The most successful company to use post-financial crisis rules to list in the stock market has lost 85% of its value in six trading days, highlighting the risks for individual investors from a program designed to help small companies go public.
Longfin Corp., a financial technology company that does nearly all of its business in Singapore, listed its shares on Nasdaq in December. On Monday, the company said it was under investigation by the Securities and Exchange Commission. The company’s rapid rise and epic collapse highlights...