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. For this reason, some ADR stocks can be unavailable within an S&S ISA, as they may not fully cover the qualifying requirements.