Shanghai stock exchange suspends Ant Group's A-share IPO
A couple of guesses here<p>a. Ant group is partially owned by a large group of elite foreign investors  <a href="https:&#x2F;&#x2F;www.wsj.com&#x2F;articles&#x2F;ant-ipo-promises-8-billion-gain-for-elite-group-of-foreign-investors-11603970412" rel="nofollow">https:&#x2F;&#x2F;www.wsj.com&#x2F;articles&#x2F;ant-ipo-promises-8-billion-gain...</a>, who will gain hugely from this IPO.  The Chinese government doesn&#x27;t want such a huge financial entity owned by foreign owners (even though they have claimed they are allowing more foreign entries in financial sectors).  Also, China is suffering from dollar shortage&#x2F;flight (foreign  manufacturing moving out, foreign retailers moving in), and this IPO could exacerbate it<p>b. Jack Ma recently criticized the Chinese banks <a href="https:&#x2F;&#x2F;www.pymnts.com&#x2F;news&#x2F;ipo&#x2F;2020&#x2F;jack-ma-summoned-for-questioning-about-ant-ipo&#x2F;" rel="nofollow">https:&#x2F;&#x2F;www.pymnts.com&#x2F;news&#x2F;ipo&#x2F;2020&#x2F;jack-ma-summoned-for-qu...</a>.  This is a big no no right now, especially since Xi&#x27;s dictatorship is wobbly.  Also this is what happens when you upset the world&#x27;s largest mafia - Chinese government and Chinese state owned companies.  Just look at what happened to Australia <a href="https:&#x2F;&#x2F;www.abc.net.au&#x2F;news&#x2F;2020-11-03&#x2F;china-broadens-trade-war-against-australian-imports&#x2F;12841142" rel="nofollow">https:&#x2F;&#x2F;www.abc.net.au&#x2F;news&#x2F;2020-11-03&#x2F;china-broadens-trade-...</a>, South Korea <a href="https:&#x2F;&#x2F;www.vox.com&#x2F;latest-news&#x2F;2017&#x2F;3&#x2F;3&#x2F;14795636&#x2F;china-south-korea-pop-culture-kpop-attacks-thaad" rel="nofollow">https:&#x2F;&#x2F;www.vox.com&#x2F;latest-news&#x2F;2017&#x2F;3&#x2F;3&#x2F;14795636&#x2F;china-sout...</a> US <a href="https:&#x2F;&#x2F;www.defensenews.com&#x2F;global&#x2F;asia-pacific&#x2F;2020&#x2F;10&#x2F;26&#x2F;china-to-sanction-boeing-lockheed-and-raytheon-over-taiwan-arms-sales&#x2F;" rel="nofollow">https:&#x2F;&#x2F;www.defensenews.com&#x2F;global&#x2F;asia-pacific&#x2F;2020&#x2F;10&#x2F;26&#x2F;c...</a> and Japan <a href="https:&#x2F;&#x2F;www.nytimes.com&#x2F;2010&#x2F;09&#x2F;23&#x2F;business&#x2F;global&#x2F;23rare.html" rel="nofollow">https:&#x2F;&#x2F;www.nytimes.com&#x2F;2010&#x2F;09&#x2F;23&#x2F;business&#x2F;global&#x2F;23rare.ht...</a><p>c. There is probably a lot of financial misreporting within Ant Group, as it is pretty commonplace for Chinese public companies - check out recently delisted Chinese companies in US stock exchanges.  If this IPO is allowed to expand, that&#x27;s game over for shanghai stock exchange sooner than later.<p>(if you ask me, why would anyone invest in any mafia pyramid scheme with no guarantee you&#x27;ll get your money out...)