Definition for: GDR
A "global depositary receipt" or "GDR" is a financial instrument that is held in a bank in one country as a certificate of shares for stock from an exchange in another country. The use of GDRs and their related instruments, American Depositary Receipts (ADRs) and European Depositary Receipts (EDRs) help to facilitate investment in foreign stocks, as investors can purchase shares from the bank without having to make a transaction through a foreign stock exchange.
