Shares of many non-U.S. companies trade on U.S. stock markets through ADRs that distribute dividends in U.S. dollars and how to trade common shares.  ADRs are also traded through U.S. brokers during trading hours in the United States. The CoRs simplifies investment in foreign securities by allowing the deposit-taking bank to „manage all deposit, currency and local tax issues.“  The other option to limit the trading of deposit shares to U.S. public investors is to issue them in accordance with the provisions of SEC S. This regulation means that the shares are not registered with a U.S. securities regulator and are not registered. Level 1 deposit receipts are the lowest level of sponsored ADRs that can be issued. When a company issues sponsored ADRs, it has a designated custodian who also acts as a transfer agent. The custodian also orders the custodian to deliver to the custodian, as a deposit, all the securities deposited he held under the ADR deposit contract.
A U.S. depository (ADR, and sometimes called custodian) is a tradable security representing securities of a company that acts on the U.S. financial markets.  ADRs are a type of custodian (DR), which are tradable securities that constitute securities of companies outside the market in which DR acts. DRs allow domestic investors to buy securities of foreign companies without the risks or inconveniences associated with cross-border or cross-border transactions. Companies may choose to establish filing documents in another jurisdiction for many business reasons, including signalling their investors and customers through their enhanced corporate governance standards.  In 2013, a Chinese company consisting of various offshore holdings called Autohome (ATHM) offered 7,820,000 U.S. deposits (ADS) representing their 7,820,000 Class A common shares resulting from the IPO.  The details are contained in the prospectus of December 16, 2013, under registration number 333-192085, filed pursuant to Rule 424 (b) (4) of the U.S. Securities Exchange Act of 1933.
New ADRs can either be purchased by depositing the company`s corresponding domestic shares with the custodian bank that manages the ADR program, or existing ADRs can be obtained on the secondary market. The latter can be obtained either by buying ADRs on a U.S. exchange, or by buying the company`s underlying domestic shares on their primary exchange, and then trading them for ADRs; These swaps are called crossbook swaps and represent on many occasions the majority of secondary trade with aDR. This is particularly true for the ADRs of British companies, where the Uk government levies a stamp duty of 1.5%; The acquisition of existing ADRs on the secondary market (via cross swaps or exchange) is not subject to the SDRT. They are the U.S. equivalent of a global repository (GDR). The securities of a foreign company represented by an ADR are called U.S. Deposit Shares (ADS). Uns sponsored shares are traded on the over-the-counter market. These shares are issued according to market demand and the foreign company does not have a formal agreement with a custodian bank.
Uns sponsored ADRs are often issued by more than one deposit bank.