Hedge Fund Apps Want You To Believe They Are Redistributing Wall Street Wealth To You

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If a person wanted to participate fully in the model of “redistribution of wealth”Investment startup Delphia claims to offer, here’s what they would do: First, they would download the company’s app and give it access to various categories of personal information. If they opted for every imaginable data type that Delphia says they want, then the app, through a partnership with a third-party subcontractor, would be able to read their emails to collect metadata and information. received. Delphia could review their financial transactions and scratch their Twitter account, as well as track their location and view their transactions on the Robinhood investment app. Delphia’s website also implies that now or in the near future the company would also recover its browsing history and fitness data. Every time that person gave Delphia access to another app on her phone, she was entered to win a weekly prize of $ 10 million, a lottery in recognition of helping the company make better bets.

This theoretical person, being an ordinary man interested in investing as a means of capturing a share of the enormous wealth realized in the stock market, which until recently was only accessible to a privileged few, could also contribute at least $ 10. at the Delphia fund. And if they did all of that, the company would channel their money into a series of investments determined by analyzing the data the person shared, as well as the data of all the other “contributors” to the app. Each individual user becomes a data broker, leveraging their own habits as valuable consumer information, the ultimate quantification of self. And because this is happening the same year that a bunch of kids on Reddit made money coordinating their purchase of GameStop shares, Delphia vows to fight back control of vast fortunes from Wall Street lawsuits and place them in the hands of 99%.

I’m basing most of my information here on what Delphia says in the promotional material, because while I have absolutely no reason to believe that the company would put my personal information at risk, I also couldn’t bring myself to enter my social security number in its app to verify my identity. I first heard of Delphia when a PR firm sent a series of aggressively friendly emails to one of my editors offering what I imagine would have been a trending story on the democratizing power of hedge fund applications, a framework widely used in the financial technology industry, but which finds particularly extreme expression in Delphia’s conception of itself. “We founded Delphia to create meaningful prosperity by redistributing wealth to those whose data creates economic value,” the startup’s website read. Or as company founder Andrew Peek said Fast business, during a strong press push in 2019, Delphia’s activity is to erase “the investment advantage for the 1%”, which, according to him, essentially amounts to asking its users to voluntarily share the kind of data Wall Street is already buying elsewhere, such as far away invest More precisely. This is only partially true, given that the data that Delphia collects is probably much more specific and useful, which is also part of Delphia’s program. not wider.

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