2.1 - American Depositary Receipts pg29

0.0(0)
Studied by 0 people
call kaiCall Kai
learnLearn
examPractice Test
spaced repetitionSpaced Repetition
heart puzzleMatch
flashcardsFlashcards
GameKnowt Play
Card Sorting

1/3

encourage image

There's no tags or description

Looks like no tags are added yet.

Last updated 1:31 PM on 10/12/26
Name
Mastery
Learn
Test
Matching
Spaced
Call with Kai
Chat

No analytics yet

Send a link to your students to track their progress

4 Terms

1
New cards

American Depository Receipt (ADR)

is a financial security that allows U.S. investors to buy shares in a foreign company through U.S. stock markets, using U.S. dollars.

  • U.S. issued securities


2
New cards

Benefits of using ADR

  • easy to use - trade on an exchange familiar

  • ADR taxation


3
New cards

ADR Taxation

capital gains are taxed in the U.S.

  • dividends are subject to witholding tax by foreign issuer


4
New cards

Risk of ADRs

  • Currency and Political Risk

  • Voting and Preemtive Rights - ADR holders may not have these rights