Method and system for creation of an interest only strips index

Abstract

A method A computer-implemented method of creating an SBA 7(a) index of interest only strip pools comprising: (1) forming one or more candidate pools based on specific characteristics of SBA 7(a) interest only pools; (2) determining one or more selection criteria for including one or more candidate pools in an index; (3) comparing the one or more candidate pools to the selection criteria; (4) and if the criteria is met, then (5) weighting the pool and (6) storing said pool in the index.

1 . A computerized method for creating a Small Business Administration (SBA) 7(a) index of interest only strip loan pools that comprises the steps of:
 (1) forming by a computer processor one or more candidate pools based on specific characteristics of SBA 7(a) interest only loan pools;   (2) determining by the computer processor one or more selection criteria for including one or more candidate pools in an index;   (3) comparing by the computer processor the one or more candidate pools to the one or more selection criteria;   (4) and if the selection criteria are met, then   (5) weighting the pool by the computer processor; and   (6) storing said pool in the index by the computer processor.   
     
     
         2 . The computer method of  claim 1 , further comprising the step of forming candidate pools by determining if a particular pool is an SBA 7(a) U.S. dollar guaranteed interest only pool. 
     
     
         3 . (canceled) 
     
     
         4 . The computer method of  claim 1 , further comprising the step of forming candidate pools by determining if a particular pool states principal and interest. 
     
     
         5 . The computer method of  claim 1 , further comprising the step of forming candidate pools by determining if a particular pool has a maturity greater than a given number of years. 
     
     
         6 . The computer method of  claim 1 , further comprising the step of forming candidate pools by determining if a particular pool has a factor of at least 0.25%. 
     
     
         7 . The computer method of  claim 1 , further comprising the step of forming candidate pools by determining if a particular pool has a pool loan count of at least a given amount. 
     
     
         8 . The computer method of  claim 1 , further comprising the step of forming candidate pools by determining if a particular pool value is greater than a given amount. 
     
     
         9 . The computer method of  claim 1 , further comprising the step of forming candidate pools by determining if a particular pool is not one of a “pool of pools” or private securitization of SBA pools. 
     
     
         10 . The computer method of  claim 1 , further comprising the step of forming said index by weighting the actual outstanding balance of eligible pools. 
     
     
         11 . The computer method of  claim 1 , further comprising the step of forming said index by adjusting the liquidity of the pool for the current month based on the current dollar loan balance of the pool divided by the total amount of the loans balances in the index. 
     
     
         12 . The computer method of  claim 1 , further comprising the step of creating said index by forming one or more sub-indexes determined by distinct maturity cells. 
     
     
         13 . The computer method of  claim 1 , further comprising the step of forming said index by periodically rebalancing for compliance with the selection criteria. 
     
     
         14 . The computer method of  claim 1 , further comprising the step of monetizing the index portfolio by initially entering the index price on the offering side. 
     
     
         15 . The computer method of  claim 1 , further comprising the step of monetizing the index portfolio by entering a price for all pools in the index daily on a bidding side. 
     
     
         16 . The computer method of  claim 1 , further comprising the step of monetizing the index portfolio by calculating yields based upon the last 12 months a constant prepayment rate using a discounted cash flow method. 
     
     
         17 . The computer method of  claim 1 , further comprising the step of monetizing the index portfolio by calculating income return. 
     
     
         18 . The computer method of  claim 1 , further comprising the step of monetizing the index portfolio by calculating a principal return. 
     
     
         19 . The computer method of  claim 1 , further comprising the step of monetizing the index portfolio by calculating a price return. 
     
     
         20 . The computer method of  claim 1 , further comprising the step of monetizing the index portfolio by calculating a daily total return. 
     
     
         21 . The computer method of  claim 1 , further comprising the step of monetizing the index portfolio by calculating an end market value. 
     
     
         22 . The computer method of  claim 1 , further comprising the step of monetizing the index portfolio by calculating a cumulative total return. 
     
     
         23 . The computer method of  claim 1 , further comprising the step of creating a physical investment asset. 
     
     
         24 . The computer method of  claim 1 , further comprising the step of a securitizing a Confirmation of Originator Fee (COOF) physical asset. 
     
     
         25 . The computer method of  claim 24 , wherein the COOF physical asset is stripped from a guaranteed loan and pooled for investment. 
     
     
         26 . The computer method of  claim 1 , further comprising the step of securitizing one or more loans to form one of COOFs or Receipt for Multiple Originator Fees (RMOFs) pools of loans. 
     
     
         27 . The computer method of  claim 1 , further comprising the step of creating a portfolio of securitized one or more COOFs or RMOFs, having an index based upon an SBA 7(a) index of interest only strips. 
     
     
         28 . A non-transitory computer-readable medium having stored thereon computer-readable instructions for implementing a method comprising: (1) forming one or more candidate pools based on specific characteristics of SBA 7(a) interest only strip pools; (2) determining one or more selection criteria for including one or more candidate pools in an index; (3) comparing the one or more candidate pools to the one or more selection criteria; (4) and if the selection criteria are met then (5) weighting the pool; and (6) storing said pool in the index. 
     
     
         29 . (canceled) 
     
     
         30 . A computer system comprising: a processor, interfaced to a data storage device, that contains instructions that when executed by the processor perform the steps of:
 (1) forming one or more candidate pools based on specific characteristics of SBA 7(a) interest only loan pools;   (2) determining one or more selection criteria for including one or more candidate pools in an index;   (3) comparing the one or more candidate pools to the one or more selection criteria;   (4) and if the selection criteria are met, then   (5) weighting the pool; and   (6) storing said pool in the index.