Friday, August 12, 2005

economy - Who is causing the stapede at US stock markets?

Richard D'Amato, the chairman of a committee reviewing efforts of Chinese companies to get listed in the US warned in the Financial Times that the interest of US investors might be at risk. He expects listings of up to US dollar 15 bn might cause a problem.
"I am concerned that US investors may not have sufficient information to make informed decisions about the risks of these investments," said Richard D'Amato, chairman of the US-China Economic and Security Review Commission.
Main problem I see at the side of those too eager US investors themselves, as we have seen in the case of Baidu. They shoud scrutinize Chinese companies better, and not invest if their are unclear about the background of those companies.

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