Multi-Agent Trading Platform for Retail Investors
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Solution Overview
Problem
Retail investors and traders face disadvantages due to limited access to price-sensitive information and complex trading systems, making it difficult for them to benefit from modern trading systems, and they often rely on financial advisors who charge high commissions.
Innovation Solution
A multi-agent artificial proprietary trading platform that automatically monitors opportunities for financial gain and allows collective trading among users, reducing costs through fractional ownership and behavioral pattern analysis, integrated as an apparatus, database system, and computer program product.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Productivity
If modern trading systems are used, then trading efficiency and automation are improved, but system complexity increases making them inaccessible to retail investors
Solution Approach 1:
The patent introduces a financial advisor system that acts as an intermediary between retail investors and complex trading systems. The advisor analyzes market data, generates trading signals, and executes trades on behalf of investors, shielding them from system complexity while maintaining access to sophisticated trading capabilities. This mediator layer allows retail investors to benefit from automated trading without needing to understand or manage the underlying complex infrastructure.
2Ease of operation
If financial advisors are used, then access to trading expertise is improved, but trading costs increase due to high commissions
Solution Approach 1:
The patent implements an automated financial advisor system that operates without requiring human financial advisors. The system uses algorithms to analyze market conditions, generate trading signals, and execute trades automatically. This self-service approach eliminates the need for human advisors and their associated high commissions, while still providing retail investors with access to sophisticated trading strategies and market analysis capabilities.
Solution Approach 2:
The patent replaces the mechanical system of human financial advisors with an automated computational system. Instead of relying on human analysts who charge high fees for their expertise, the system uses computer algorithms to perform market analysis and trade execution. This substitution dramatically reduces operational costs while maintaining or improving the quality of trading advice and execution.
3Adaptability or versatility
If retail investors trade individually, then independence is maintained, but trading costs are high and profitability is reduced
Solution Approach 1:
The patent enables retail investors to merge their trading activities through a collective trading platform. Multiple investors can pool their resources and trades, allowing the system to achieve economies of scale that reduce per-trade costs. The automated advisor system can execute trades on behalf of multiple investors simultaneously, reducing redundant transaction costs and improving overall profitability while maintaining each investor's independence and control over their participation.
Data Source
AI summary
An apparatus (100) for proprietary trading financial instruments (F1, F2) in a financial trading system (20) of at least a first trading agent (A1) providing at least first financial instrument (F1) and a second trading agent (A2) providing at least a second financial instrument (F2) and a crowd of trading customers (TC), which apparatus (100) further comprises a monitoring unit (130) configured to automatically monitor opportunities to perform proprietary trading in said trading system (20) based on a plurality of systematic strategies running over the plurality of trading agents and financial instruments and based on behavioral patterns emerged by interaction of individual long- or medium term trading, and further comprising an automated trading unit (180) configured to automatically control multi-agent trading of the plurality of trading agents (A1, A2) and the plurality of financial instruments (F1, F2), wherein the trading unit (180) is configured to automatically provide a time frame (TF) within which the crowd of clients (23) are offered to trade collectively thereby founding the trade in collectively automatically based on the behavioral patterns. An advantage is that the various embodiments of the present disclosure will contribute to change this rigid structure in the favor of those customers/investors with less knowledge about the financial markets.