Removing Rogue Chinese Firms from US Stock Exchanges
By now you should have chanced upon news that talk about the US Senate passing a bill that allows more transparency on companies listing shares on US stock exchanges.
This move can lead to many Chinese companies from listing or raise money from investors in the US.
What on Earth is Happening?
If you are lost about what on Earth is going on, and what caused the sudden tension, allow us to break it down for you.
The Holding Foreign Companies Accountable Act
I know we talked about Chinese “Starbucks” earlier, but let us bring you on a journey to give you a deeper understanding of the situation.
- In March 2019, a bill entitled Holding Foreign Companies Accountable Act was introduced
- The bill requires companies listed to disclose information on whether they are owned or controlled by a foreign government.