Business & Finance Investing & Financial Markets

How to Invest in Foreign Stock

    • 1). Visit the ADR website at adr.com and select the DR search option on the top menu. Accept the disclaimer and agreement before navigating around the website.

    • 2). Search for foreign stock investments using the website's search options. ADRs can be screened by region, country and sector. Sponsored ADRs ensure a liquid market for the shares.

    • 3). Write down the stock symbols of the ADRs in which you are interested. Review the stock prices and financials to pick foreign stocks that meet your investment objectives.

    • 4). Apply for an online brokerage account if you do not have one. The Smart Money magazine's 2010 Broker Survey lists Fidelity, E-Trade and TD Ameritrade as the top three rated online brokers. Fund the account with the money you want to invest in foreign stocks.

    • 5). Purchase shares of your selected ADRs by using your broker's stock trading screen. Enter the stock symbol and number of shares you wish to purchase. Repeat the process for each ADR.

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