Over the past few years, the attraction of US public capital
markets for non-US securities issuers has plummeted. This has
largely been the result of a confluence of events: the passage
of the Sarbanes-Oxley Act in the US, the growth of London's Aim
market during the otherwise lean post-9/11 years, and the
developing maturity of local capital markets around the world.
Some think that the US has lost its attraction for non-US
But that attraction could return faster and more strongly
than many overseas stock markets, market participants and
observers realise. It will probably not return as the result of
US tinkering with Sarbanes-Oxley, or even through a wholesale
gutting or repeal of that law. It may not return as a result of
SEC efforts to coax back foreign issuers; these include the
Commission's steps toward the acceptance of International
Financial Reporting Standards and its plans to...