Hyundai Motor Securities said on the 15th that SK Hynix's ADR listing has prompted concern foreign investors may sell Korea-listed common shares to buy ADRs, but a sustained ADR premium could instead increase foreign buying of the local shares. Analyst Kim Jae-seung said the ADR makes U.S. trading more convenient and some investors may shift to ADRs to avoid Korean market volatility and won/USD exchange-rate risk, yet a high ADR premium would raise the relative appeal of Korea-listed ordinary st

Hyundai Motor Securities said on the 15th that SK Hynix's ADR listing has prompted concern foreign investors may sell Korea-listed common shares to buy ADRs, but a sustained ADR premium could instead increase foreign buying of the local shares. Analyst Kim Jae-seung said the ADR makes U.S. trading more convenient and some investors may shift to ADRs to avoid Korean market volatility and won/USD exchange-rate risk, yet a high ADR premium would raise the relative appeal of Korea-listed ordinary stock.