System and method for processing orders for securities

1. A computer-readable storage medium comprising instructions which, when executed by a data processing apparatus, perform a method for processing an order to trade securities, the method comprising:

establishing one or more tiers, the tiers representing a range of values associated with a trade size and an average daily volume of trading in a security, each of one or more of the tiers being associated with a predetermined price improvement;

receiving an order to trade in the security, the order being associated with an order size;

determining the tier within which the order falls based on the order size and the average daily volume if the order is within the range of values; and

automatically executing at least a portion of the order with the price improvement associated with the determined tier.

2. The computer-readable storage medium of claim 1 , the method further comprising:

executing the order based on a classification of the security.

3. The computer-readable storage medium of claim 1 , the method further comprising:

establishing a trading limit for a client; and

adjusting the trading limit according to market activity.

4. The computer-readable storage medium of claim 1 , wherein two or more tiers are established.

5. The computer-readable storage medium of claim 1 , wherein the order is associated with a client and the method further comprising:

determining whether the tier is available for use with the client; and

automatically executing the order with the price improvement associated with the determined tier if the tier is available for use with the client.

6. The computer-readable storage medium of claim 1 , wherein the securities comprise multiple asset classes.

7. The computer-readable storage medium of claim 6 , wherein the multiple asset classes comprise derivatives.

8. The computer-readable storage medium of claim 1 , wherein the securities comprise synthetics.

9. A computer-readable storage medium comprising instructions which, when executed by a data processing apparatus, perform a method for processing an order to trade securities, the method comprising:

receiving an order to trade securities, the order being associated with one of first and second execution indications;

automatically executing at least a portion of the order with a predetermined price improvement if the order meets one or more predetermined eligibility requirements, at least a portion of the order being manually processed if the order fails to meet one or more of the predetermined eligibility requirements and is associated with the first execution indication; and

returning the order unfilled if the order fails to meet one or more of the predetermined eligibility requirements and is associated with the second execution indication.

10. The computer-readable storage medium of claim 9 , wherein the order is received electronically over a network.

11. A computer-readable storage medium comprising instructions which, when executed by a data processing apparatus, perform a method for processing an order to trade securities, the method comprising:

establishing one or more tiers, the tiers representing a range of values associated with a trade size and an average daily volume of trading a security, wherein each of one or more of the tiers is associated with a predetermined price improvement;

receiving an order to trade in the security, the order being associated with an order size and one of first and second execution indications;

determining the tier within which the order falls based on the order size and the average daily volume;

automatically executing a portion of the order, up to the trade size associated with the determined tier, with the price improvement associated with the determined tier, if the order meets one or more predetermined eligibility requirements, a residual of the order exceeding the trade size associated with the determined tier being manually processed if the order is associated with the first execution indication; and

returning the residual of the order exceeding the trade size associated with the determined tier unfilled if the order is associated with the second execution indication.

12. A computer-readable storage medium comprising instructions which, when executed by a data processing apparatus, perform a method for trading a security, the method comprising:

submitting an order to trade in a security, the order being associated with an order size; and

receiving automatic execution of at least a portion of the order with a predetermined price improvement associated with a determined tier, the tier determined based on the order size and an average daily volume of trading in the security, the tier comprising one of a plurality of tiers representing a range of values associated with a trade size and an average daily volume of trading in a security, each of one or more of the tiers associated with the price improvement.

13. A computer-readable storage medium comprising instructions which, when executed by a data processing apparatus, perform a method for trading a security, the method comprising:

submitting an order to trade securities, the order associated with one of first and second execution indications; and

receiving one of an automatic execution of the order with a price improvement and an unfilled return of the order, at least a portion of the order being automatically executed with a predetermined price improvement if the order meets one or more predetermined eligibility requirements, at least a portion of the order being manually processed if the order fails to meet one or more of the predetermined eligibility requirements and is associated with the first execution indication, and at least a portion of the order being returned unfilled if the order fails to meet one or more of the predetermined eligibility requirements and is associated with the second execution indication.

14. A computer-readable storage medium comprising instructions which, when executed by a data processing apparatus, perform a method for trading a security, the method comprising:

submitting an order to trade in a security, the order being associated with an order size and one of first and second execution indications; and

receiving one of an automatic execution of the order with a predetermined price improvement and an unfilled return of the order,

at least a portion of the order, up to the trade size associated with a determined tier, being automatically executed, with the price improvement associated with the determined tier, if the order meets one or more eligibility requirements, the tiers representing a range of values associated with a trade size and an average daily volume of trading a security, each of one or more of the tiers associated with the price improvement, the order being associated with one of the tiers based on the order size and the average daily volume, a residual of the order exceeding the trade size associated with the determined tier being manually processed if the order is associated with the first execution indication, and the residual of the order exceeding the trade size associated with the determined tier being returned unfilled if the order is associated with the second execution indication.

15. A system for processing an order to trade securities, the system comprising:

an order management component that receives an order to trade in a security, the order being associated with an order size; and

a processor that (i) determines a tier within which the order falls based on the order size and an average daily volume of trading in the security, the tier comprising one of a plurality of tiers representing a range of values associated with a trade size and an average daily volume of trading in a security, each of one or more of the tiers being associated with a price improvement, and (ii) automatically executes at least a portion of the order with a price improvement associated with the determined tier.

16. The system of claim 15 further comprising:

a routing component that receives an order electronically from a network and transmits the order to the order management component.

17. A system for processing an order to trade securities, the system comprising:

an order management component that receives an order to trade securities, the order being associated with one of first and second execution indications; and

a processor that, automatically executes the order with a predetermined price improvement if the order meets one or more predetermined eligibility requirements, the order being processed manually if the order fails to meet one or more of the eligibility requirements and the order is associated with the first execution indication, the order being returned unfilled if the order fails to meet one or more of the eligibility requirements and the order is associated with the second execution indication.

18. The system of claim 17 further comprising:

a routing component that receives an order electronically from a network and transmits the order to the order management component.

19. A system for processing an order to trade securities, the system comprising:

an order management component that receives an order to trade in a security, the order being associated with an order size and one of first and second execution indications; and

a processor in communication with the order management component that (i) determines a tier within which the order falls based on the order size and an average daily volume of trading in the security, the tier comprising one of a plurality of tiers representing a range of values associated with a trade size and an average daily volume of trading in a security, each of one or more of the tiers being associated with a predetermined price improvement, and (ii) automatically executes a portion of the order, up to the trade size associated with the determined tier, with the price improvement associated with the determined tier, if the order meets one or more predetermined eligibility requirements, a residual of the order exceeding the trade size associated with the determined tier being manually processed if the order is associated with the first execution indication, and the residual of the order exceeding the trade size associated with the determined tier being returned unfilled if the order is associated with the second execution indication.

20. The system of claim 19 further comprising:

a routing component that receive an order electronically from a network and transmits the order to the order management component.