What is the difference between ADR AND GDR ?
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Answer / 22706468
ADR stands for American Depository Receipts and GDR stand
for Global Depository Receipts.
where always have a query that can Indian can invest in
abroad in stock markets.. yes he can through ADR and GDR
where these both the things are traded in Market.. ADR are
just for in America and GDR can be dealed anywhere in the
world .. it works like shares of some company...and ina
recession point of view these are the best to purchase.
| Is This Answer Correct ? | 62 Yes | 11 No |
Answer / baddam.venugopalreddy
adr maeans american depositary recipt issued by the us bank
and repersents certain number of equity stocks on US stock
exchange
where as gdr reperesents global epository Receipts it is
dollor denominated instrument it contains certain number of
foreign stock....
| Is This Answer Correct ? | 22 Yes | 12 No |
Answer / naresh singhal
ADR is American Depository Receipts, it is issued by a
company in the USA .ADR are bought and sold in USA
markets.It can be listed & traded on a exchange of USA.
Whereas GDR refers to Global Depository Receipts,the local
currency shares of a company are delivered to the depository
banks.The depository banks issues depository receipts
against these shares.Such receipts denominated in US dollars.
| Is This Answer Correct ? | 10 Yes | 4 No |
Answer / suman
adr amercin depositary recits n gdr is global ..
adr only in america n gdr anywhere in the world
these r only two diffrence n othere all of the same
| Is This Answer Correct ? | 10 Yes | 4 No |
Answer / badri narayan
ADR refers to the American Depository Receipt. Generally it
is issued through a participative bank(approved by SEC)
directly to American citizen without any hindrance of
various compliance to the concerned company. Necessarily the
company should a non-USA and specifically for Americans.
Whereas GDR refers to the Global Depository Receipt.A bank
certificate issued in more than one country for shares in a
foreign company. The shares are held by a foreign branch of
an international bank. The shares trade as domestic shares,
but are offered for sale globally through the various bank
branches.
| Is This Answer Correct ? | 9 Yes | 6 No |
Answer / divya v raju
GDR IS COMPULSORY, FOR FOREIGN COMPANY TO ACCESS IN ANY OTHER COMPANIES SHARE MARKET FOR DEALING IN STOCK.IT IS A NEGOTIABLE INSTRUMENT ALL OVER THE WORLD.
WHILE ADR IS COMPULSORY FOR NON-US COMPANIES TO TRADE IN STOCK MARKET OF USA. IT IS ONLY NEGOTIABLE IN USA.
| Is This Answer Correct ? | 2 Yes | 2 No |
Answer / neha sharma
ADR is a dollar-denominated negotiable certificate. It represents a non-US
company’s publicly traded equity. It was devised in late 1920s to help Americans
Invest in overseas securities and assist non-US company’s wishing to have
their stock traded in American markets. ADRs are divided into three levels based
on the regulation and privilege of each company’s issue.
1. ADR Level I: It is often the first step for an issuer into the US public equity
market. Issuer can enlarge the market for existing shares and thus,
diversify the investor base. The compliance of disclosure as per the
requirement of the Securities and Exchange Commission will be minimum
to the company.
2. ADR Level II: Through this level of ADR, the company can enlarge the
investor base for existing shares to a greater extent. The significant
disclosures have to be made by the company as per the requirement of
the Securities and Exchange Commission.
3. ADR Level III: This level of ADR is used for raising fresh capital through
public offering in the US capital market. The company has to register with
the Securities and Exchange Commission.
| Is This Answer Correct ? | 1 Yes | 1 No |
Answer / roli trivedi
ADR REFERS TO AMERICAN DEPOSITORY RECEIPTS ISSUED ONLY IN
AMERICA,THESE EQUITY SHARES R ISSUED BY COMPANIES WHO WANT
TO LIST THEIR SHARES INTO US STOCK EXCHANGE THEREFORE THESE
EQUITY SHARES R CONVERTED INTO ADR FORM AND IS GIVEN TO
CUSTODIAN BANK IN THE FOREIGN COUNTRY WHICH PROVIDES IT TO
THE INVESTORS WILLING TO HAVE HOLDING OF OTHER COMPANIES
EQUITIES IN DIFFERENT COUNTRIES WHEREAS GDR REFERS TO
GLOBAL DEPOSITORY RECEIPTS ISSUED BY LUXEMBERG STOCK
EXCHANGE AND GLOBALLY.
| Is This Answer Correct ? | 2 Yes | 4 No |
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