American Depository Receipt

Terms

A U.S.-traded security representing foreign company shares.

Description

American Depository Receipts (ADRs) allow U.S. investors, including family offices, to own foreign stocks via U.S. exchanges, simplifying access to global markets. They mirror the foreign share’s price and dividends but carry currency and geopolitical risks. Liquidity and fees vary by ADR type. Due diligence ensures alignment with objectives.

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