Auditors Face Access Challenges as COVID Pandemic Drags On

    The COVID-19 pandemic has created novel challenges for the audit profession that could have lingering impacts on the quality and reliability of independent accounting firm’s work if not carefully addressed. The increased reliance on remote auditing needs to be carefully managed particularly for auditors with clients in areas like China and Europe, where travel restrictions limit site visits compared to domestic locations that can be visited with COVID protocols in place. Management, audit committees, and investors all need to be aware of the limitations that auditors are operating under and the steps that can be taken to ensure that audit quality remains robust during this period.

    In SEC Audits

    Despite Risks, Chinese Companies Continue to Flock to U.S. Exchanges

    Reading the headlines, one would think that this would be the worst of all possible moments for a Chinese company to contemplate a U.S. IPO. Tensions over issues ranging from trade to managing the COVID-19 pandemic are at a boiling point. The Senate recently passed legislation requiring the SEC to delist Chinese companies whose auditors do not comply with U.S. regulators' inspections. Some commentators have predicted a looming “divorce” between the world’s two largest economies.

    In IPOs

    Guidance in the Season of the COVID-19 Virus

    As the Dow Jones officially entered bear market territory and the WHO declared COVID-19 to be a pandemic, over 150 companies have lowered or withdrawn their earnings guidance as of March 11, 2020. As an increasing number of countries take dramatic steps to slow the spread of the virus and the disruption to business operations increases, that list is sure to grow.

    In Advisory

    IPO Preparedness Amid the Coronavirus

    The safety of our staff, clients and their families is the top priority amid the coronavirus. During this time, we are offering flexibility to our staff to work from home if they are able to do so. We are also shipping thousands of supplies to our staff in China. For our staff who can work remotely, we are conducting trainings intended to keep skills sharp.

    In Internal Audit & Compliance, SEC Audits, Advisory, Audit & Assurance Services, China Economy, IPOs
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