AMERICAN DEPOSITORY RECEIPT

Maya Pereira Kashmira Jain

What is ADR
An ADR is a negotiable U.S. certificate representing

ownership of shares in an non U.S. corporation.

ADRs are quoted and traded in U.S. Dollars in the U.S.

securities market.

More
First introduced in 1927

Stocks of Non-U.S. companies, trade on US exchanges

through ADRs ADRs enable US investors to buy shares in foreign companies without under taking cross- border transactions.

Benefits
ADRs help investors to invest in big foreign companies

and are good instruments for portfolio diversification.

They help the investors to profit from many emerging

market companies (high risk high return instruments).

All transactions including buying the shares, dividend

payments and capital gains are done in U.S. Dollars.

 The competitive rates of Euro and U.S. Dollar over other

market currencies also benefit the investor

ADRs offer more transparency and stability than trading

the stock directly in a foreign market.

Types of ADRs
Unsponsored Depositary Receipt

Sponsored Depository Receipt Level I Level II Level III

BRIDGE FINANCING

What is Bridge Financing

Bridge financing is a method of financing, used to

maintain liquidity while waiting for an anticipated and reasonably expected inflow of cash.

Bridge financing is commonly used when the cash flow

from a sale of an asset is expected after the cash outlay for the purchase of asset.

Types
Closed Bridge Financing Open Bridge Financing

Benefits
Speed of Processing

Condition of Security
Flexibility Eligibility