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Which of the Following Is Not True Regarding ADRs

Question 94

Multiple Choice

Which of the following is not true regarding ADRs?


A) ADRs are denominated in the currency of the stock's home country.
B) ADRs enable U.S. investors to avoid cross-border transactions.
C) ADRs allow non-U.S. firms to tap into the U.S. market for funds.
D) ADRs sometimes allow for arbitrage opportunities.

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