ADRs cut the risk of overseas investing

Article Excerpt

We feel one of the best way to buy shares of foreign companies is through American Depositary Receipts, or ADRs, which represent one or more shares of the foreign stock. Since ADRs trade on U.S. stock markets, you don’t have to deal with foreign currencies, foreign stock-exchange rules, or language barriers. As well, the depositary bank or broker will convert dividends into U.S. dollars before it sends them on to you. Here are four ADRs well-suited to conservative investors. Two of them are buys for right now. CANON INC. ADRs $36 (New York symbol CAJ; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.1 billion; Market cap: $39.6 billion; Price-to-sales ratio: 1.0; Dividend yield: 3.4%; TSINetwork Rating: Above Average; www.canon.com) is a leading maker of office equipment, mainly printers and copiers. Its other products include digital cameras and parts for TVs and medical gear. In December 2016, the company paid $5.9 billion for the medical equipment business of Toshiba Corp. That business makes diagnostic…

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