Day 9 - Banking Systems and the Stock Market
“For the love of money is a root of all kinds of evil. Some people, eager for money, have wandered from the faith and pierced themselves with many griefs.” -1 Timothy 6:10
While there are not many documented cases of corruption in the banking systems and stock market, there are some areas at risk. In almost every type of financial corruption, the primary motivator is greed.
Due to technological advances used in both banking and trading, corruption can easily fly under the radar; this, mixed with emerging markets in foreign nations and enormous piles of personal and national debt, makes the current financial world an unstable place.
AREAS TO CONSIDER
- Insider trading
When people with inside knowledge of a company’s quarterly stock files illegally leak information to others, influencing their decision to invest in that company or not. Essentially, it creates an unbalanced playing field for those investing in the stock market. Insider trading is hard to prove, but it must be policed well or it will grow.
- High frequency trading
More and more market activity is being done by computer based programs that can make extremely large trades in a split second. This creates the potential for illegal trading to be committed without being noticed.
- Front running
This occurs when a stock broker executes a trade while having the knowledge that, subsequently, there will be more trades made on that particular stock. Again, this disrupts what is supposed to be a balanced playing field for companies.
As mentioned before, greed drives people to ungodly practices. Speculation, get-rich-quick schemes and debt binges (especially margin debt) create massive problems for future generations who have to deal with the aftermath of market crashes.
- Emerging markets
Developing economies and financial systems in second and third-world nations are very susceptible to corruption due to their markets lacking the structure and accountability needed in order to keep officials from taking advantage of them.
Father God, forgive me for any way that I may have taken advantage of others for financial gain. Help me to value people over money at all times.
Father God, we repent on behalf of the United States for allowing this kind of corruption to take place in our nation’s financial systems and ask that You would expose it. Forgive us for not being ethical and honest in our business practices. Help us to maintain strong financial standards in our banks and stock markets.
- Pray for men and women in the economic systems of the United
States and worldwide to resist the spirit of greed that opens the door
to corruption. (Proverbs 28:25)
- Pray for American citizens to
not get caught up in speculation or get-rich-quick schemes; pray that
our nation’s people would be financially wise. (1 Timothy 6:10)
- Pray for the debt bubble in the United States to deflate. (Proverbs 22:7)
for emerging markets to not be taken advantage of by corrupt leaders;
pray for more structure and accountability to be put in place that would
decrease the risk of corruption. (Proverbs 16:12)
- Pray for believers in the United States to be at peace where they are financially and not be fearful or panic when economic shakings come to the nation. Remember, God always provides for His people! (Philippians 4:19)
- Evaluate your own life, and allow the Holy Spirit to reveal any way that you have been greedy or idolized money in your life.
- Get out of debt! Choose to spend wisely and pay off debts so that you may be financially free.
- If you own stock in the stock market, do research into companies you’ve invested into and stock brokers you may be affiliated with. Is there any proven corruption within them? Are they at high risk for corruption? If so, it may be your conviction to discontinue your investments and business dealings with them.