Drew Bernstein

    Recent Posts

    Who is Responsible for Preventing Fraud?

    It is a question that always arises in the wake of any high-profile fraud: How could this have happened? Followed quickly by: Who is responsible?

    The responses are equally predictable.

    In Internal Audit & Compliance

    Shooting STARs on Shanghai’s New “Chinese NASDAQ”

    China Unleashes Market-Based IPOs on STAR Market

    On Monday China burned the rulebook that has guided its IPO market up till now. The result, unsurprisingly, was fireworks.

    In IPOs

    The Nuclear Option for Chinese Stocks

    Implications of the Equitable Act for American Investors

    As a new “silicon curtain” crashes down between the technological infrastructure of America and some of its allies and China and the countries in its sphere of influence, there has begun to be talk about restricting flows of capital as well as goods between the two nations. Some have fretted that China might dump its holdings of US treasuries in retaliation for escalating tariffs. Other analysts have speculated that U.S. financial institutions might soon be prohibited from investing in securities in mainland China’s state-owned enterprises. And now Senator Marco Rubio has put the nuclear option on the table with a bill and editorial in the Wall Street Journal, “You Can’t Trust a Chinese Audit,” proposing to potentially boot hundreds of Chinese companies off of U.S. stock markets.

    In SEC Audits, Audit & Assurance Services, Investing in China

    The Great Short Debate

    Joshua Mitts and Carson Block Square Off at Fraud Conference

    After months of sparring on twitter, the two opponents were to face off at a recent conference on Fraud in the Bull Market organized by the Berkeley Center for Law and Business. Is activist short selling the best hope for cleansing the stock market of bad actors? Or is a plague of shadowy short-report gunslingers destroying worthy companies and fleecing retail investors?

    In short sellers

    Bloomberg Invest Asia 2019: Takeaways Relevant to Pre-IPO Chinese Companies

     I thought it would be useful to share key takeaways from the recent Bloomberg Invest Asia conference, an invitation only event for international business leaders to exchange ideas regarding China’s role in the investment community.  

    In Investing in China, China Economy

    From Copycats to Tigers: Why Chinese Tech Companies Can’t Be Ignored

    How Chinese Innovation Will Transform Tech Landscape

    Judging from the headlines, you might think Chinese technology companies are on the ropes. The Justice Department has been investigating and indicting telecom giants Huawei and ZTE. Rising U.S. tariffs threaten to displace China’s dominance in the global supply chain for electronics. And Chinese internet Goliaths Alibaba Group (NYSE:BABA) and Tencent saw their market values shaved in 2018 by investor jitters over government policies and a softening economy.

    In Cross Border M&A, Investing in China, China Economy, IPOs

    Why I Am Still Optimistic About Doing Business in China

    If you only read the newspaper or watched TV, one might think that the economic relationship between China and America was on the verge of an irreparable split. But as I shared in a recent interview on Bloomberg television, I actually remain fairly optimistic that, despite the many bumps in the road, the world’s two biggest economies will continue to find ways to work together and that deals will get done.

    In China Financial Due Diligence, China Economy, IPOs