American Depositary Share financial definition of American Depositary Share. American Depositary Share finance term by the Free Online Dictionary.

American Depositary Share (ADS)

Foreign stock issued in the US and registered in the ADR system.

American Depository Share

A certificate issued by an American bank representing a share of a foreign stock the bank holds in trust but that is traded on an American stock exchange. An American depository share is dollar-denominated and entitles the bearer to any dividends and other benefits associated with the single share underlying it. In other words, an American depository share is a single share of an American depository receipt.

American Depositary Share (ADS)

A negotiable U.S. depositary share that represents securities of a non-U.S. company being held in custody. A custodian bank in the issuer's home country holds the foreign shares. An ADS is traded in U.S. dollars in the U.S. markets, and dividends are paid in U.S. dollars. American Depositary Shares are traded in lieu of the underlying foreign securities that remain in custody. See also sponsored American Depositary Receipt.

Case Study Trading of American Depositary Shares boomed in the early 2000s, largely because of the increased number of ADSs available to U.S. investors. Foreign companies issued American Depositary Shares as part of their effort to raise funds in the booming U.S. capital markets. Some ADS issues originated from foreign-based corporations with U.S. operations that wanted to offer dollar-denominated ownership shares to their U.S. employees. Foreign companies sometimes issued ADSs to use in acquiring U.S. firms in equity transactions. For example, British Petroleum paid for its acquisition of Chicago-based Amoco Corporation with newly issued American Depositary Shares. These shares offer U.S. investors the opportunity to achieve international diversification without the investors being required to convert dollars for a foreign currency and vice versa. American Depositary Shares also offer liquidity that often surpasses the liquidity of the same firm's ordinary shares. Actively traded ADSs in U.S. markets include Alcatel (France), BP (United Kingdom), Ericsson (Sweden), Nokia (Finland), Royal Dutch Petroleum (Netherlands), and Telefonica (Spain).

American depositary share (ADS). When a company based overseas wants to sell its shares in the US markets, it can offer them through a US bank, which is known as the depositary.

The depositary bank holds the issuing company's shares, known as American depositary shares (ADSs), and offers them to investors as certificates known as American depositary receipts (ADRs). Each ADR represents a specific number of ADSs.

ADRs are quoted in US dollars and trade on US markets just like ordinary shares. While hundreds are listed on the major exchanges, the majority are traded over the counter, usually because they're too small to meet exchange listing requirements.

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Ads American Depositary Receipt Depositary Bank depositary receipt Global Shares	equity investment in the company and to elevate our visibility in the US," said Felipe Mellado, corporate general director of the group An American depositary share (ADS) is a U. Mexican Foundry Group Launches ADR by Modern Casting is offering American depositary shares, global depositary shares and Class A shares, at a price of U. Turkish brewery launches U.S. public offering by Modern Brewery Age Effective today, August 16, 2007, the ratio was changed from a ratio of (1) American Depositary Share ("ADS") representing five (5) common shares, to the current ratio of one (1) ADS representing one (1) common share. LAN Concludes ADS Ratio Change by Business Wire	American Academy of Actuaries American Accounting Association American Advertising Federation American Agency System American Annuity Table American Arbitration Association American Association of Advertising Agencies American Association of Exporters and Importers American Association of Individual Investors American Automobile Association American Bankers Association American Bar Association American Business Conference American Business Initiative American Business Press, Inc. American College American Corporate Accrual Receipts American Council of Engineering Companies American Council of Life Insurance American Currency Quotation American Customer Satisfaction Index American Depositary Receipt American Depositary Receipt Fee American Depositary Receipt Fees American Depositary Receipt Ratio American Depositary Share American Depository Receipt American Depository Receipt Ratio American Depository Share American Economic Association American Experience Table American Express American Federation of Labor and Congress of Industrial Organizations American Federation of Musicians of the United States and Canada American Federation of Television and Radio Artists American Gas Association American Guild of Musical Artists American Institute for Property and Liability Underwriters American Institute in Taiwan American Institute of Architects American Institute of Banking American Institute of Certified Public Accountants American Institute of Real Estate Appraisers American Insurance Association American Jobs Creation Act American Land Title Association American Management Association American Marketing Association American Motel Hotel Brokers Network American Municipal Bond Assurance Corporation American National Standards Institute	American Dental Assistants Association American Dental Assistants Association Foundation American Dental Assocation American Dental Association American Dental Association American Dental Association Foundation American Dental Association Health Foundation American Dental Education Association American Dental Hygienists Association American Dental Hygienists' Association American Dental Hygienists' Association American Dental Laboratory Technician Association American Dental Plan American Dental Political Action Committee American Dental Society of Anesthesiology American Dental Society of Europe American Dental Trade Association American Dentists for Foreign Service American Denturist Advocacy Council American Depositary Receipt American Depositary Receipt American Depositary Receipt American Depositary Receipt American Depositary Receipt American Depositary Receipt Fee American Depositary Receipt Fees American Depositary Receipt Ratio American Depositary Receipt Ratios American Depositary Receipts American Depositary Receipts American Depositary Share American Depositary Shares American Depository Notes American depository receipt American depository receipt American depository receipt American depository receipt American depository receipt American Depository Receipt Index American Depository Receipt Ratio American Depository Receipts American Depository Receipts American Depository Share American Depository Share American Depository Share American Depository Share American Depository Shares American Deputy Sheriffs' Association American Derringer Corp. American Design Drafting Association American Design Intelligence Group American dewberry American Dexter Cattle Association American Diabetes Association American Diabetes Association Clinical Recommendations American Diabetic Support Group, Inc. American Dial Tone American Dialect Dictionary American Dialect Society American Diamond Wholesalers American Dictionary of the English Language

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Ads
American Depositary Receipt
Depositary Bank
depositary receipt
Global Shares

equity investment in the company and to elevate our visibility in the US," said Felipe Mellado, corporate general director of the group An American depositary share (ADS) is a U.

Mexican Foundry Group Launches ADR by Modern Casting

is offering American depositary shares, global depositary shares and Class A shares, at a price of U.

Turkish brewery launches U.S. public offering by Modern Brewery Age

Effective today, August 16, 2007, the ratio was changed from a ratio of (1) American Depositary Share ("ADS") representing five (5) common shares, to the current ratio of one (1) ADS representing one (1) common share.

LAN Concludes ADS Ratio Change by Business Wire

American Academy of Actuaries

American Accounting Association

American Advertising Federation

American Agency System

American Annuity Table

American Arbitration Association

American Association of Advertising Agencies

American Association of Exporters and Importers

American Association of Individual Investors

American Automobile Association

American Bankers Association