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Basic Question 3 of 9
Level I ADRs ______
II. can be offered to certain qualified institutional buyers only.
III. are issued by brokers, dealers, or depository banks without the involvement of the issuer.
I. are traded in the over-the-counter (OTC) market.
II. can be offered to certain qualified institutional buyers only.
III. are issued by brokers, dealers, or depository banks without the involvement of the issuer.
User Contributed Comments 4
| User | Comment |
|---|---|
| Swetha | Then why isn't Statement no. II correct ?? |
| alki | notice the word only at the end of statement II |
| joywind | ADRs makes the ownership diversified internationally, not the same thing as 'raising capital' which adds more ownership. |
| johntan1979 | III fits the definition of UNsponsored DRs, whereas all ADRs are sponsored. |
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Learning Outcome Statements
describe methods for investing in non-domestic equity securities
CFA® 2024 Level I Curriculum, Volume 3, Module 4.