American Depositary Receipts (ADRs) are U.S.-traded securities that represent shares in a foreign company . They allow American investors to buy and sell international stocks on U.S. exchanges like the NYSE or NASDAQ, without dealing with foreign markets, currencies, or regulations. 🌍 Why ADRs Exist Many investors want exposure to international companies , but buying stocks directly in countries like Japan, Brazil, or Germany can be complicated. ADRs simplify that by: Issuing U.S. dollar-denominated receipts backed by actual foreign shares Trading on U.S. markets just like domestic stocks Paying dividends in USD They’re managed by a U.S. depositary bank (like BNY Mellon, JPMorgan, or Citi), which holds the actual foreign shares and issues the ADRs in the U.S. 📄 How ADRs Work Step Explanation A foreign company (e.g. Toyota) Lists shares on its home exchange (e.g. Tokyo Stock Exchange) U.S. bank buys those shares And holds them in custody in the home count...