Jack Ma said that China should "not worry about financial systemic risks" and warned about "Collateralization with a pawnshop mentality" https://interconnected.

Jack Ma said that China should "not worry about financial systemic risks" and warned about "Collateralization with a pawnshop mentality" https://interconnected.blog/jack-ma-bund-finance-summit-speech/ https://interconnected.blog/jack-ma-bund-finance-summit-spee... because Ant Financial was making uncollateralized loans on a huge scale, something they were only able to do because they weren't subject to the same regulations as established financial institutions, and this was about to change. With Ant Financial being just another regulated lender, there was no way to justify their inflated valuation and by proxy the valuation of parent company Alibaba. Hence the sharp decrease in stock price. So I think you have your causality backwards: Alibaba didn't lose value because of Jack Ma's warning, rather the "problem" with China's regulatory system he was warning about was that it was going to make Alibaba lose value. (And invoking his advice when another financial systemic risk is rearing its head might not be the most appropriate.)