Don’t Expect Durable Moats in the Tech Sector One Statement Made About the Internet Bubble in 1999

One Secret to Successfully Invest in Foreign Stocks

It can be risky investing in foreign stocks, since some countries have less strict accounting requirements and in some emerging markets accounting fraud is widespread. However, if the foreign company trades as an ADR (American Depository Receipt) then it must report with the SEC using U.S. GAAP (Generally Accepted Accounting Principles), so the financial statements are more likely to be reliable.