Nasdaq Builds European Data Business

Nasdaq is aiming for more than 30% of its European data business to come from outside its traditional market data offerings. James McKeone, head of European data for Nasdaq’s global information services, was quoted in Markets Media as saying: “We are building a European data business and our ultimate aim is for upward of 30% of our business to come from outside our traditional exchange market data offerings.” The move fits in with the strategy that Adena Friedman, President and CEO of Nasdaq, has articulated for the exchange group. She described Nasdaq as “a technology company that serves the capital markets” with offerings such as market monitoring tools, data, and analytics.” One area of focus for the European business is environmental, social and governance data. “There are 250 companies reporting ESG data since we started with them a year and a half ago,” added McKeone. “The aim is to cover all our listed companies, private companies, and then to expand to the rest of Europe and potentially the US.” Outside ESG, Nasdaq also launched a partnership in July with the LBMA, the trade association for the wholesale over-the-counter market for gold and silver bullion, to increase transparency in the OTC precious metals market. Nasdaq said that the Information Services division earned $714m in revenues last year, 38% of group operating income. Nasdaq said Information Services revenues from non-exchange sources were nearing 50% and the exchange expects organic revenue growth to continue.