What are ADR stocks and why are they excluded from ISA accounts?
ADR (American Depository Receipts) stocks are equities that were created precisely to ease foreign investing for American investors. Issued by an American bank and/or broker, ADRs represent a whole (one or more) or part of a share from a foreign-company stock, which is held by that bank in the home stock market of the company.
Example: CD Projekt ADR is ¼ of the normal share
In accordance with HMRC regulations for stocks and shares investments, a given company’s instrument should meet specific criteria to qualify and be purchased or held within an investor’s S&S ISA.