broker-dealer 302 provides turnkey investment products and greater flexibility, provide access to
services to enhance value for the client 310. The embodi multiple sweep options, reduce product conversion costs and
ments are not limited in this context. inconvenience, gain fund program flexibility, and segment
[0025] In one embodiment, the IBTS module 302 provides your client base to provide robust services to your best cus
bill payment and presentment services. In this respect, the tomers. These offerings may be tailored to meet specific client
IBTS module 302 comprises electronic bill payment and needs. The embodiments are not limited in this context.
presentment modules to enhance the services provided by the [0030] The cash sweep brokerage system 300 provides the
open AMA platform 301. The IBTS module 302 employs broker-dealer 308 with the necessary flexibility to service the
secured bill payment transaction modules to provide secure client 310 accounts 320, 322 and to provide cash sweep
bill payment services such as paying bills in a paperless account management services to the client 310. The subac
environment via the Internet, for example. The embodiments counting engine 304 provides mutual fund supermarket capa
are not limited in this context. bilities. In combination with the IBTS module 302 banking
US 2008/0288398 A1 Nov. 20, 2008
services, the subaccounting engine 304 enables the broker [0035) If market conditions change due to regulatory pres
dealer 308 to offer optimum investment products and banking sures or client desires, there is no need to change to a new fund
services to the client 310. provider and endure the costly and inconvenient process of
[0031] The cash sweep brokerage system 300 open AMA repopulating checkbooks for the client 310. The broker
platform 301 also assists the broker-dealer 308 to gather and dealer 308 can readily make any necessary changes on the
retain assets, meet regulatory requirements, and increase broker-dealer 308 open AMA platform 301 and the new
operational efficiencies in a platform that allows greater choices will be available to the client 310 without changing
investment choices and additional options to the client 310 banking products or services. This eliminates conversion
expenses for the banking products and services (e.g., check
that are connected to industry-leading banking tools. The books, debit cards).
broker-dealer 308 may change the fund 306 provider without [0036] FIGS.5A and 5B illustrate embodiments offee flow
the costly, cumbersome process of repopulating checkbooks. diagrams for cash sweep account management as discussed
The new choices will be available to the client 310 without above with reference to FIGS. 3 and 4. FIG. 5A illustrates one
changing their banking products such as checkbooks or debit embodiment of an implicit fee flow diagram 500 for cash
cards. sweep account management. A fund 502 with in-house bank
[0032] The open AMA platform 301 allows the broker ing services pays basis point fees to a broker-dealer 504. The
dealer 308 to provide multiple fund options, asset allocation, broker-dealer 504 pays banking service fees to the fund 502.
and full integration within a single platform. Accordingly, the The broker-dealer 502 receives banking services and basis
broker-dealer 308 can offer investment vehicle providers on pointfees from the fund 502. The broker-dealer 504, however,
one platform, varied investment vehicles to manage cash is locked into the fund 502 for banking services and invest
sweep accounts, including money market funds, FDIC funds, ment vehicles.
health savings accounts (HSA), home equity line of credit [0037] FIG. 5B illustrates one embodiment of an explicit
accounts, and the ability to change and/or add investment fee flow diagram 550 for cash sweep account management.
vehicle providers without incurring expenses or substantially Multiple funds 552, through 552A, pay basis point fees to the
affecting the client 310. broker-dealer 504. The broker-dealer 504, however, has a
[0033] FIG. 4 illustrates one embodiment of a cash sweep separate relationship with a banking service provider 554.
transaction flow diagram 400 employing the cash sweep bro The broker-dealer 504 pays the banking service provider 554
kerage system 300 illustrated in FIG. 3. As previously dis for banking services independent of the broker-dealer 504
cussed, the system 300 provides a cash sweep account man relationship with the funds 552, through 552x. The broker
agement platform to enable multiple fund options, asset dealer 504 now operates independently from the funds 552,
allocation, and full integration into the broker-dealer 308 through 552 v. With an open AMA platform, the funds 552,
brokerage processing system. In one embodiment, multiple through 552, compete on performance and the broker-dealer
money market funds may act as the investment vehicles for 502 is not locked into a relationship with the funds 552,
managing the cash sweep accounts. The system 300 can eas through 552 v.
ily accommodate multiple providers of investment vehicles [0038) Operations for the above system and subsystem may
(e.g., money market funds). Accordingly, swapping out be further described with reference to the following figures
investment vehicles does not incur expenses or impact the and accompanying examples. Some of the figures may
client 310. The broker-dealer 308 may now offer the client include programming logic. Although such figures presented
310 the most suitable banking tools in conjunction with the herein may include a particular programming logic, it can be
best most suitable investment products available on the mar appreciated that the programming logic merely provides an
ket. example of how the general functionality described herein
[0034] As previously discussed, in the illustrated embodi can be implemented. Further, the given programming logic
ment, the IBTS module 302 and the subaccounting engine does not necessarily have to be executed in the order pre
304 interact with the broker-dealer 308 brokerage processing sented unless otherwise indicated. In addition, the given pro
system. The client 310 initiates a transaction by presenting an gramming logic may be implemented by a hardware element,
instrument such as writing a check, initiating a debit transac a software element executed by a processor, or any combina
tion, and the like to the IBTS module 302. The instrument is tion thereof. The embodiments are not limited in this context.
to initiate a brokerage transaction between the broker-dealer [0039] FIG. 6 illustrates a logic diagram 600. Logic dia
308 and an the fund 306. The IBTS module 302 receives 402 gram 600 may be representative of the operations executed by
the transaction and notifies 404 the broker-dealer 308 that one or more systems described herein, such as the system 300,
client 310 presented an instrument by transmitting a message 400. As shown in logic diagram 600 the IBTS module 302
to the broker-dealer 308. The broker-dealer 308 confirms to receives 602 an instrument from the client 310. The instru
the IBTS module 302 whether or not the instrument presented ment is to initiate a brokerage transaction between the broker
should be paid by transmitting a message to the IBTS module dealer 308 and the investment firm or fund 306. The IBTS
302. When the IBTS module 302 receives 404 the confirma module 302 transmits 604 a notification message to the bro
tion from the broker-dealer 308 that the instrument should be ker-dealer 308 that the instrument was presented. The IBTS
paid, the IBTS module 302 transmits 408 trade information module 302 receives 606 a confirmation message from the
(e.g., data) to the subaccounting engine 304. The subaccount broker-dealer 308 comprising information as to whether to
ing engine 304 transmits 410 the trade information to the pay the instrument. If the instrument is to be paid, the IBTS
broker-dealer 308 including a request to the broker-dealer module 302 transmits 608 information associated with the
308 to execute the brokerage transaction between the broker brokerage transaction to the sub-accounting engine 304.
dealer 308 and the fund 306. The broker-dealer 308 then [0040] In one embodiment, the information associated with
submits 412 a request to execute a brokerage transaction with the brokerage transaction is transmitted from the sub-ac
the fund 306. counting engine 304 to the broker-dealer 308. The sub-ac
US 2008/0288398 A1 Nov. 20, 2008
counting engine 304 transmits a request to the broker-dealer include, for example, any suitable type of memory unit,
308 to execute the brokerage transaction between the broker memory device, memory article, memory medium, storage
dealer 308 and the investment firm 306. The instrument may device, storage article, storage medium and/or storage unit,
be received at the IBTS module 302 from the client 310 in the for example, memory, removable or non-removable media,
form of a check or a debit card transaction. The IBTS module erasable or non-erasable media, writeable or re-writeable
302 receives fees for banking services provided to the broker media, digital or analog media, hard disk, floppy disk, Com
dealer 308 independent of a relationship between the broker pact Disk Read Only Memory (CD-ROM), Compact Disk
dealer 308 and the investment firm 306. Recordable (CD-R), Compact Disk Rewriteable (CD-RW),
[0041) Numerous specific details have been set forth herein optical disk, magnetic media, various types of Digital Versa
to provide a thorough understanding of the embodiments. It tile Disk (DVD), a tape, a cassette, or the like. The instruc
will be understood by those skilled in the art, however, that the tions may include any suitable type of code, such as source
embodiments may be practiced without these specific details. code, compiled code, interpreted code, executable code,
In other instances, well-known operations, components and static code, dynamic code, and the like. The instructions may
circuits have not been described in detail so as not to obscure be implemented using any suitable high-level, low-level,
the embodiments. It can be appreciated that the specific struc object-oriented, visual, compiled and/or interpreted pro
tural and functional details disclosed herein may be represen gramming language, such as C, C++, Java, BASIC, Perl,
tative and do not necessarily limit the scope of the embodi Matlab, Pascal, Visual BASIC, assembly language, machine
mentS. code, and so forth. The embodiments are not limited in this
[0042] It is also worthy to note that any reference to “one COntext.
embodiment” or “an embodiment” means that a particular [0046) In various implementations, the system 300 may be
feature, structure, or characteristic described in connection illustrated and described as comprising several separate func
with the embodiment is included in at least one embodiment. tional elements, such as modules and/or blocks. Although
The appearances of the phrase “in one embodiment” in vari certain modules and/or blocks may be described by way of
ous places in the specification are not necessarily all referring example, it can be appreciated that a greater or lesser number
to the same embodiment. of modules and/or blocks may be used and still fall within the
[0043] Some embodiments may be implemented using an scope of the embodiments. Further, although various embodi
architecture that may vary in accordance with any number of ments may be described in terms of modules and/or blocks to
factors, such as desired computational rate, power levels, heat facilitate description, such modules and/or blocks may be
tolerances, processing cycle budget, input data rates, output implemented by one or more hardware components (e.g.,
data rates, memory resources, data bus speeds and other per processors, DSPs, PLDs, ASICs, circuits, registers, servers,
formance constraints. For example, an embodiment may be clients, network switches and routers), software components
implemented using software executed by a general-purpose (e.g., programs, subroutines, logic) and/or combination
or special-purpose processor. In another example, an embodi thereof.
ment may be implemented as dedicated hardware, such as a [0047] In various embodiments, the system 300 may com
circuit, an application specific integrated circuit (ASIC), Pro prise multiple modules connected by one or more communi
grammable Logic Device (PLD) or digital signal processor cations media. Communications media generally may com
(DSP), and so forth. In yet another example, an embodiment prise any medium capable of carrying information signals.
may be implemented by any combination of programmed For example, communications media may comprise wired
general-purpose computer components and custom hardware communications media, wireless communications media, or
components. The embodiments are not limited in this context. a combination of both, as desired for a given implementation.
[0044] Some embodiments may be described using the Examples of wired communications media may include a
expression “coupled” and “connected” along with their wire, cable, printed circuit board (PCB), backplane, semicon
derivatives. It should be understood that these terms are not ductor material, twisted-pair wire, co-axial cable, fiber optics,
intended as synonyms for each other. For example, some and so forth. An example of a wireless communications
embodiments may be described using the term “connected” media may include portions of a wireless spectrum, such as
to indicate that two or more elements are in direct physical or the radio-frequency (RF) spectrum. The embodiments are not
electrical contact with each other. In another example, some limited in this context.
embodiments may be described using the term “coupled” to [0048] The modules may comprise, or be implemented as,
indicate that two or more elements are in direct physical or one or more systems, sub-systems, devices, components, cir
electrical contact. The term “coupled,” however, may also cuits, logic, programs, or any combination thereof, as desired
mean that two or more elements are not in direct contact with for a given set of design or performance constraints. For
each other, but yet still co-operate or interact with each other. example, the modules may comprise electronic elements fab
The embodiments are not limited in this context. ricated on a substrate. In various implementations, the elec
[0045] Some embodiments may be implemented, for tronic elements may be fabricated using silicon-based IC
example, using a machine-readable medium or article which processes such as complementary metal oxide semiconductor
may store an instruction or a set of instructions that, if (CMOS), bipolar, and bipolar CMOS (BiCMOS) processes,
executed by a machine, may cause the machine to perform a for example. The embodiments are not limited in this context
method and/or operations in accordance with the embodi [0049] Unless specifically stated otherwise, it may be
ments. Such a machine may include, for example, any suit appreciated that terms such as “processing”, “computing”,
able processing platform, computing platform, computing “calculating”, “determining”, or the like, refer to the action
device, processing device, computing system, processing and/or processes of a computer or computing system, or
system, computer, processor, or the like, and may be imple similar electronic computing device, that manipulates and/or
mented using any suitable combination of hardware and/or transforms data represented as physical quantities (e.g., elec
software. The machine-readable medium or article may tronic) within the computing system’s registers and/or memo
US 2008/0288398 A1 Nov. 20, 2008
ries into other data similarly represented as physical quanti 10. The system of claim 6, wherein the integrated banking
ties within the computing system’s memories, registers or transaction services module is to receive fees for banking
other such information storage, transmission or display services provided to the broker-dealer independent of a rela
devices. The embodiments are not limited in this context. tionship between the broker-dealer and the investment firm.
Furthermore, an action such as “storing”, when used in ref 11. A method, comprising:
erence to a computer or computer system, refers to any suit receiving an instrument from a client at an integrated bank
able type of storing operation including, for example, storing ing transaction services module, wherein the instrument
a value to memory, storing a value to cache memory, storing is to initiate a brokerage transaction between a broker
a value to a processor register, and/or storing a value to a dealer and an investment firm;
non-volatile data storage device. transmitting a notification message to a broker-dealer that
[0050] While certain features of the embodiments have the instrument was presented;
been illustrated as described herein, many modifications, sub receiving a confirmation message from the broker-dealer
stitutions, changes and equivalents will now occur to those comprising information as to whether to pay the instru
skilled in the art. It is therefore to be understood that the ment; and
appended claims are intended to cover all such modifications if the instrument is to be paid, transmitting information
and changes as fall within the true spirit of the embodiments. associated with the brokerage transaction to a sub-ac
1. An apparatus, comprising: counting engine.
an integrated banking transaction services module to 12. The method of claim 11, comprising transmitting the
receive an instrument from a client to initiate a broker information associated with the brokerage transaction from
age transaction between a broker-dealer and an invest the sub-accounting engine to the broker-dealer.
ment firm; to transmit a notification message to a broker 13. The method of claim 12, comprising transmitting a
dealer that the instrument was presented; to receive a request to the broker-dealerto execute the brokerage transac
confirmation message from the broker-dealer compris tion between the broker-dealer and the investment firm.
ing information as to whether to pay the instrument; and 14. The method of claim 11, wherein receiving an instru
if the instrument is to be paid, to transmit information ment from the client comprises receiving any one of a check
associated with the brokerage transaction to a sub-ac and a debit card transaction at the integrated banking trans
counting engine. action services module.
2. The apparatus of claim 1, wherein the integrated banking 15. The method of claim 11, comprising receiving fees for
transaction services module is to transmit the information
associated with the brokerage transaction from the sub-ac banking services provided to the broker-dealer independent
counting engine to the broker-dealer. of a relationship between the broker-dealer and the invest
3. The apparatus of claim 2, wherein the integrated banking ment firm.
transaction services module is to transmit a request to the 16. An article, comprising:
broker-dealer to execute the brokerage transaction between a storage medium;
the broker-dealer to the investment firm. the storage medium including stored instructions that,
4. The apparatus of claim 1, wherein the integrated banking when executed by a processor, are operable to receive an
transaction services module is to receive any one of a check instrument from a client at an integrated banking trans
and a debit card transaction as an instrument from the client. action services module, wherein the instrument is to
5. The apparatus of claim 1, wherein the integrated banking initiate a brokerage transaction between a broker-dealer
transaction services module is to receive fees for banking and an investment firm; transmit a notification message
services provided to the broker-dealer independent of a rela to a broker-dealer that the instrument was presented;
tionship between the broker-dealer and the investment firm. receive a confirmation message from the broker-dealer
6. A system, comprising: comprising information as to whether to pay the instru
an integrated banking transaction services module to ment; and if the instrument is to be paid, transmit infor
receive an instrument from a client to initiate a broker mation associated with the brokerage transaction to a
age transaction between a broker-dealer and an invest sub-accounting engine.
ment firm; 17. The article of claim 16, wherein the stored instructions,
to transmit a notification message to a broker-dealer that when executed by a processor, are further operable to transmit
the instrument was presented; to receive a confirmation the information associated with the brokerage transaction
message from the broker-dealer comprising information from the sub-accounting engine to the broker-dealer.
as to whether to pay the instrument; and 18. The article of claim 17, wherein the stored instructions,
a sub-accounting engine coupled to the integrated banking
transaction services module to receive information asso when executed by a processor, are further operable to transmit
ciated with the brokerage transaction from the integrated a request to the broker-dealer to execute the brokerage trans
action between the broker-dealer and the investment firm.
banking transaction services module if the instrument is
to be paid. 19. The article of claim 16, wherein the stored instructions,
7. The system of claim 6, wherein the sub-accounting when executed by a processor, are further operable to receive
engine is to transmit the information associated with the any one of a check and a debit card transaction at the inte
brokerage transaction to the broker-dealer. grated banking transaction services module.
8. The system of claim 7, wherein the sub-accounting 20. The article of claim 16, wherein the stored instructions,
engine is to transmit a request to the broker-dealerto execute when executed by a processor, are further operable to receive
the brokerage transaction between the broker-dealer to the fees for banking services provided to the broker-dealer inde
investment firm. pendent of a relationship between the broker-dealer and the
9. The system of claim 6, wherein the integrated banking investment firm.
transaction services module is to receive any one of a check
and a debit card transaction as an instrument from the client.