Erste Asset Management

The primal fear of “Profiling”

The primal fear of “Profiling”
iStock

I once studied psychology for two terms. Not of my own volition – it was an administrative error. Somebody had printed “Psychology” on my enrolment slip. Unfortunately, I did not attend any seminars in those two terms, which I now regret as a manager. But although I did not attend a single seminar, I still learnt something from the experience. Many people harbour an undefined fear of psychologists. Every time I told somebody I studied psychology, I could sense a certain reservation. I would always interpret it as the fear of people of someone being able to look inside them and know what they were thinking. And, let’s be honest: have you never had the thought “Thank God nobody knows what I am thinking right now”?

That was many years ago. Nowadays, Google, Facebook, Amazon et al. do know quite well what we are thinking. And apparently even better than we do ourselves and the people who are close to us. The story of the woman who received promotional material for nappies before she herself knew that she was pregnant is the stuff of legends. And it is not that difficult. After all, we like to relinquish this sort of information voluntarily. Do you agree for XXX to have access to your contacts? Do you agree for XXX to have access to your current location? Those are questions that pop up during the installation of almost every app. We do sometimes wonder why the app needs contacts and mobility profiles to remote-control our stereo, but in the end, we agree. In many cases, we have no choice anyway. If you click “no”, the download stops, and that’s that for you and this particular app.

What I find interesting is our dismay when somebody tells us what our data are used for.

Who are you voting for?

In the run-up to every election, people discuss who will be voting for whom. Many of us refrain from revealing too much; we say that this information is our own business and nobody else’s. After that, we visit www.wahlkabine.at, answer 20 questions, and are amazed (at least I am) at the result, which somehow fits and yet comes as a surprise. These 20 questions are enough for the supposedly anonymous internet to know how we think.

At the supermarket check-out, I get bored easily. I am too impatient to wait. I sometimes bring a book, but if that is not an option, I like to profile people. A look into the shopping trolley and at the person pushing it, and I feel like I could answer a few questions about them. – Single? Kids? Income? Political affiliation? Religion? Answers to questions that people often do not like to answer (at least not honestly). Imagine you have access to these data day-in, day-out, every year. How fast you would have the answers to those questions that somebody may not have wanted to answer

Personally, I find Big Data and its potential use a very interesting topic. I cannot begin to imagine what these data can be used for and in how many different ways they can be cross-referenced. I am aware that this form of analysis can be useful, but there is of course also the risk of misuse. I also think that companies have to be able to shoulder that responsibility. We as citizens have a right to it. At the same time, I believe that many people also have to assume their share of responsibility; complaining about data misuse while handing over data that in a one-on-one conversation one would never reveal does not add up.

 

 

 

Mag. Gerold Permoser

 

Legal note:
Prognoses are no reliable indicator for future performance.

DOSSIER

RESPOND TO THE ARTICLE

Legal disclaimer

This document is an advertisement. Unless indicated otherwise, source: Erste Asset Management GmbH. The language of communication of the sales offices is German and the languages of communication of the Management Company also include English.

The prospectus for UCITS funds (including any amendments) is prepared and published in accordance with the provisions of the InvFG 2011 as amended. Information for Investors pursuant to § 21 AIFMG is prepared for the alternative investment funds (AIF) administered by Erste Asset Management GmbH pursuant to the provisions of the AIFMG in conjunction with the InvFG 2011.

The currently valid versions of the prospectus, the Information for Investors pursuant to § 21 AIFMG, and the key information document can be found on the website www.erste-am.com under “Mandatory publications” and can be obtained free of charge by interested investors at the offices of the Management Company and at the offices of the depositary bank. The exact date of the most recent publication of the prospectus, the languages in which the key information document is available, and any other locations where the documents can be obtained are indicated on the website www.erste-am.com. A summary of the investor rights is available in German and English on the website www.erste-am.com/investor-rights and can also be obtained from the Management Company.

The Management Company can decide to suspend the provisions it has taken for the sale of unit certificates in other countries in accordance with the regulatory requirements.

Note: You are about to purchase a product that may be difficult to understand. We recommend that you read the indicated fund documents before making an investment decision. In addition to the locations listed above, you can obtain these documents free of charge at the offices of the referring Sparkassen bank and the offices of Erste Bank der oesterreichischen Sparkassen AG. You can also access these documents electronically at www.erste-am.com.

N.B.: The performance scenarios listed in the key information document are based on a calculation method that is specified in an EU regulation. The future market development cannot be accurately predicted. The depicted performance scenarios merely present potential earnings, but are based on the earnings in the recent past. The actual earnings may be lower than indicated. Our analyses and conclusions are general in nature and do not take into account the individual characteristics of our investors in terms of earnings, taxation, experience and knowledge, investment objective, financial position, capacity for loss, and risk tolerance.

Please note: Past performance is not a reliable indicator of the future performance of a fund. Investments in securities entail risks in addition to the opportunities presented here. The value of units and their earnings can rise and fall. Changes in exchange rates can also have a positive or negative effect on the value of an investment. For this reason, you may receive less than your originally invested amount when you redeem your units. Persons who are interested in purchasing units in investment funds are advised to read the current fund prospectus(es) and the Information for Investors pursuant to § 21 AIFMG, especially the risk notices they contain, before making an investment decision. If the fund currency is different than the investor’s home currency, changes in the relevant exchange rate can positively or negatively influence the value of the investment and the amount of the costs associated with the fund in the home currency.

We are not permitted to directly or indirectly offer, sell, transfer, or deliver this financial product to natural or legal persons whose place of residence or domicile is located in a country where this is legally prohibited. In this case, we may not provide any product information, either.

Please consult the corresponding information in the fund prospectus and the Information for Investors pursuant to § 21 AIFMG for restrictions on the sale of the fund to American or Russian citizens.

It is expressly noted that this communication does not provide any investment recommendations, but only expresses our current market assessment. Thus, this communication is not a substitute for investment advice, does not take into account the legal regulations aimed at promoting the independence of financial analyses, and is not subject to a prohibition on trading following the distribution of financial analyses.

This document does not represent a sales activity of the Management Company and therefore may not be construed as an offer for the purchase or sale of financial or investment instruments.

Erste Asset Management GmbH is affiliated with the referring Sparkassen banks and Erste Bank.

Please also read the “Information about us and our securities services” published by your bank.

Subject to misprints and errors.

Share post:
Exit mobile version