US step to delist Chinese ADRs worsens investment, listing outlook

US step to delist Chinese ADRs worsens investment, listing outlook

FILE PHOTO: The seal of the U.S. Securities and Exchange Commission hangs on the wall at SEC headquarters in Washington. REUTERS/Jonathan Ernst/File Photo/File Photo

The U.S. securities regulator’s move to identify Chinese firms likely to be delisted from New York for not meeting auditing requirements is pushing more fund managers to exit their holdings and dimming the prospect for new listings in the near term.