In 2006, three of the four largest Chinese banks launched IPOs. Selling off a 10.5 percent stake in its business, the Bank of China issued over 25 billion shares raising $9.7 billion, ranking eighth in U.S. IPO history. This record level was invested despite corporate documents disclosing 75 cases of fraud and over $150 million in criminal conduct charges by employees. Chinese expansion into U.S. capital markets presents both opportunities and risks for companies and investors alike. There is substantial opportunity in the twin pledges made by the Chinese leadership to improve the transparency, governance and functioning of capital markets and to expand access for foreign financial service firms with the knowledge, expertise and products to improve productivity and growth.