Perry J KaufmanSystematic Trader and Quantitative Financial Theorist
Perry J. Kaufman is a financial engineer, well-known for developing algorithmic strategies for the global equity and futures markets. Beginning as a “rocket scientist” in the Aerospace Industry, where he worked on the navigation and control systems for Gemini, Mr. Kaufman has applied his broad knowledge and experience in computers and technology to trading methods and risk analysis for institutional and commercial applications.
Mr. Kaufman is the author of Trading Systems and Methods, 6th Edition (Wiley, 2020), first published in 1978, a book that has been called “remarkably insightful,” “the most authoritative and comprehensive work” in the industry; it puts the process of research and development into a “cohesive framework.” He has recently published, Kaufman Constructs Trading Systems, available on Amazon, where he describes the process of creating trading systems, with many examples, in an easily readable format.
As a Principal of Man-Drapeau Research (Singapore) from 1992 through 1998, Mr. Kaufman created the proprietary trading program that yielded a superior performance in the derivatives industry. He was head of systems research and trading at Transworld Oil, Ltd. (Bermuda) from 1981 to 1991. Among his clients have been major international commercial firms, large security houses, and a Central Bank. Since 2000 he has worked with Cinergy Capital Proprietary Trading Group, Graham Capital Management, Mizuho Alternative Investments, and other financial institutions.
Mr. Kaufman develops quantitative investment strategies and partners with firms that use them. The scope of his background gives him a unique understanding of the interaction of complex market structures and investor needs. More information can be found on his website, www.kaufmansignals.com.
A Guide To Developing A Successful Algorithmic Trading Strategy (Wiley, 2016) Trading Systems and Methods + Website, Fifth Edition (Wiley, 2013), also in Russian (Alpina, 2014) Alpha Trading (Wiley, 2011) New Trading Systems and Methods, Fourth Edition (Wiley, 2005), also in Chinese (Guangdong, 2006) and Spanish (Millenium Capital, 2010) A Short Course in Technical Trading (Wiley, 2003), also in Chinese (Guangdong, 2006) Trading Systems and Methods, 3rd Edition (Wiley, 1998) (also in Russian, 2002) Global Equity Investing (with Alberto Vivanti) (McGraw-Hill, 1997) Smarter Trading (McGraw-Hill, 1995), also in Italian (www.tradinglibrary.it, 2006), Chinese (MH Singapore, 2014) The New Commodity Trading Systems and Methods (Wiley, 1987) The Concise Handbook of Futures Markets (Wiley, 1986) The Handbook of Futures Markets (Wiley, 1984) Technical Analysis in Commodities (Wiley, 1980) (also in Japanese, UNI 1986) Commodity Trading Systems and Methods (Wiley, 1978) Point-and-Figure Commodity Trading Techniques (Investors Intelligence, Larchmont, New York, 1975)
"Moving Averages and Trends," in Todd Lofton, Trading Tactics, Chicago Mercantile Exchange, Chicago, 1986
"Technical Analysis," in Nancy Rothstein, The Handbook of Financial Futures, McGraw-Hill, NY, 1984
Mr. Kaufman has published numerous articles in the Journal of Futures Markets, Modern Trader (previously Futures}, Active Trader, Technical Analysis of Stocks and Commodities, Futures Industry, and TradersOnlineMag (Traders-Mag.com). Articles can also be found online at Seeking Alpha, Harvest, Equities.com, and KaufmanSignals.com. Some of these are:
“The 3-Day Trade,” TradeStation.com, Strategy-Concepts-Club, scheduled June 2016 “Sector Rotation,” Modern Trader, April 2016 “Bottom Fishing,” Modern Trader, March 2016 “Gaming the System: Profiting from Fund Flows,” Modern Trader, February 2016 “A Short-Term Strategy Based on Volume,” Modern Trader, January 2016 “Countertrend ETF Trading,” www.Traders-Mag.com, Dec/Jan 2016 (German and English) “Slope Divergence,” Technical Analysis of Stocks & Commodities, June 2014 “An Interview with Perry Kaufman,” www.Traders-Mag.com, March 2014 “A Better Trend,” Technical Analysis of Stocks & Commodities, March 2014 “Market Timing with Pairs Logic,” Technical Analysis of Stocks & Commodities, February 2014 “A Book Review and Interview with Perry Kaufman,” by Mario Valentino Guffanti, Swiss Technical Analysis Journal, Summer 2013. “Market-neutral stock trend system,” Active Trader Magazine, July 2009 “An Interview with Perry Kaufman,” The Technical Analyst (United Kingdom), May 2009 “Crossover Relative Value Trading,” Futures, January 2009 “Lessons Learned the Hard Way,” Futures, August 2002 “Positioning the Greek Equities Market for International Investing,” Second World Congress of Nonlinear Analysts, July 1996, Athens, Greece.
“Price Shocks: Reevaluating Risk/Return Expectations,” Futures Industry, July 1995. “Perry Kaufman on Market Analysis,” Technical Analysis of Stocks and Commodities, June 1995, reprinted 1998 bonus issue.
Selected Lectures, Seminars, and Webinars
Mr. Kaufman has been a speaker at universities, major industry seminars, New York Stock Exchange corporate training courses, and the Dow Jones World Tours; he has given numerous webinars as well as a number of radio and television appearances. Some of these have been:
“Strategy Development,” webinar with Andrew Swanscott, BetterSystemTrader.com, April 2016 “Creating Risk,” webinar with Henry Obi, Binaryology, February, 2016 “The Many Dimensions of Risk Management,” (University of Arkansas, Walton College/Garrison Financial Institute, October 2015) Interview with Andrew Swanscott, BetterSystemTrader.com, June 2015 Interview with Michael Covel, Trendfollowing.com, July 2014 “Market Timing,” (MTA Symposium, New York, April 2014) “The Impact of Global Investing on Asian Markets,” (Asian Financial Forum, Hong Kong, January 2011 “Strategy Development” (Forum, Paris, September 2009) “Essentials of Strategy Development” and “Performance and Risk Metrics” (Technical Analysis Group, London, July and October 2009) “Theory versus Reality” (Technical Analyst Association, Toronto 2008) “Developing Systems” (Private group, The Netherlands 2007) “Intermarket Mechanics” (IFTA Lugano 2006) “Portfolio Allocation using Genetic Algorithms” (IFTA Madrid 2004) “Trading Systems That Work” (Online Investors Expo, Las Vegas, November 2000) “Robust Trading Systems” (IFTA Rome and Milan, November 1998)
Mr. Kaufman hold a B.S. in Mathematics from the University of Wisconsin (1965) and an MBA from the New York Institute of Technology (2005). He has taken numerous graduate courses in Electrical Engineering (the precursor to Computer Science) at the University of Southern California.