Parallax Financial Research, Inc., a registered CTA, is a small research boutique in Redmond, Washington, USA, dedicated to delivering the finest stock and commodity forecasting tools to the professional money management community. These tools and forecasting models are based on applications of chaos theory to the financial markets, and many incorporate neural networks as a final step to generate forecasts. Kris Kaufman, the president of Parallax, has degrees in Mathematics and Physics, and spent 13 years as a geophysicist before incorporating Parallax in 1990. Douglas Frick, vice president, has a Master's degree in Information and Computer Sciences, and a background in mathematics and software engineering.

Commercial products include Precision Turn and TurnAlert, which are available on our Precision Turn On-Line website. The turn forecasting models are based on the "quasi-periodic" oscillator cycle model from non-linear dynamics, and forecast the day a market is likely to change its recent trend. Other products include the BondExpert weekly forecast of T-Bond direction, and Wizard fundamental stock valuations.

Parallax also provides one-on-one services to a few select money managers by incorporating the Parallax Solutions Platform into the manager's investment discipline. The platform runs within TradeStation from TradeStation Group, and contains many custom indicators which are blended with a manager's own technique to enhance performance. Currently the managers using this platform are managing about 200 million dollars in client funds.

Chaos theory is the scientific theory which deals with non-linear systems. These are systems in which some of the outputs are fed back in to form the next set of outputs. Auction markets, while not being perfect non-linear systems, do demonstrate many of their characteristics. By understanding these characteristics, Parallax has been able to build better indicators than has previously been possible. This is an evolutionary process in technical analysis. Neural nets, which are mathematical tools that can be trained by example, provide a dynamic way to weight our indicators so a final buy/hold/sell forecast can be made in a consistent manner. Parallax currently uses two professional neural network programs: BrainMaker and NGO.

Some of our satisfied clients include: Marque Millennium, Morgan Stanley Dean Witter, Deutsche Bank Securities, Van Kampen American Capital, Vantage Consulting Group, Fidelity Investments, Schroders, and the Bank of New York.

Find out how to contact Parallax.
Find out about product trials.
Go to the Parallax home page.