Investors do not expect this to go smoothly.
Last time PCAOB conducted such checks they were blocked on certain access and went home without completion.
Now with political tension so high between both countries.
The chance of these checks going through without glitches is nearly zero
https://www.scmp.com/business/article/31...-companies
I believe these checks will result in many problems.
Investors have sold off US listed China companies sharply in anticipation.
This is one way to use China reluctance for accounting transparency to block its companies from ever raising money in the US.
Without access to US capital, it cuts off China from important source of funding and US tech venture know how.
Listen to PCAOB statement very carefully.
Their standards are very high.
In the statement, seems they basically say they will know if the Chinese will comply only when work starts....so they doubt the Chinese side.
However it was reported the Chinese side already censor information before release to PCAOB.
The PCAOB is likely to reject this and go home ...failing all the Chinese companies listed in US.
(19-09-2022, 05:16 PM)sgbuffett Wrote: [ -> ]Listen to PCAOB statement very carefully.
Their standards are very high.
In the statement, seems they basically say they will know if the Chinese will comply only when work starts....so they doubt the Chinese side.
However it was reported the Chinese side already censor information before release to PCAOB.
The PCAOB is likely to reject this and go home ...failing all the Chinese companies listed in US.
This issue now is if audit successfully done and no risk of delisting, market muted. If found trouble/ resistance, market will fall. So u can gauge its a non event that Hsi is falling anyway.