What Does the Bible Say About..? Logo

What Does the Bible Say About..The Stock Market?

I have heard that gambling and playing the lotto is wrong, so my question is if this is true then is investing and/or playing the stock market wrong? I ask this because the principle is the same, you take a little with hopes of making it a lot.

Answer

Please see What Does the Bible Say About..Gambling? for my previous answer about gambling. There is, however, a big difference between casino gambling and investing or the stock market. An investment is actually a constructive participation in production. That is, the money from a stock investment is used by the company to produce a product. The return, or lack thereof, on the investment is a reflection of the productivity of the company. A buy-in for a poker game, on the other hand, is not an investment in productivity. Nor would be the money put into a slot machine or to purchase a lotto ticket. While that money may be used, in part, for a productive use (scholarships, money for a Native American tribe), it is not an investment in a product. When investing in the stock market, the investor should do some research in the stocks in which he is investing. It should not be a gamble, but a reasonable investment in a product. The return from gambling is not based on performance, but pure chance.