Which one of these is a U.S.company-sponsored security that trades on an exchange and has an underlying value based on foreign securities?

Question

Quizplus · Accepted Answer

An American Depository Receipt (ADR) is a security issued by a U.S. bank representing shares of a foreign company's stock. ADRs trade on U.S. exchanges and their prices are based on the value of the foreign company's stock. Therefore, it is a U.S.-company sponsored security that has an underlying value based on foreign securities.

Which One of These Is a U