ADR shares – American Depository Receipt

American Depository Receipt (English. American Depositary Receipt), ADR (English. ADR) - a derivative security freely traded on the American stock market for the shares of a foreign company, deposited with an American depositary bank. 95 % of ADR issues accounted for by three banks - Bank of New York, Citibank, J. P. Morgan Chase. ADRs are denominated in US dollars and are traded both on American stock exchanges, and in American OTC trading systems. American Depository Receipts ADRs (English. ADR) - usually issued by American banks for foreign shares, which were acquired by this bank. Owner of ADR, like a real shareholder, receives dividends on them, and can benefit from an increase in market value. Since ADRs are issued in US dollars, their price is also influenced by the exchange rate.