JPMorgans Depositary Receipts (DR) Group will offer selected U.S.-registered Exchange Traded Funds (ETFs) on the international segment of the Mexican Stock Exchange, Bolsa Mexicana de Valores (BMV).
Through this latest edition to its DR product suite, JPMorgan will enable all eligible Mexican stock exchange market participants to achieve the U.S. and global exposure that ETFs can provide, as well as benefit from the convenience of a peso-denominated security.
The cross-listed ETFs will be listed on the BMV in pesos and trades can be initiated through a local broker. JPMorgan will service the ETFs and will handle all corporate actions. JPMorgan will also disseminate relevant shareholder and corporate actions information in the Mexican market via BMV. Additionally, a dedicated J.P. Morgan representative is available in Mexico City to provide local expertise and guidance to investors.
“We are well-positioned to offer this product in Mexico as evidenced by our long-standing commitment to its equity market,” says William Kirst, depositary receipts executive for Latin America at JPMorgan. “JPMorgan has been doing business in the region for over 100 years; our DR Group executed the first Latin American DR in 1960.”
JPMorgan launched the first DR in Latin America in 1960 (Telfonos de Mxico) and serves as depositary for a number of prominent DR programs in Latin America, including Banco Santander – Chile, Petroleo Brasileiro S.A. and Companhia Vale do Rio Doce. In 2007, the firm launched a global depositary shares (GDS) program for Grupo Clarn S.A., the first Argentine company to have a DR listing on the London Stock Exchange. That year it also launched a global depositary receipt (GDR) program for Almacenes Exito S.A., the first primary offering of equity securities by a Colombian company outside of the home market in over 10 years.
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