Ok so they say they are looking for “future global leaders” and we know this means adding Quants as if you have not read some of the news out there, like Goldman Sachs as an example, over 25% of their total employees are in the the tech field, with about 4000 being Quants.  Is this any different, I think not and other banks such as NY Mellon are also mining their data trying to figure out how to charge more fees and make more money as well, that was also in the news of late,  so is there any doubt that math models create profits?  It’s worked for Goldman for years and I’m sure you might find similar ratios at other banks as well.  It was not too long ago that is was reported that Blue Cross and United are busy buying up consumer spending records, Visa and MasterCard to be specific.

Insurance Companies Are Buying Up Consumer Spending Data-Time is Here to License and Tax the Data Sellers-As Insurers Sell Tons of Data, Gets Flawed Data When Data Buyers Uses Out of Context Too

Blue Cross had to come up with an answer of some sort and came up with this, that they are looking at what their members are buying with the size of clothes on these records so they can be proactive and find those who are getting fat.  Yeah, pretty weak statement as we all know, that is any of us who have worked with data bases it doesn’t end there as they will crank and grind the Query Masters and the Quants to find anything else in there they can sell and make money with.  As a reader don’t be duped on thinking that’s all they do and scroll down and watch the Quants of Wall Street Documentary in the footer of this blog and then you’ll get it as to the power and code of what runs on servers 24/7 making life impacting decisions about all of us.  Speeches from politicians have little effect as they can’t change this code and only “real” tech regulation will allow that to be done with demanding ethics and accuracy from bank business models.  Here’s the story below on insurers buying up this information.  Do you wonder why your insurance policies are so expensive at times?  This is in there too.

Even if you listen to very smart folks, like Larry Ellison, CEO of Oracle, he tells you the same thing, banks have been collecting data on you longer than anyone else out there, like about 30 years worth and their data impact for the consumer should be your number one concern and think about the NSA spying as number two.  Mr. Ellison sells technologies that improve efficiencies and we all for that as long as the “evil data selling folks” don’t screw it up and that’s what’s happening out there so this looks like MasterCard seems to be going down that road and it affects all of us.  Watch his video at the link below. 

Larry Ellison Talks With Charlie Rose About Google, Privacy, the NSA and More, Reiterates That You Need To Worry More About What Data Private Industry Collects and Uses And Less About the Government

The private industry data selling indeed affects your every day life and who knows how long it might take the NSA to get around to you, that is if they find you to be a person of interest.  Also watch video number one in the footer, “Context is Everything” and professor Siefe will show you how you are duped every day with numbers, and be a skeptic when you need to be.  If you want to learn more about how this works, visit the Algo Duping page for even more videos done by people smarter than me who are also trying to help and educate.  We all know that a profile “out of context” and used to create profits stands to be one of biggest discrimination forces ever used against consumers.  I also call it the “Attack of the Killer Algorithms” and there’s a link over at the Algo Duping page and at the top of this page for over 50 posts of every day examples of how it happens.  The Occupy Movement was all about the Attack of the Killer Algorithms a couple years ago but they didn’t understand it, but they do now and even wrote a book on “Alternative Banking”.

Big Data/Analytics If Used Out of Context and Without True Values Stand To Be A Huge Discriminatory Practice Against Consumers–More Honest Data Scientists Needed to Formulate Accuracy/Value To Keep Algo Duping For Profit Out of the Game

Sadly in Washington we have a group that won’t address this as they seem to fear math so we get a lot of verbiage that allows banks to figure out loopholes and how to run math models that are for profit only with ignoring ethics and algorithms to stay legal.  It’s getting more complex so are the models.  If you watch the Quant video below the #1 Quant in the world tells you there’s too much math in finance and how it duped you.

Privacy Relative to Tracking Apps and Data Mining Legislation Will Fail If There is No Regulation Path Created–License and Excise Tax Data Miners & Sellers Otherwise It’s “Laws With No Balls”

Due to a lot of digital illiteracy Congress and the FTC can’t even address these “outlaw” E-scoring companies that provide data about you and you can’t even get access to what they sell about you.  There’s a good essay here from Cathy O’Neill called “About Being a Data Skeptic” and she’s so credible and by the way adds a few interesting items about Larry Summers as she did his modeling years ago at DE Shaw…very interesting.  Video #3 in the footer is also where she discusses the “Weapons of Math Destruction” with her Columbia University lectures. 

E-Scoring Credit Algorithms Invisible To Consumers Used to Market and Evaluate, Does Not Fall Under Federal Law And Such Are Used by Insurance Companies - How Will This Work With Exchanges –Attack of the Killer Algorithms Chapter 42

You have healthcare corporations cashing in big time with selling data, United Healthcare is one and Walgreens as another example makes about a billion a year, just selling data.  Shoot SAP even wants to broker and sell Verizon data and split the profits with them, say they can do it better than Verizon can in house.  Here’s another example, CVS wants their data selling money too:

Not To Be Outdone by Walgreens In the Data Selling Business, CVS Pushing a New “My Weekly Ad”, Former White House Healthcare Czar Nancy DeParle Now Sits On Their Board, Discloses Award of 562 Shares..
Walgreens Cashing in Big In the Data Selling Epidemic Arena–Incentives Connected to Apps and Devices That Sell, Re-Query and Re-Sell Our Data And Data Profiles

With all this going on people wonder why consumers don’t trust mHealth apps…well…duh?  You have these privacy statements to read that you don’t understand (just got another one from Verizon yesterday in the mail about FIOS, same stuff) and if I can’t make heads or tails out of it, I’m not going there and advise others to do the same so they don’t get trapped. 

So in my opinion this big batch of news here about MasterCard just looks like the efforts to get the Quants lined up to create some additional math models that can increase fees, make more money selling our data and just profit all the way around, so I see it for what it probably is…anyone want to prove me wrong?  I’m always listening as I know algorithms twist and turn every which way for profits but the most important question right now is, where’s the ethics in all of this?  BD 


MasterCard has announced plans for a multi-million dollar renovation of its headquarters building in Purchase, Westchester County alongside the creation of the new technology-focused office in New York City. The moves will lead to the creation of approximately 400 new jobs over the next five years, of which 122 will be placed in the NY lab.
MasterCard is making a $39 million capital investment in the expansion of its headquarter building, with construction set to begin in 2014.

The card scheme says it will also spend 'several million dollars' on the New York lab facility.
MasterCard has already placed ads for the New York lab intake, where it is looking for "creative and adaptable, self-motivated software engineer(s) that will research market trends through available big data and develop technology products aligned with MasterCard's digital strategy".

http://www.finextra.com/news/fullstory.aspx?newsitemid=25544

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