Former Secretary of State Mike Pompeo recently raised concerns about the presence of Chinese companies on U.S. exchanges and the potential implications for American investors. Pompeo highlighted the fact that many Chinese companies are included in U.S. indexes and ETFs, allowing American investors to unknowingly support the expansion of the Chinese Communist Party, which is considered the country's number one adversary.
Pompeo criticized the lack of action from the Biden administration in addressing this issue, pointing out that the U.S. has the most liquid markets and should take steps to prevent the Chinese Communist Party from benefiting from American investments. He suggested that requiring Chinese companies to adhere to the same disclosure standards as other countries could help mitigate these risks.
