On July 26, Nasdaq President and CEO Adena Friedman sat down with CNBC’s Squawk Box at the Nasdaq MarketSite in Times Square to discuss Nasdaq’s success as both an exchange and growing technology company.
“We are doing quite well in terms of the growth of our business, from our data business, our index business, and even though volatility is at almost all-time lows we continue to have very strong performance across all of the things we do as an exchange and as a technology company,” said Friedman.
Friedman appeared on Squawk Box on July 26, the day Nasdaq, Inc. reported second quarter 2017 earnings results. Nasdaq reported a new quarterly high in net revenue, reaching $602M in 2Q17, an 8% increase compared to the second quarter of 2016. In addition to achieving a new quarterly net revenue record, Nasdaq is making progress against several 2017 execution priorities, including the commercialization of key technologies with new products available through the Nasdaq Financial Framework and Analytics Hub, achieving merger synergies ahead of timeline, and raising market share in the largest trading categories above prior year levels.
Nasdaq continues to invest in risk and surveillance solutions as well as regulatory technologies to support many complex market challenges that clients face. On July 25, Nasdaq announced that it will acquire Sybenetix, a London-based surveillance provider that combines behavioral analysis and cognitive computing with financial markets expertise. Sybenetix’s technology offering is designed to solve key surveillance challenges facing the asset management industry.
Speaking to Squawk Box about Nasdaq’s announcement to acquire Sybenetix, Friedman said:
“We are the world’s leading provider of market surveillance for broker dealers and for the markets, and Sybenetix also serves the buy-side, so we are very excited about integrating some of this machine intelligence into our products and offering it out to a broader group including the asset management industry.”
Friedman also discussed Nasdaq’s advocacy of disclosure requirements for private companies looking to tap the public markets. Nasdaq has supported allowing these companies to keep their information confidential up until the weeks before they make a final decision to take the company public while they work through the disclosure process. Friedman explained that when their confidential information is released, it becomes easier for competitors to gain access to information they need to compete effectively against them.
Effective in a July 10 SEC policy change, all companies planning IPOs are now able to confidentially file draft registration statements. In addition, the SEC will now allow confidential filings for most offerings made in the first year a company goes public.
Watch the full Squawk Box interview with Adena Friedman here.
Related Links
- Nasdaq Second Quarter Earnings Results
- Nasdaq Sybenetix acquisition announcement
- SEC’s extension of confidential filings to all IPOs
- Analytics Hub
- Financial Framework
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
