Five new German-based CDRs offer Canadian investors affordable access to global companies
CIBC has announced the expansion of its Canadian Depositary Receipts (CDRs) platform, introducing five new ‘European CDRs.’
Subject to final approval by the Exchange, these CDRs will be listed on Cboe Canada and available for trading starting January 31.
The addition of these CDRs will bring CIBC's total listed offerings to 70, building on a platform introduced over three years ago.
These are the first European CDRs from CIBC and are based on prominent German companies, with more expected in the future.
The new CDRs and their respective Cboe Canada ticker symbols are:
|
CDRs |
Ticker Symbol |
|---|---|
|
Allianz CDR (CAD Hedged) |
ALZ |
|
BMW CDR (CAD Hedged) |
BMW |
|
Mercedes-Benz CDR (CAD Hedged) |
BENZ |
|
SAP CDR (CAD Hedged) |
SAPS |
|
Siemens CDR (CAD Hedged) |
SMNS |
Christian Exshaw, deputy head of Capital Markets at CIBC, stated that CIBC's Canadian Depositary Receipts have enabled investors to gain exposure to global companies while managing currency risk.
He described the expansion into the European market as “a first step in rapid global expansion furthering accessibility for retail investors.”
Exshaw added that CIBC aims to continue offering innovative, market-based solutions to address investor demand.
CDRs provide Canadian investors with an affordable way to invest in many of the world’s largest companies.
They are priced at a fraction of the cost of the underlying reference share and include a built-in notional currency hedge to mitigate currency risk associated with global investing.
To introduce the European CDRs, CIBC partnered with CIBC Mellon to utilise their global operational capabilities and custody asset servicing expertise, and with Cboe Canada to list the new offerings, leveraging the exchange’s focus on innovation.
The new European CDRs will join the existing global lineup already available for trading in Canada.
