An American depositary receipt (ADR) is a negotiable security that represents securities of a non-US company that trade in the US financial markets. Securities of a foreign company that are represented by an ADR are called American depositary shares (ADSs).
Shares of many non-US companies trade on US stock exchanges through ADRs. ADRs are denominated and pay dividends in US dollars and may be traded like regular shares of stock. Over-the-counter ADRs may only trade in extended hours.
The first ADR was introduced by J.P. Morgan in 1927 for the British retailer Selfridges.
Read more about American Depositary Receipt: Depositary Receipts, ADR Programs (facilities), Sourcing ADRs, ADR Termination
Famous quotes containing the words american and/or receipt:
“The Oregon [matter] and the annexation of Texas are now all- important to the security and future peace and prosperity of our union, and I hope there are a sufficient number of pure American democrats to carry into effect the annexation of Texas and [extension of] our laws over Oregon. No temporizing policy or all is lost.”
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