I’m current living in the states. I got a certificate of some shares of HSBC Holdings PLC(London Exchange: HSBA). When I tried to deposit the certificate to my US brokerage account, I was told the stocks can only be deposited as US Equivalent. This is the instruction i got from E*trade:
"...The process may take several weeks to make the security available for trading. Under current procedure, the certificate will be booked as the US equivalent - regardless of whether the type of certificate deposited is the foreign ordinary or the US equivalent..."
What is the US equivalent of HSBA? Does that mean it will traded in US$? How would the exchange rate affect the value of US equivalent?...
I am really confused since I have never owned a foreign stock. Any help will be greatly appreciated. Thanks.
"...The process may take several weeks to make the security available for trading. Under current procedure, the certificate will be booked as the US equivalent - regardless of whether the type of certificate deposited is the foreign ordinary or the US equivalent..."
What is the US equivalent of HSBA? Does that mean it will traded in US$? How would the exchange rate affect the value of US equivalent?...
I am really confused since I have never owned a foreign stock. Any help will be greatly appreciated. Thanks.
