Most American investors who are interested in investing in companies listed on foreign exchanges do so by purchasing ____.

Question

Quizplus · Accepted Answer

Most American investors interested in investing in foreign companies purchase American Depository Receipts (ADRs) or mutual funds that hold international stocks. This is the easiest and most convenient way to invest in foreign companies, as it allows investors to hold foreign stocks in their domestic brokerage accounts and bypasses the need to deal with foreign brokers and potential language or currency barriers.

Most American Investors Who Are Interested in Investing in Companies