Launched in December 2015, the Nasdaq International Designation program is designed for Level 1 ADRs and Canadian companies that trade on the over-the-counter (OTC) market. The program offers a unique partnership with Nasdaq that provides member companies with Nasdaq’s robust visibility offering which allows for greater access to US investors, and can potentially increase liquidity The program does not impose SEC filing requirements or otherwise change your regulatory obligations
Universe of Level 1 ADRs
Companies that have Level 1 ADRs have a listing on an exchange outside the U.S. and comply with their home market's regulatory environment. Their Level 1 ADRs trade in the U.S. on the over-the-counter (OTC) market. Level 1 ADRs do not report to the SEC, unlike Level 2 ADRs that do file with the SEC and are listed on U.S. exchanges.
Level 1 ADRs Market Cap
There are hundreds of sponsored and unsponsored Level 1 ADRs, representing a total market cap of $15.8 Trillion USD globally. All Level 1 ADRs trade on the OTC regardless of whether they are a member of the Nasdaq International Designation program or have a competing designation. Nasdaq recognized a need to increase the visibility of these international companies with U.S. investors. Nasdaq launched the Nasdaq International Designations on December 9th 2015, with the first group of international companies below. The Nasdaq International Designation is also available to international companies that don’t have Level 1 ADRs, but have shares that trade directly on the OTC market in the U.S.
Trading
Nasdaq International is a designation. The companies are not listed or traded on The Nasdaq Stock Market LLC, and are not subject to the same listing or qualification standards applicable to securities listed or traded on an exchange. The U.S. shares continue to trade on the OTC.