ASA Applauds Executive Order to Stop China’s Exploitation of America’s Capital Markets
Calls on Congress to use lame duck session to pass the bipartisan Holding Foreign Companies Accountable Act
WASHINGTON – The American Securities Association (ASA) applauded an Executive Order signed by the President today barring Americans from investing in companies that finance the Chinese Communist Party’s (CCP) military operations.
“This is a much-needed move that will help stop the CCP from exploiting America’s capital markets and harming American investors and retirement savers,” said ASA CEO Chris Iacovella. “Barring investment in CCP companies, and any fund or index that includes these companies, is necessary to end China’s fraud on our markets,” said ASA CEO Chris Iacovella.
“This Executive Order is an important step toward ending the Passive Index Loophole that has enabled index providers to funnel billions of dollars of American investor money out of the U.S. and into CCP-controlled companies. The SEC must reassert its authority here and close the passive index loophole now. Congress should also act during the lame duck session to further protect American investors by passing Senator Kennedy and Senator Van Hollen’s Holding Foreign Companies Accountable Act. It’s time for Washington to come together and prioritize our economic and national security.”
ASA has been at the forefront of advocacy to end China’s fraud on our markets. ASA recently welcomed recommendations from the President’s Working Group and sent a letter to the SEC highlighting the risks to American investors from Chinese companies, including calling for the end of the 2013 agreement. Additionally, ASA sent a letter to the Senate Banking Committee outlining these same policies recommendations. To read ASA CEO Iacovella’s op-ed in RealClearPolitics, click here.
ASA’s regional financial services companies work in communities across the country to create jobs, grow the economy, and increase prosperity for all Americans. The ASA exclusively represents the capital market and private client interests of its members and seeks to promote free market principles making it easier to access financial advice and capital. ASA members help Americans save for retirement, provide Main Street businesses with capital to grow, and advise hardworking Americans how to create and preserve wealth. For the latest updates follow @AmerSecurities and learn more at http://americansecurities.org/.