Chinese companies listed on American exchanges feel the heat of US-China tension

THIS past week, the US Senate passed by unanimous consent a bill that could disqualify many Chinese companies from listing on American stock exchanges.

The initial reaction of market watchers - including myself - was that the US was letting politics get in the way of business, and that it would prove to be an opportunity for exchanges in Asia, especially those of Hong Kong and Singapore.

After looking more closely at the issue, however, I cannot help but wonder if this story isn't also partly about US exchanges having let business get in the way of regulation for too long. And, instead of hoping to welcome companies displaced by stiffening regulation in the US, Singapore should be trying to raise its standards too.