Formerly | NASDAQ Stock Market, Inc. (1971–2008) NASDAQ OMX Group, Inc. (2008–2014) |
---|---|
Company type | Public |
Industry | Financial services |
Founded | February 8, 1971 |
Headquarters | One Liberty Plaza, , United States |
Area served | United States, Europe |
Key people |
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Products |
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Revenue | US$6.06 billion (2023) |
US$1.58 billion (2023) | |
US$1.06 billion (2023) | |
Total assets | US$32.3 billion (2023) |
Total equity | US$10.8 billion (2023) |
Number of employees | 8,525 (2023) |
Subsidiaries | |
Website | nasdaq |
Footnotes /references [1] [2] |
Nasdaq, Inc. is an American multinational financial services corporation that owns and operates three stock exchanges in the United States: the namesake Nasdaq stock exchange, the Philadelphia Stock Exchange, and the Boston Stock Exchange, and seven European stock exchanges: Nasdaq Copenhagen, Nasdaq Helsinki, Nasdaq Iceland, Nasdaq Riga, Nasdaq Stockholm, Nasdaq Tallinn, and Nasdaq Vilnius. It is headquartered in New York City, and its president and chief executive officer is Adena Friedman.
Historically, the European operations have been known by the company name OMX AB (Aktiebolaget Optionsmäklarna/Helsinki Stock Exchange), which was created in 2003 upon a merger between OM AB and HEX plc. The operations have been part of Nasdaq, Inc. (formerly known as Nasdaq OMX Group) since February 2008. [3] They are now known as Nasdaq Nordic, which provides financial services and operates marketplaces for securities in the Nordic and Baltic regions of Europe. [4]
OM AB (Optionsmäklarna) was a futures exchange founded by Olof Stenhammar in the 1980s to introduce trading in standardized option contracts in Sweden. OM acquired the Stockholm Stock Exchange in 1998 [5] and unsuccessfully attempted acquisition of the London Stock Exchange in 2001. [6] During the dot-com bubble in the early 21st century, OM, together with investment bank Morgan Stanley Dean Witter, launched a virtual European stock exchange called Jiway. The project was not successful [7] and was canceled on October 14, 2002. [8]
On September 3, 2003, the Helsinki Stock Exchange (HEX) merged with OM, and the joint company became OMHEX. [9] On August 31, 2004, the brand name of the company was changed to OMX. [10] OMX then acquired the Copenhagen Stock Exchange in January 2005 [5] for €164 million. [11] On September 19, 2006, the Iceland Stock Exchange owner Eignarhaldsfelagid Verdbrefathing (EV) announced it would be acquired by OMX in a deal valuing the company at 250 million SEK. [12] The transaction was completed by the end of the year. [5]
The company took a 10% stake in Oslo Børs Holding ASA, the owner of the Oslo Stock Exchange in October 2006. As of September 2016, Nasdaq is not a major shareholder in the Oslo Stock Exchange holding company, which following a merger is currently called Oslo Børs VPS Holding ASA. Nasdaq has, however, publicly stated its interest in eventually acquiring the Oslo Stock Exchange. [13] [14] [15]
In November 2007, OMX acquired the Armenian Stock Exchange and the Central Depository of Armenia. [16]
In December 2005, OMX started First North, an alternative exchange for smaller companies, in Denmark. The First North exchange expanded to Stockholm in June 2006, Iceland in January 2007 and Helsinki in April 2007. [17] The Markets Technology division of Computershare was acquired in 2006. The acquisition greatly expanded its product offerings and made its client list the largest of all trading system technology providers.
On October 2, 2006, the group launched a virtual Nordic Stock Exchange after merging the individual lists of shares traded at its three wholly owned Nordic exchanges into a combined Nordic List. [18] Companies listed on the Iceland Stock Exchange have also since been merged into the list. OMX also launched a pan-regional benchmark index known as the OMX Nordic 40 on the same date; however, the individual exchanges have also retained their own national benchmark indices.
In December 2005, the London Stock Exchange Group (LSE) rejected a £1.6 billion takeover offer from Macquarie Bank. The LSE described the offer as "derisory". It then received a bid in March 2006 for £2.4 billion from NASDAQ, which was also rejected by the LSE. NASDAQ later pulled its bid, and less than two weeks later on April 11, 2006, struck a deal with LSE's largest shareholder, Ameriprise Financial's Threadneedle Asset Management unit, to acquire all of that firm's stake, consisting of 35.4 million shares, at £11.75 per share. [19] NASDAQ also purchased 2.69 million additional shares, resulting in a total stake of 15%. While the seller of those shares was undisclosed, it occurred simultaneously with a sale by Scottish Widows of 2.69 million shares. [20] The move was seen as an effort to force LSE to negotiate either a partnership or eventual merger, as well as to block other suitors such as NYSE Euronext, owner of the New York Stock Exchange. [21]
Subsequent purchases increased NASDAQ's stake to 29%, holding off competing bids for several months. However, only a further 0.4% of shareholders accepted the offer by the deadline and therefore the offer was rejected [22] on February 10, 2007.
On October 2, 2007, Nasdaq purchased the Boston Stock Exchange. [23] On November 7, Nasdaq announced an agreement to purchase the Philadelphia Stock Exchange. [24]
On May 25, 2007, NASDAQ agreed to buy OMX for US$3.7 billion. [25] In August, however, Borse Dubai offered US$4 billion, prompting speculation of a bidding war. [26] On September 20, 2007, Borse Dubai agreed to stop competing to buy OMX in return for a 20% stake and 5 percent of votes in NASDAQ as well as NASDAQ's then 28% stake in the London Stock Exchange. [27] In a complex transaction, Borse Dubai acquired 97.2% of OMX's outstanding shares before selling them on to NASDAQ. [28] The newly merged company was renamed the NASDAQ OMX Group upon completion of the deal on February 27, 2008.
On June 18, 2012, NASDAQ became a founding member of the United Nations Sustainable Stock Exchanges initiative on the eve of the United Nations Conference on Sustainable Development (Rio+20). [29]
On December 12, 2012, NASDAQ OMX announced that it would acquire parts of Thomson Reuters for $390 million in cash. This deal included its investor relations, public relations and multimedia businesses. [30] NASDAQ OMX completed the purchase on June 3, 2013. [31]
In April 2017, Nasdaq launched Nasdaq Ventures, a venture investment program focused on companies that will help Nasdaq grow its product lines and open new market segments. The first 3 companies announced as part of the program are Chain, a blockchain technology company; Digital Reasoning, cognitive computing technology; and Hanweck, real-time risk analytics. [32]
During Christmas of 2018, shareholders representing 25% of Oslo Børs VPS Holding (the Norwegian Stock Exchange and national CSD operator) [33] held a private auction of share sale. Nasdaq did not participate in the auction due to the hostile nature of the bid (held without Oslo Børs boards knowledge or approval). Euronext won the auction, and later secured another 24.6% of shareholder support, totaling 49.6%. Following this, Nasdaq acquired 32.5% shares in open market (mainly from individual shareholders/employees), [34] and submitted an official bid, with unanimous recommendations from board and some key shareholders, [35] to acquire remaining shares for 152 NOK, and later increased offer to 158 NOK (or almost 44% premium of December 17, 2018 closing price, to match Euronext offer), [36] additionally making the case to Norway's markets regulator that in cases like this, 2/3 of the share control may be necessary to comply with any applicable regulatory requirement. In the end the regulator did not side with the two-thirds requirements, and general majority was deemed to be applicable. Euronext by that time had acquired or secured control of 50.5% shares, [37] and Nasdaq had announced on May 25, 2019, that they were pulling out of the Oslo Børs battle, handing Euronext the victory. [38]
In June 2023, Nasdaq announced that it had agreed to acquire Adenza from Thoma Bravo in a $10.5 billion cash-and-stock deal, the biggest for the US exchange operator to date. As part of the deal, Thoma Bravo would get a 15 percent stake in Nasdaq. [39]
NASDAQ Inc. partners with stock exchanges all over the world. One of the most recent partnerships was signed with Astana International Financial Centre (AIFC) in May 2017. According to the agreement, NASDAQ will power Kazakhstan's nascent stock exchange, the AIX (Astana International Exchange) . [40] [ non-primary source needed ]
In January 2013, NASDAQ OMX announced that it would combine its global data products and index businesses into a unit called Global Information Services, as part of an ongoing effort to broaden its portfolio. [41]
On June 29, 2007, NASDAQ entered into an agreement to acquire DirectorsDesk.com, a management suite for boards of directors. [42]
GlobeNewswire (previously PrimeNewswire) provides press release, editing and wire services. It was founded in 1998 and acquired by NASDAQ OMX in 2006. [43] It was sold to Intrado in April 2018. [44]
On July 27, 2010, NASDAQ OMX Group, Inc. acquired SMARTS Group, a provider of market surveillance systems to exchanges, regulators and brokers. [45] SMARTS Group had been a private company operating in Sydney, Australia, incorporating the market analysis software of Michael James Aitken. [46] [47] By 2017 SMARTS remained the leading market surveillance software, [48] and was employed by thirteen regulators on forty-five exchanges. [49]
NASDAQ OMX sold its stake in the Carpenter Moore D&O Insurance in 2009.
The following exchanges are operated by Nasdaq, Inc.: [50]
The company's stock market activities are categorized into three divisions:
In North America, OMX supports its most high-profile customers such as the Financial Industry Regulatory Authority (FINRA), ICAP, ISE, and IDCG, which are powered by OMX trading systems such as X-stream, CLICK, CONDICO and SAXESS.
OMX is the world's leading provider of central securities depository (CSD) technology. Its Equator CSD product is used by clients in Europe, the Middle East, Africa and the Caribbean.
Central counterparty clearing (CCC) technology is a significant potential growth area for OMX. OMX's SECUR clearing [51] and Genium trading platform [52] facilitate trade novation, derivatives clearing, risk management and improved liquidity. SECUR clearing and Genium trading technology are in production around the world.
OMX's technology customers include:
The Nasdaq Stock Market is an American stock exchange based in New York City. It is the most active stock trading venue in the U.S. by volume, and ranked second on the list of stock exchanges by market capitalization of shares traded, behind the New York Stock Exchange. The exchange platform is owned by Nasdaq, Inc., which also owns the Nasdaq Nordic stock market network and several U.S.-based stock and options exchanges. Although it trades stock of healthcare, financial, media, entertainment, retail, hospitality, and food businesses, it focuses more on technology stocks. The exchange is made up of both American and foreign firms, with China and Israel being the largest foreign sources.
The London Stock Exchange (LSE) is a stock exchange based in London, England. As of July 2024, the total market value of all companies trading on the LSE stood at $3.42 trillion. Its current premises are situated in Paternoster Square close to St Paul's Cathedral. Since 2007, it has been part of the London Stock Exchange Group. Despite a post-Brexit exodus of stock listings from the London Stock Exchange, the LSE was the most valued stock exchange in Europe as of 2023. According to the 2020 Office for National Statistics report, approximately 12% of UK-resident individuals reported having investments in stocks and shares. According to a 2020 Financial Conduct Authority report, approximately 15% of British adults reported having investments in stocks and shares.
Nasdaq Helsinki, formerly known as the Helsinki Stock Exchange, is a stock exchange located in Helsinki, Finland. Since 3 September 2003, it has been part of Nasdaq Nordic. After the OMX merger, it was referred to as OMX Helsinki (OMXH), then after NASDAQ's acquisition of OMX in February 2008, NASDAQ OMX Helsinki, and currently Nasdaq Helsinki.
Nasdaq Nordic is the common name for the subsidiaries of Nasdaq, Inc. that provide financial services and operate marketplaces for securities in the Nordic and Baltic regions of Europe.
Nasdaq Stockholm, formerly known as the Stockholm Stock Exchange, is a stock exchange located in Frihamnen, Stockholm, Sweden. Founded in 1863, it has become the primary securities exchange of the Nordic countries. As of March 2021, a total of 832 companies are listed on Nasdaq Stockholm with 385 companies on the main market and additional 447 listed on secondary markets.
Euronext N.V. is a European bourse that provides trading and post-trade services for a range of financial instruments.
The Nasdaq Iceland, formerly known as the Iceland Stock Exchange (XICE) (Icelandic: Kauphöll Íslands ), is a stock exchange located in Iceland. It was established in 1985 as a joint venture of several banks and brokerage firms on the initiative of the central bank. Trading began in 1986 in Icelandic government bonds, and trading in equities began in 1991. Equities trading increased rapidly thereafter. A wide variety of firms are currently listed on the exchange, including firms in retail, fishing, transportation, banks, insurance and numerous other areas. Because of the small size of the Icelandic economy and the low cost of public listing, many of the companies traded on the XICE are relatively small and are relatively illiquid.
Singapore Exchange Limited is a Singapore-based exchange conglomerate, operating equity, fixed income, currency and commodity markets. It provides a range of listing, trading, clearing, settlement, depository and data services. SGX Group is also a member of the World Federation of Exchanges and the Asian and Oceanian Stock Exchanges Federation. It is ASEAN's second largest market capitalization after Indonesia Stock Exchange at US$609.653 billion as of September 2023.
Oslo Stock Exchange is a stock exchange within the Nordic countries and offers Norway's only regulated markets for securities trading today. The stock exchange offers a full product range including equities, derivatives and fixed income instruments.
The Nasdaq Tallinn AS, formerly known as the Tallinn Stock Exchange, is a stock exchange operating in Tallinn, Estonia. Nasdaq Tallinn is the only regulated secondary securities market in Estonia. The major stock market index is Nasdaq Tallinn, formerly known as TALSE.
The AEX index, derived from Amsterdam Exchange index, is a stock market index composed of Dutch companies that trade on Euronext Amsterdam, formerly known as the Amsterdam Stock Exchange. Started in 1983, the index is composed of a maximum of 25 of the most frequently traded securities on the exchange. It is one of the main national indices of the stock exchange group Euronext alongside Euronext Brussels' BEL20, Euronext Dublin's ISEQ 20, Euronext Lisbon's PSI-20, the Oslo Bors OBX Index, and Euronext Paris's CAC 40.
EDX London was a derivatives exchange managed by the London Stock Exchange that was absorbed into the Turquoise trading platform in 2011. The market was set up in 2003 to combine the liquidity and expertise of the LSE with advanced derivatives technology offered by Sweden's OMX AB. Members of EDX could trade either standardized or flexible futures and options on indices or single stocks. Trading took place on the three Scandinavian linked exchanges, the Stockholm Stock Exchange, Copenhagen Stock Exchange, and Oslo Børs as well as some Russian stocks.
The Nasdaq Copenhagen, formerly known as the Copenhagen Stock Exchange, is an international marketplace for Danish securities, including shares, bonds, treasury bills and notes, and financial futures and options.
NASDAQ OMX Commodities Europe is a trade name of NASDAQ OMX Oslo ASA, the single financial energy market for Norway, Denmark, Sweden and Finland. Before 1 November 2010, it was known by the name Nord Pool. As of 2008, Nord Pool was the largest power derivatives exchange and the second largest exchange in European Union emission allowances (EUAs) and global certified emission reductions (CERs) trading.
The Armenia Stock Exchange (AMX), formerly known as NASDAQ OMX Armenia and the Armenia Securities Exchange, is the only stock exchange currently operating in Armenia. It is located in Yerevan, the capital city. The state regulatory authority for the stock exchange and the Armenian securities market is the Central Bank of Armenia (CBA). Instruments currently traded on AMX include stocks, corporate bonds, government bonds, currency, SWAP and REPO on corporate securities.
London Stock Exchange Group plc, also known as LSEG, is a global provider of financial markets data and infrastructure. Headquartered in London, England. It owns the London Stock Exchange, Refinitiv, LSEG Technology, FTSE Russell, and majority stakes in LCH and Tradeweb.
A multilateral trading facility (MTF) is a European Union regulatory term for a self-regulated financial trading venue. These are alternatives to the traditional stock exchanges where a market is made in securities, typically using electronic systems. The concept was introduced within the Markets in Financial Instruments Directive (MiFID), a European Directive designed to harmonise retail investors protection and allow investment firms to provide services throughout the EU.
The European Multilateral Clearing Facility (EMCF) was a clearing house based in the Netherlands for equity trades done on stock exchanges or multilateral trading facility throughout Europe.
Nord Pool AS is a pan-European power exchange. Nord Pool has its main office in Oslo and further offices in Stockholm, Helsinki, Tallinn and London. The company is owned by the European exchange operator Euronext as well as TSO Holding, which represents the continental Nordic and Baltic countries' transmission system operators. Nord Pool has two subsidiaries, Nord Pool AB and Nord Pool Finland Oy.
Volue is a Norwegian technology company working in the field of energy, power grid, water, and infrastructure, founded in March 2020.