What is an ADR?
An American Depositary Receipt (ADR) is a transferable certificate issued by a U.S. depositary bank that represents a certain number of shares (usually one share) of a foreign company's stock. ADRs provide a way for U.S. investors to purchase shares of foreign companies.
ADR Custody Fee
Investing in an ADR may incur additional fees that are not charged for domestic U.S. stocks. The depositary bank that holds the underlying stock may charge a fee, known as a custody fee, to cover the cost of creating and issuing an ADR. This is usually $0.01-$0.03 per share and varies in amount and timing depending on the ADR.
Where to find information on ADR fees?
Most ADRs are under the custody of four major banks, i.e. BNY Mellon, Deutsche Bank, Citi Bank, and J.P. Morgan. Some ADRs are under the custody of one of these banks. If you can not find the relevant information on that bank’s official website, please try the websites of the other three banks.
• BNY Mellon
Go to BNY Mellon, select Symbol, enter the stock symbol, and a page showing the ADR details will pop up.
Click Distribution/DSF on the page to view the details of ADR fees, and click the PDF icon to view or download the bank notice.
• Deutsche Bank
Go to Deutsche Bank, enter the stock symbol in the search bar, click the corresponding DR Ticker, and the ADR details page will appear.
Click Corporate Actions on the page to view the details of ADR fees, and click the link on the right to download the bank notice.
• Citibank
Go to Citibank, enter the stock symbol in the search bar, click Search, and the ADR details page will appear.
Click Company Dividends/GDN Interest Payments or Company DSF Notices on the right navigation bar of the page to view the details of ADR fees, and click the PDF icon to download the bank notice.
• J.P. Morgan
Go to J.P. Morgan, enter the stock symbol in the search bar, click Search, and the ADR details page will appear.
Click Fees under Program Activity on the page to view the details of ADR fees, and click the PDF icon to download the bank notice.
