Asia Pacific: Fixing bad habits

Author: | Published: 29 May 2014

Pork producer WH Group's decision to pull its Hong Kong initial public offering (IPO) sparked yet another round of criticism aimed at market practices in the city-state. The company had mandated a record 28 banks for its listing. The sheer size of the consortium reportedly made execution difficult, especially with weak demand for the deal.

But calls to further regulate the market – especially by limiting the number of banks on IPOs – are misguided. The...