If you searched for Xiaomi ADRs, you’ve inevitably come across both XIACF
and XIACY
. What’s the difference? You cannot trade XIACF
as a retail investor because it’s a “privately placed” ADR under SEC Rule 144A. This means that they’re for qualified institutional buyers (QIBs) only. QIBs want and contribute to the 25x higher average trading volume than XIACY
. Volume ensures there are enough buyers and sellers to trade with you. Information and services are also limited to QIBs.