This paper examines and compares the dividend policies of American depository receipt (ADR) firms and U.S. firms and identifies the factors that determine these policies for both types of companies. We find that ADR firms have higher dividend yields than U.S. firms, while U.S. firms have higher...

This paper investigates the herding behavior among Chinese American Depository Receipts (ADRs) during 1993–2008. We find the evidence of herding among Chinese ADRs in both rising and falling markets. Moreover, the herding has no significant difference in the host market (NYSE or NASDAQ), where...

This paper studies the impact of a high-frequency investor sentiment measure (New FEARS) on the returns of foreign securities listed in U.S. markets as American Depository Receipts (ADRs). We recreate a high-frequency investor sentiment measure by aggregating search volume indices (SVIs) for a...

This paper examines the surprising performance of the Argentine stock market in the midst of the country's most recent financial crisis and the role played by ADRs in Argentine capital flight. Although Argentine investors were subject to capital controls, they were able to purchase stocks with...

We study long-run outcomes to those who invested in non-U.S. stocks through American Depository Receipts (ADRs) between August 1954 and September 2020, with particular attention to ADRs associated with Chinese firms. Overall, ADRs improved their investors’ wealth by $1.03 trillion, as compared...

This paper analyzes the price discovery mechanism between the Chinese American Depository Receipts (ADRs) listed on the New York Stock Exchange (NYSE) and their underlying H shares on the Hong Kong Stock Exchange (HKEX). It employs the Permanent-Transitory decomposition in vector autoregression...

This study examines the effect of Exchange Traded Funds (ETFs) on their underlying AmericanDepository Receipts (ADRs). We find that percentage of ADR shares owned by ETFs increasesdramatically in the past two decades. Contrary to U.S. firms, ETF ownership is positivelyassociated with stock...

We empirically explore the fragility of wholesale funding of banks, using transaction level data on short-term, unsecured certificates of deposits in the European market. We do not observe any market-wide freeze during the 2008-2014 period. Yet, many banks suddenly experience funding dry-ups....

Access to ADR can be conceptualised in a number of ways. Some commentators focus on the court or the legal profession as a central access point for disputes. While this may seem natural for lawyers and judges, such an approach fails to account for the vast majority of disputes – approximately...

Courts have developed numerous procedures to regulate expert evidence. These procedures aim, in large part, to manage experts’ biases. Recently, the Land Court of Queensland created a new procedure called Court Managed Expert Evidence (CMEE). CMEE’s innovation is the addition of an...

Ours is a nation built for conflict, for friction. Such conflict, while painful, can be good. It can signal newfound agency, and it can be a catalyst for dialogue, customized and creative solutions, and ultimately progress. This is what many dispute resolution academics teach their students. But...

We study outcomes to ADR investments between August 1954 and September 2020, with attention to ADRs associated with Chinese firms. Overall, ADRs improved investors’ wealth by $1.03 trillion, with more than a third of this amount attributable to ADRs associated with Chinese firms. A...

In this paper, we examine the effect of peer research and development (R&D) disclosures on corporate innovation. R&D disclosures can generate externalities for related firms, enabling those firms to better infer a project's likely payoffs and thus prioritize projects with higher net present...

We analyze institutional ownership in listed ADRs over the last two decades and investigate new determinants of institutional ownership in these ADRs. Using a unique dataset, we find that institutional investors invest more in ADRs without underlying stocks listed in the home market (i.e.,...

We study the sources of demand for accounting comparability. We hypothesize that U.S. investorsinterested in investing in a foreign firm potentially have two different types of demands forcomparability: (i) comparability to U.S. firms which report under U.S. GAAP (which we label asU.S....

Conciliation, mediation and arbitration are major approaches of Alternative Dispute Resolution (ADR) process. In comparison to arbitration, conciliation and mediation are less binding as the award of arbitration is final if there is no appellate clause. There are different types of arbitration...

As volume increasingly migrates away from exchanges to dark pools, we revisit the link between disclosure opacity and volume, conditional on the choice to trade in a dark venue. We exploit the exogenous variation in home-country reporting opacity to examine how disclosure opacity affects the...

Blockchain and smart (legal) contracts occupy arbitration's theoretical and practical discussions. It is hardly surprising, given the number of platforms that emerged over the last years, using new concepts to provide dispute resolution services. A portion of the discourse focuses on the...

American Depositary Receipts (ADRs) are exchange-traded certificates that represent shares of non-U.S. company securities. They are major financial instruments for investing in foreign companies. Focusing on Asian ADRs in the context of asynchronous markets, we present methodologies and results...

The 1960s and 1970s witnessed rapid growth in the markets for new money market instruments, such as negotiable certificates of deposit (CDs) and Eurodollar deposits, as banks and investors sought ways around various regulations affecting funding markets. In this paper, we investigate the impacts...

We examine the impact that the economic sanctions imposed by the Western community on the Russian economy in March 2014 have had on the pricing of Global Depositary Receipts (GDRs) traded in London. We document that following the first announcement of the imposition of sanctions, the returns of...

In the current day and age, numerous business transactions today have complex sub-transactions and multiple parties involved. It is no longer sufficient or sustainable to resolve disputes through an adjudicatory platform. With the changing nature of businesses and technology, realisation of...

This paper examines the changes in earnings quality of registered ADRs as a result of switching accounting standards. We aim to shed light on the potential impact of IFRS adoption on US firms. A suboptimal approach to achieve this goal is through examination of US firms' surrogates such as ADRs....

This article introduces and analyses China's latest reform of securities laws to attract domestic unicorn companies (with a valuation over $1 billion) and tech giants to list or dual-list their shares on mainland China's Shanghai and Shenzhen Stock Exchanges. In the past, most Chinese tech...

This paper discusses the system of ADR in Hungary. It considers whether the system provides a high level of consumer protection and consumer access to justice, looking for the most interesting and important elements of the system while highlighting areas that need improvement

For nearly two decades, proponents of alternative dispute resolution (ADR) have touted the advantages of institutionalizing ADR within the courts. The anticipated benefits have included: quicker settlements, better settlements, resolution which is less expensive for the courts and litigants, and...

In recent years, the world has witnessed an intense debate on the viability of arbitration for investor-state disputes and various efforts towards the development and refinement of other alternative means of dispute resolution. This article looks at the recent trends and provides an assessment...

We examine the decision to list in the U.S. markets by foreign firms through American Depository Receipts (ADRs). There is a high positive correlation between the valuation of existing ADRs and the number of new ADR listings next year. ADR listing is more likely when existing ADRs are valued...

Purpose The literature provides extensive evidence for seasonality in stock market returns, but is almost non-existent concerning the potential seasonality in American depository receipts (ADRs). To fill this gap, this paper aims to examine a number of seasonal effects in the market for ADRs....