In trade, the concept of base currency has two main meanings: the first currency listed in the forex pair or the accounting currency used by banks and other companies.

 

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Amortization is the method used to allocate loan repayments or the price of an intangible property over a defined period of time. It is generally a certain number of months or years, based on conditions set by banks or copyright agencies. Depreciation often relates to the payment of interest, which is set at the discretion of the creditor.

 

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American Depositary Receipt (or ADR, for short). This is a way of allowing shares of foreign companies to be traded in the USA. In this case, the use of their local stock exchanges is not required.

For ADRs to be traded on U.S. exchanges, just like U.S. shares, a financial institution (usually a U.S. bank) buys in bulk a large number of shares of a particular company and then reissues them on the stock exchange.

 

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