header bg

Scan QR code or get instant email to install app

Question:

The type of equity security that gives its owners the right to vote the shares of, and receive dividends from, a foreign company is best described as a:

A sponsored depository receipt.
explanation

The owner of a sponsored DR share has the same voting rights and receives the same dividends as the owner of a common share of the firm. With an unsponsored DR, the depository bank retains the voting rights. A global depository receipt may be sponsored or unsponsored.

Related Information

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *

*