R. Kent Madsen, Ph.D

Kent Madsen

R. Kent Madsen, Ph.D

Director, Quantitative Research

Kent is responsible for developing quantitative analytics for Palo Capital’s investment process and is lead manager of the Palo Market Neutral strategy which operates on an algorithm developed by Dr. Madsen over a 20-year period.

During his graduate studies, Kent worked for Hughes Aircraft Company developing software for flight simulators, and published research on the use of neural networks and other pattern recognition tools to guide software development. This work led to his developing profitable systems for trading commodity futures and sports betting.

Kent spent nine years with Edward O. Thorp & Associates (EOTA) which operated one of the nation’s most successful hedge funds, an equity market-neutral investment partnership called Ridgeline Partners. Serving as Director of Research for Noesis Corp. which acted as the General Partner for Ridgeline, he developed the systems used to manage Ridgeline’s capital. After leaving EOTA, he developed a market neutral trading system that was more robust than the trading system at EOTA. Kent joined Palo Capital to bring this trading system to market.

Kent earned a B.S. in Computer Science summa cum laude, a B.A. in Economics and a Ph.D. in Computer Science from the University of California, Irvine.