Author: Jose E. Perez
Index
- Introduction
- What CEDEARs Are
- How CEDEARs Work
- Currency, Ratios and Market Access
- Main Benefits for Investors
- Practical Steps to Invest in CEDEARs
- Key Risks and Considerations
- Conclusion
- References
Summary
CEDEARs, or Certificados de Depósito Argentinos, are Argentine deposit certificates that allow local investors to gain exposure to foreign stocks, ADRs and ETFs through the Argentine capital market. They are traded on BYMA and custody is handled locally, while the certificates represent foreign underlying assets. Their structure allows investors to access global companies, diversify portfolios, receive dividends in U.S. dollars when applicable, and operate without opening a brokerage account abroad. However, they also involve market, currency, liquidity, tax and regulatory risks that should be carefully assessed before investing.
Article
CEDEARs, known in Spanish as Certificados de Depósito Argentinos, have become one of the most relevant instruments for Argentine investors seeking exposure to international markets. Through these certificates, investors can participate indirectly in the performance of foreign companies and exchange-traded funds while operating within the local Argentine capital market.
According to BYMA, a CEDEAR is an Argentine deposit certificate that represents foreign assets not directly listed in Argentina. These instruments are traded in the Argentine market and allow investors to access international securities without necessarily opening an account with a foreign broker.
The basic structure is simple: when an investor buys a CEDEAR, the investor is not directly purchasing the foreign share in the overseas market. Instead, the investor acquires a local certificate that represents a proportional interest in an underlying foreign asset. Banco Comafi describes CEDEARs as negotiable certificates in Argentina that represent foreign assets, including shares, ADRs, ADSs and, in certain cases, ETFs or other eligible securities.
One of the central features of CEDEARs is the conversion ratio. This ratio determines how many CEDEARs are equivalent to one underlying foreign share or ETF unit. For example, a ratio may allow an investor to buy a fraction of a high-priced international stock through a lower-ticket local instrument. This mechanism makes global diversification more accessible to smaller investors. BYMA highlights that these ratios allow investors to access international assets with relatively low initial amounts.
CEDEARs may be traded in Argentine pesos or U.S. dollars. This dual-currency structure is particularly important in Argentina, where many investors use capital market instruments not only to seek returns, but also to manage currency exposure. BYMA explains that CEDEARs can be operated in pesos or dollars, and that dividends, when distributed by the underlying company, are paid in U.S. dollars even if the investment was originally made in pesos.
From a portfolio perspective, CEDEARs offer three main advantages. First, they provide access to global companies and ETFs from the local market. Second, they allow investors to diversify across sectors, countries and currencies. Third, they may serve as a hedge against local currency depreciation, since their value is linked both to the underlying foreign asset and to the exchange-rate dynamics reflected in the Argentine market.
However, CEDEARs are not risk-free instruments. Their price may fall if the underlying foreign asset declines. They may also be affected by local liquidity conditions, changes in conversion ratios, tax treatment, currency regulations and broader capital market rules. Investors should also understand that a CEDEAR’s local price may reflect both the foreign asset price and the implicit exchange-rate reference used by the market.
To begin investing in CEDEARs, investors generally need to open a local investment account with an authorized broker or ALyC. The Argentine CNV maintains public records of authorized agents and market participants, which is an important reference point for verifying the regulatory status of intermediaries.
The operational process is usually straightforward. The investor opens an account with an authorized broker, transfers funds from a bank account or digital wallet, selects the desired CEDEAR, specifies price and quantity, and sends the order through the broker’s platform. BYMA notes that settlement may occur on the same day for cash settlement or on the next business day for 24-hour settlement.
In conclusion, CEDEARs are a practical bridge between Argentine investors and global capital markets. They allow local access to foreign assets, provide a mechanism for international diversification and offer an alternative for investors who want exposure to companies and ETFs listed abroad. Nevertheless, as with any capital market instrument, they require careful analysis, risk assessment and professional advice when appropriate.
Disclaimer: This article is for informational and educational purposes only. It does not constitute financial, legal, tax or investment advice. Investors should consult a qualified professional before making investment decisions.
References
Bolsas y Mercados Argentinos. (n.d.). CEDEARs | Productos financieros. BYMA.
Banco Comafi. (n.d.). CEDEARs. Custodia Global Banco Comafi.
Banco Comafi. (n.d.). Programa de CEDEARs. Custodia Global Banco Comafi.
Bolsas y Mercados Argentinos. (n.d.). BYMA incorpora nuevos CEDEARs para su negociación. BYMA Newsroom.
Comisión Nacional de Valores. (n.d.). Registro público de agentes. CNV.
Argentina.gob.ar. (n.d.). Inscribirse como Agente de Liquidación y Compensación Integral — ALyC I. Gobierno de la República Argentina.
Pérez, J. E. (2026). CEDEARs: Argentine deposit certificates as a gateway to global markets. Althaia Holdings News Post. Retrieved May 25, 2026, from https://www.althaiaholdings.com