Financial Markets and Institutions based on my ability to use all the competency used from prior courses taken at Capella. Also, given my prior work experience using the core competency of this course in different fields. Financial Markets and Institutions is a system used to understand how monetary flows throughout the economy. It explains how the economy effect the flow of funds within it. It also explains why the study of macroeconomic and microeconomic are important to the way counties funds flow. According to Chen “Macroeconomics can be defined as “the branch of economics that studies the behavior and performance of the economy as a whole (Chen, 2003).” I have learned from prior course and research why Congress created The Federal Reverse and why their role is so important in Financial Markets and Institution. Also, why Congress passed the Gramm-Leach-Bliley (GLB) Act to ensure consumers were protected with fair value of products and services. I also understand why the Federal Reserve is responsible for enforcing this within Financial Markets and Institutions. For example, many CEO’s used the government funds from the bailout to line their pockets and their board members pockets. This was unfair and unethical causing the public to lose trust in financial markets and institutions.
I have learned how the Federal Reserve system is set to protect the consumer from being unfairly treated by financial markets and institutions. This course helped me understood why “Wells Fargo was fined $185 million an received a $100 million penalty from the Consumer Financial Protection Bureau” and sued by consumers for their unfair, unethical and unconstitutional behavior against consumers (“Wells Fargo Fined $185 Million for Fraudulently Opening Accounts,” 2017).
For example, opening accounts without consumers consent, charging unfair fees and suppressing bills were consumers had no idea of their actions. I have also learned how inside trade laws work to bring unethical behavior to light against the consumer. Another example, Martha Stewart was charged with using inside trade information to prevent her from taking a major loss during the time the market was crashing.
According to the U.S. Securities and Exchange Commission (SEC), Stewart avoided a loss of $45,673 by selling all 3,928 shares of her ImClone Systems stock on December 27, 2001, after receiving material, nonpublic information from Peter Bacanovic, her broker at Merrill Lynch. The day following her sale, the stock value fell 16%.
In the months that followed, Stewart drew heavy media scrutiny, including a Newsweek cover headlined “Martha’s Mess”. Notably, on June 25, 2002, CBS anchor Jane Clayson grilled Stewart on the air about ImClone during her regular segment on The Early Show. Stewart continued chopping cabbage and responded: “I want to focus on my salad.” On October 3, 2002, Stewart resigned her position, held for four months, on the board of directors of the New York Stock Exchange, following a deal prosecutors had made with Douglas Faneuil, an assistant to Bacanovic.
Martha Stewart actions was deemed unfair and unethical behavior to consumers. My goal is to work for the Federal Reserve Bank of Atlanta I have spent many days learning how the economic system works. I until any online course offered to the public through their website. The combination of my education, self-study and training will allow me to develop a stronger understanding of the economic system while becoming a stronger competitor for a future role within The Federal Reserve Bank of Atlanta.
