Introduction
A Letter from Adena Friedman, Nasdaq Chair & CEO
At Nasdaq, our purpose is to advance economic progress for all. Our purpose and the pursuit of our vision – to be the trusted fabric of the world’s financial system – not only shape our corporate sustainability strategy, but also inform the role that we play in helping to solve our clients’ most complex challenges.
Q&A with Nasdaq’s CFO and Co-Chair of the Corporate ESG Steering Committee
As Nasdaq and our clients navigate the complexity of an evolving ESG ecosystem, we are committed to advancing initiatives that can be upheld for the long-term – and the groundwork we laid in recent years will help us do just that.
Nasdaq has a long history of disrupting, leading and innovating – from launching the first electronic exchange in 1971 to migrating our second U.S. options market to the cloud in 2023. We continue to leverage technology to solve our clients’ most critical challenges and better serve the financial system globally.
AI in the Product and on the Business
Our ESG Journey
2023 Year in Review
Our Strategic Approach to Sustainability
Nasdaq’s approach to ESG is focused both internally – by managing our businesses’ ESG-related risks and opportunities and the corresponding impact we have as an organization across our own operations – and externally – by the impact we have on the world through the focused ESG products and services that support our clients’ objectives, as well as the wider economic and societal impact across other key parts of our business and operations.
Corporate Sustainability
Solidify |
Solidify business resilience and drive sustainable growth by managing and reducing long-term risks and advancing ESG practices across our entire organization.
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External Impact
Support | Enable |
Support our clients by providing relevant insights and innovative technology designed to help them achieve their ESG-related objectives.
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Enable positive outcomes through the economic and societal impact inherent to the solutions and services of our wider business.
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Our Support of the United Nations Sustainable Development Goals (SDGs)
At Nasdaq, the SDGs help guide our sustainability strategy and connect our efforts to an ambitious global agenda. We conducted an assessment to identify the SDGs where we believe Nasdaq is likely to have the greatest impact. Leveraging SDG mapping and disclosure guidance from GRI, SASB, UN SSE and the UNGC, we assessed the alignment of the SDGs in relation to the high-priority topics identified in our assessment of priority ESG topics, our corporate ESG objectives and activities, our products and services and our industry. We identified and prioritized seven SDGs where we are likely to have the most direct impact. We are reporting our progress against our corporate and commercial objectives that support these seven SDGs.
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Achieve Gender Equality and Empower All Women and Girls
Diversity, Equity, & Inclusion
- Nearly a five-percentage point increase in the hiring of women and underrepresented minorities
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Graduated our first Accelerate(HER) cohort
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Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all
Listings – U.S.
- Maintained largest percentage of small cap companies of any U.S. exchange (over 70%)
First North Growth Market – Nordics
- As of year-end 2023, more than 500 companies were listed on First North Growth Market in the Nordics
Nasdaq Entrepreneurial Center
- Served 20,700 entrepreneurs and supported small business across 140 countries, including emerging economies
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Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation
Capital Markets Technology
- As of year-end 2023, our marketplace technology was deployed in 25+ emerging economies
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Reduce inequality within and among countries
Diversity, Equity & Inclusion
- Nearly a five-percentage point increase in the hiring of women and underrepresented minorities
Supplier Diversity
- Engaged with 157 diverse suppliers, amounting to over $2.1 million in diverse supplier spend
The Nasdaq Foundation
- During 2023, the Nasdaq Foundation provided 13 grants to support organizations and programs aligned with the Foundation’s mission to support under-resourced communities
Nasdaq Entrepreneurial Center
- Served 20,700 entrepreneurs, of which 70% were women and 79% were entrepreneurs of color
Board Diversity Support
- Established relationships with 14 organizations to support Nasdaq-listed companies in their search for highly qualified, diverse, board-ready candidates
Regulatory Technology
- Integrated AxiomSL’s ESG regulatory reporting tools through our Adenza acquisition
Financial Crime Management Technology
- Published the Nasdaq Verafin 2024 Global Financial Crime Report
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Ensure sustainable consumption and production patterns
ESG Solutions
- Launched Nasdaq Sustainable Lens, an ESG intelligence platform that harnesses the power of AI
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Nasdaq ESG Advisory engaged with 90+ clients on sustainability reporting matters
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30 built-in frameworks and rating organization surveys on Nasdaq Metrio
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Take urgent action to combat climate change and its impacts
Decarbonization & Climate Strategy
- Three additional buildings LEED Certified
Evaluating and Engaging Our Supply Chain
- Requested top suppliers by spend to respond to the CDP climate questionnaire, leading to inclusion on CDP Supplier Engagement Leaderboard
ESG Solutions
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Hosted inaugural NY Climate Week Conference
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Hosted inaugural Stockholm ESG Summit
Nasdaq Sustainable Debt Market
- 61.8 billion EUR of total listed outstanding sustainable debt volume on NSDM, representing 28% year-over-year growth
Nasdaq Sustainable Bond Network
- 1,721 total NSBN issuers and 16,295 bonds covered
Capital Markets Technology
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Pioneered a Carbon Trading & Registry Technology to scale global carbon markets
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Developed a carbon taxonomy framework
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Strengthen the means of implementation and revitalize the Global Partnership for Sustainable Development
ESG Memberships
- Business Roundtable (BRT) “Purpose of a Corporation”
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CDP Supply Chain
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Federation of European Securities Exchanges (FESE) Sustainable Finance Task Force
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Science Based Targets initiative (SBTi)
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Taskforce on Nature-Related Financial Disclosures (TNFD) Forum
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United Nations Global Compact (UNGC)
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United Nations Principles for Responsible Investment (PRI)
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United Nations Sustainable Stock Exchanges (UN SSE) Initiative
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World Federation of Exchanges (WFE) – Sustainability Working Group
Awards & Recognition
We are proud that our continued commitment to advancing our ESG objectives and initiatives has earned us recognition from leading ESG organizations. Our 2023–2024 ESG-related recognitions include:
ESG Ratings
Current Score: AA
Current Score: A
Current Score: 61
Current Score: 71 (Gold)
Current Scores: 2 (Governance), 1 (Environmental & Social)
Current Score: 13.2*
Note: MSCI, ISS, CSA, CDP and EcoVadis ESG ratings are as of April 1, 2024. Sustainalytics rating is as of May 23, 2024. Nasdaq’s CSA score was updated to a 61 from a 60 on March 15, 2024. The use by Nasdaq of any MSCI ESG Research LLC or its affiliates (“MSCI”) data and the use of the MSCI logos, trademarks, service marks, or index names herein, do not constitute a sponsorship, endorsement, recommendation, or promotion of Nasdaq by MSCI. MSCI services and data are the property of MSCI or its information providers and are provided ’as-is’ and without warranty. MSCI names and logos are trademarks or service marks of MSCI.
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