Depositary Receipt (DR)

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 March 26, 2022

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A depositary receipt (DR) is a type of negotiable (transferable) financial security traded on a local stock exchange but represents a security, usually in the form of equity, issued by a foreign, publicly-listed company. It facilitates investors to invest in companies in foreign countries while trading in a local stock exchange in the investor’s home country. It is favorable to investors since shares are not permitted to leave the nation of origin that they trade-in.

Learn about the different types of ADRs GDRs & IDRs, tax and reporting issues, risk factors, and expenses with Wagons Training Program

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