Continuing the discussion from AMA - ask Robin Hood anything:
This is a chunky topic.. so I've started this thread so we can chip away at it.
Here is a useful doc:
2.Investments in Cooperative shares. When buying shares, the member buys
equity in the Cooperative. The Cooperative then invests that equity in
currency and stock exchange markets. These assets under management may
go up or down in value. Past performance of the portfolio does not
guarantee future performance.
In reality, this means at the end of each month we bundle all member deposits and then make purchases through our broker for the US stock exchange.
"As I understand it, "the parasite" is more or less a recommendation engine, presenting preferences to an actual human who makes selections. Well, who is that human? What time and through what channels do those decisions get made?"
The humans who make this decision is Sakari (the algorithm designer) which is overseen by the Board Members. Currently:
Akseli Virtanen (Chairman) ( @Akseli) , Tiziana Terranova ( @tterra142 ) , Tere Vadén ( @Tere ) and Liisa Välikangas (@liisa_valikangas).
This is done through monthly meetings with those who have access to the IB account.
The board members are selected at the RHC AGM.
Let me know if you need me to tease out more info!