China firms can directly list in Singapore from tomorrow

[CityFarmer]

Will it help to improve the "reputation" of the S-Chips?

China firms can directly list in Singapore from tomorrow

SINGAPORE — Singapore Exchange (SGX) and the China Securities Regulatory Commission (CSRC) have established a framework that will allow Chinese companies to directly list in Singapore from tomorrow (Nov 26).

Under the new direct listing framework, which will take effect tomorrow, companies incorporated in China will be able to list on SGX directly, provided their applications have been approved by both CSRC and SGX.

There are no rules prohibiting Chinese companies from list here but the new framework will formalise and strengthen bilateral regulatory cooperation and provide greater assurance to the marketplace, SGX said.

“The framework will enable companies from China to more efficiently tap the capital markets in Singapore ... offering the latter more choices and access to the growing Chinese economy,” SGX’s chief executive Magnus Bocker added.
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http://www.todayonline.com/singapore/chi...e-tomorrow

[ForeverAlone]

more S-Chips coming~ get your $$$ ready lol

[weijian]

Nothing pretty much stands out to protect retail investors better with this latest move. It simply implies that there is now a 2nd watch dog (rather than just SGX) to blame when things go wrong. Critical issues like geographical mismatch between assets and listing status, and inability of law enforcement continue to make fraud to be more attractive as a short-cut to riches, than operating an honest business.

[cfa]

Still have not learned enough lessons from PRC ?

[pianist]

looking forward to the a-shares listing here?


I think in exchange of the rmb clearing in sg, this is the consideration given by sg to cn

[opmi]

Nothing pretty much stands out to protect retail investors better with this latest move. It simply implies that there is now a 2nd watch dog (rather than just SGX) to blame when things go wrong. Critical issues like geographical mismatch between assets and listing status, and inability of law enforcement continue to make fraud to be more attractive as a short-cut to riches, than operating an honest business.

The better way to regulate is to monitor the 'promoters' ie stockbrokers, inv banks & corporate finance boutiques. Junk companies cannot list if brokers dont bring them in. Make these guys accountable.

[CityFarmer]

Nothing pretty much stands out to protect retail investors better with this latest move. It simply implies that there is now a 2nd watch dog (rather than just SGX) to blame when things go wrong. Critical issues like geographical mismatch between assets and listing status, and inability of law enforcement continue to make fraud to be more attractive as a short-cut to riches, than operating an honest business.

I have a different view. Those companies listed via this route, have less incentive to make fraud. Bear in mind that, they are also listed in China, and the first thing they will do is "don't play-play" with the China Securities Regulatory Commission (CSRC)

FYI, almost all of China companies listed in Singapore, are not incorporated in China, but offshore from China.

Furthermore, the CSRC has pretty strict requirements for listing in China.

It seems I am an odd one having the view here. Any supporters?

[cfa]

There are so many frauds even in their state owned enterprises, what is listed companies to them ?

[Temperament]

Oh no not again! Isn!t China BIG enough?

[weijian]

The better way to regulate is to monitor the 'promoters' ie stockbrokers, inv banks & corporate finance boutiques. Junk companies cannot list if brokers dont bring them in. Make these guys accountable.

To add on, i would like to slap criminal charges, rather than civil suits where the outcome would only be a monetary fine. What we are seeing with the banks in the West who are alleged to rig benchmark interest rates/package toxic securities, to be fined a portion of their ill-gained profits. What is worst is that the actual perpetrators most probably already gotten their paycheck and current shareholders are made to pay the bill.

Of course, I am only describing the ideal situation above. The market was made for companies and never for investors.