Professor Wu Chaopeng from School of Management, Xiamen University gave an academic lecture chaired by Dr. Chen Deqiu in September 12, 2013 in room 429 Ningyuan building as the 17th academic lectures of accounting department. Faculty members, PhD students, graduate and undergraduate students of accounting department attended the lecture.
Professor Wu Chaopeng started by discussing the recent events of Chinese companies listed In the United States being hunted by short-sellers. He proceeded to discuss the quality of U.S. listed Chinese companies, proposing an theory about how to identify the quality of these Chinese companies, and showing domestic and foreign investors the way to invest on these stocks. In the lecture, faculty members, PhD and graduate students of accounting department had a lively discussion with Professor Wu Chaopeng.
During the lecture, Professor Wu Chaopeng talked about the process of how Chinese companies went to U.S. to be listed, and pointed out the fact that 1/3 of U.S. listed Chinese companies has been questioned, and 1/5 were prosecuted. Combined with the characteristics of USA securities market and Chinese listed corporation, the paper shows that the fluctuation of U.S. listed Chinese companies is mainly due to the fact that U.S. investors did not fully understand Chinese companies and the special situation of Chinese listed corporation. After a series of hypothetical arguments, Professor Wu Chaopeng raised five hypotheses of how to identify the quality of U.S. listed Chinese companies. He argued that we can judge the quality of the companies through five aspects, which are the path of listing, the integrity of the location of listed companies, financial quality indicators, corporate governance structure, and the involved investment banks.
After the lecturer, faculty members and students attending the lecture expressed their opinions, and interacted with Professor Wu Chaopeng about the assumptions and demonstration methods of his paper.