what is an unsponsored adr 
an unsponsored adr is an american depositary receipt adr issued by a depositary bank without the involvement participation or consent of the foreign company it represents ownership in understanding unsponsored adrsadrs are negotiable certificates that represent a certain number of shares in a foreign company adrs are issued by banks outside the u s and trade just like shares on american stock exchanges in u s dollars these securities allow foreign corporations to enter the american financial markets and attract american capital they also give american investors a way to invest in foreign companies they may otherwise not be able to access adrs can be sponsored or unsponsored a sponsored one is issued in collaboration with the foreign company while an unsponsored adr is established without the company s cooperation 