The DR Market Review was designed to help issuers, investors, financial intermediaries and other interested parties understand trends, identify new products and services and highlight important issues facing the depositary receipt market.
Depositary Receipts
BNY Mellon brings unparalleled expertise to the Depositary Receipt (DR) market. We actively collaborate with clients to gain a deeper understanding of their specialized needs. Our "three-client" service philosophy is unique in the industry and helps to maximize the performance of clients' DR programs.
DRs at a Glance
- DRs are negotiable securities that generally represent shares of a non-U.S. company's equity.
- DRs can trade on all U.S stock exchanges, other international exchanges or in the over the counter market, and can be used to raise capital. They are typically denominated in U.S. dollars but can also be denominated in Euros or other currencies and can be offered by non-U.S. companies to investors worldwide.
- Since 1927, DRs have been used to facilitate cross-border trading and settlement and provide a host of benefits to issuers, investors, and brokers, including portfolio diversification through global investment.
Benefits for Issuers, Investors and Brokers
- Issuers – DRs can broaden and diversify the issuer's shareholder base with potentially greater liquidity, benefit share valuations and convey a global commitment.
- Investors – DRs that are quoted in and pay dividends and interest in U.S. dollars, may benefit from competitive U.S. dollar/foreign exchange rate conversions; allow institutions with foreign investment restrictions to diversify globally and minimize global custodian fees.
- Brokers – DRs offer competitive and flexible pricing, efficient access to relevant issuer information and convenient settlement capabilities.
Who's helping you?
Turn to BNY Mellon for the industry's leading Depositary Receipt solutions.
Turn to BNY Mellon for the industry's leading Depositary Receipt solutions. For more information on the benefits for
