Finance · Profile from Finance Research Companion
Nasdaq
The world's first electronic stock market, launched by the National Association of Securities Dealers on 8 February 1971 as a computer screen of dealer quotes, which became the listing home of Apple, Microsoft, Amazon, Nvidia and most of America's technology giants, and then turned itself into a software company. Nasdaq was spun out of its regulator in 2000, became a national securities exchange in 2006, merged with the Nordic exchange operator OMX in 2008, mishandled Facebook's IPO in 2012, and under Adena Friedman (CEO since 2017) bought Verafin (2021) and Adenza (2023, ~$10.5bn) to become a provider of anti-financial-crime, risk and regulatory software to banks. In 2025 it reported ~$5.2bn of net revenue, ~$4.0bn of it (76%) from "Solutions" rather than trading. Its history also carries a warning: Bernard Madoff, later the largest Ponzi-schemer in history, was three times Nasdaq's chairman.
At a glance
- Founded
- February 8, 1971, as the NASD Automated Quotations system (New York / Washington); spun off from the NASD 2000–2001; exchange status 2006; NASDAQ OMX Group 2008; renamed Nasdaq, Inc. 2015
- Founders / key builders
- NASD (Gordon Macklin, president 1970–87); Robert Greifeld (CEO 2003–16); Adena Friedman (CEO since January 2017, chair since 2023)
- Headquarters
- New York (Times Square MarketSite and 151 W. 42nd St.); major operations in Stockholm, Philadelphia, Rockville, Maryland, and St. John's, Newfoundland (Verafin); Dallas regional headquarters (2025)
- Ownership / structure
- Public company (Nasdaq: NDAQ); Borse Dubai the largest shareholder (~10.8% after 2024 sales, reported); Thoma Bravo, which received ~15% in the Adenza deal, sold its entire stake in 2024–25
- Leadership (2026)
- Adena Friedman, chair and CEO; Sarah Youngwood, CFO; Tal Cohen, president (Market Platforms, verify title); see section 9
- Segments
- Capital Access Platforms (listings, data, index, investor-relations and ESG workflow tools); Financial Technology (financial-crime management via Verafin, regulatory technology via AxiomSL, capital-markets technology via Calypso and trading/surveillance software); Market Services (US and Nordic equities, US options, derivatives) — the first two together reported as "Solutions"
- Scale
- Nasdaq Stock Market lists ~4,000+ companies (verify); Nasdaq-100 underlies Invesco's QQQ, one of the largest ETFs; Verafin served ~2,000 North American banks and credit unions at acquisition (2020), >2,500 institutions later and >2,750 by 2026 (company); technology clients include 130+ market operators (company, verify)
- Revenue and profit
- 2025 net revenue ~$5.2bn (+13%), Solutions ~$4.0bn, ARR ~$3.05bn; Q3 2026 net revenue ~$1.48bn (+13%), Solutions ~$1.17bn (+17%), ARR ~$3.4bn, GAAP EPS $0.96 (company, 22 Oct 2026)
- Capital / regulatory status
- US exchanges are SEC-regulated self-regulatory organisations; Nordic and Baltic exchanges and Nasdaq Clearing are supervised by national regulators (Sweden's Finansinspektionen leads for clearing); software businesses serve regulated banks as third-party vendors
- Signature moves (incl. failures)
- The 1971 electronic market; Madoff's chairmanship and the 1990s dealer scandal; the failed LSE bid and the OMX merger (2006–08); the Facebook IPO glitch (2012); the Nasdaq Clearing Aas default (2018); Verafin (2021); Adenza and the software pivot (2023); Nasdaq Texas and 23-hour trading (2025–26)
8 strategic moves analysed
Each one gets a full strategy file in the companion: context, the decision, the financing, what happened, and the lesson.
1971
Electronic Quotation Market
Founding / launch
1990
Madoff Chair and the Dealer Market Scandal
Governance failure / regulatory settlement
2007
LSE Bid and OMX Merger
Acquisition (failed hostile bid, then merger)
2012
Facebook IPO Glitch
Failure / regulatory settlement
2018
Nasdaq Clearing Aas Default
Failure / regulatory fine
2021
Verafin and Financial Crime Software
Acquisition
2023
Adenza and the Software Pivot
Acquisition / pivot
2025
Nasdaq Texas and Extended Hours
Launch (new dual-listing venue; extended trading session)