The US congress approved the "Holding Foreign Companies Accountable Act (Links to an external site.)" in 2020, while China tightened its rules for tech firms (Links to an external site.) in 2020. Soon after, the Hong Kong Stock Exchange loosened its listing requirements (Links to an external site.) in 2021, and China opened a new Beijing Stock Exchange in 2022 (Links to an external site.).

Briefly explain how each of the above likely impacts each stage of the investment process, that is:

(1) The access to equity capital for corporations

(2) The efficiency in allocating capital to corporations from savers

(3) The continuous monitoring and governance of corporations that receive capital