Podcast Summary: Bloomberg Talks
Episode: Nasdaq CEO Adena Friedman Talks Earnings Season
Date: January 29, 2026
Overview
This episode features an insightful conversation with Adena Friedman, Chair and CEO of Nasdaq, exploring the exchange’s record earnings, the resurgence of IPOs, the migration of major companies like Walmart to the Nasdaq, and broader market trends influencing both institutional and retail investors. The discussion delves into risk concentration among mega-cap tech firms, the sustainability of current market momentum, comparisons to past tech bubbles, and the evolving landscape of prediction markets.
Key Discussion Points & Insights
1. Record Earnings and New Listings
- Nasdaq achieved over $5 billion in revenue for the first time, with strong growth across segments:
- 12% overall growth and 11% in the solutions business.
- Record $1.2 trillion in listing transfers, driven by major companies like Walmart switching to Nasdaq.
- Index business closed the year with $882 billion in assets and $99 billion in inflows.
- Friedman highlights Nasdaq’s role as a hub for innovation across sectors—not just traditional tech:
- “We are the home to great innovative tech companies but innovators across every sector. … Technology is becoming an integral part of their innovation story.” (Adina Friedman, 00:53)
Notable Companies Transferring to Nasdaq
- Walmart, Shopify, Kimberly Clark, Thomson Reuters are among major companies considering or making the switch in 2025.
Differentiators for Nasdaq’s Growth
- Market modernization through tech investments
- Index products enabling long-term passive ownership (e.g., Nasdaq 100)
- Marketing assets promoting listed company brands
2. Concentration Risk Among Mega-Cap Tech Companies
- Host raises concerns about the increasing market concentration:
- “Is that a risk that you're worried about, that there's so much concentration risk in these heavy companies?” (Michael McDermott, 02:41)
- Friedman responds that returns are broadening as interest rates fall, benefitting small caps as their cost of capital drops:
- “You are seeing a broader-based return profile with large cap and small cap companies as we go into 2026, which we're encouraged by.” (Adina Friedman, 03:09)
- Mega-cap companies (“hyperscalers and semiconductors”) are heavily investing, but their investments are sustainable:
- “It represents about less than 70% of their annual cash flows in aggregate. So imagine how cash generative these companies are.” (Adina Friedman, 03:41)
Role of Public Markets
- Big institutional investors (e.g., BlackRock) underpin stability.
- Friedman sees public capital markets as increasingly central to funding technological infrastructure.
3. Is This a Bubble or a Lasting Structural Shift?
- The host compares the current boom to past eras, notably the dot-com bubble:
- “Is it possible that we have the same kind of delayed revenue problem that we had then?” (Michael McDermott, 04:33)
- Friedman, who was at Nasdaq during the tech bubble, emphasizes differences:
- Today’s leading companies are “very large scale, well capitalized,” with much higher minimum market caps ($30-40B vs. ~$5B in 2000).
- “These are revenue generating, very strong companies that have strong business momentum, KPIs, all of those things.” (Adina Friedman, 05:12)
- She notes that while there will be “winners and losers,” the current tech investment cycle is underpinned by more capital and stronger fundamentals:
- “It's a long term trend, it's the future of our economy that we are underwriting right now.” (Adina Friedman, 06:05)
4. Evolution of Investor Participation & Prediction Markets
- Broader participation in the market, notably from retail investors.
- Emergence of “prediction markets” is seen as noteworthy but distinct from equities:
- Regulation is necessary to provide guardrails and protect investors.
- “When you are putting your savings to work and you are a true investor, the equities markets are an amazing opportunity to find defined returns. When you are looking at this more as a way to spend your afternoon, that's a different investor type, it's a different use of capital.” (Adina Friedman, 06:44)
- Clear regulatory rules are essential; Nasdaq is engaging with the SEC and CFTC as these markets evolve.
Memorable Quotes & Timestamps
-
On Nasdaq’s Value Proposition:
“Everyone is becoming much more tech enabled. Technology is becoming an integral part of their innovation story…this has really created a great opportunity for us to talk to Shopify and Kimberly Clark and to Thompson, Reuters in addition to Walmart and bring them to NASDAQ in 2025.”
(Adina Friedman, 01:40) -
On Company Strength in This Cycle:
“The companies that are underwriting the risk and the opportunity are very large scale, well capitalized companies.”
(Adina Friedman, 05:13) -
On Market Participation:
“When you are putting your savings to work and you are a true investor, the equities markets are an amazing opportunity…When you are looking at this more as a way to spend your afternoon, that's a different investor type, it's a different use of capital.”
(Adina Friedman, 06:44)
Important Segments & Timestamps
- Nasdaq’s Record Quarter and Differentiators: 00:27–02:41
- Concentration Risk and Market Breadth: 02:41–04:33
- Comparisons to the Dot-Com Bubble: 04:33–06:10
- Rise of Prediction Markets & Regulatory Issues: 06:12–07:43
Tone and Language
Adena Friedman speaks with conviction and optimism, leveraging data and personal experience. The host engages with thoughtful, probing questions, often referencing industry history and current events to ground the conversation. The discussion remains pragmatic, focused on long-term trends and responsible market evolution.
Summary Takeaways
- Nasdaq is enjoying a record period of growth, not only due to IPOs returning but also legacy companies like Walmart transferring listings.
- There is awareness—but not alarm—about market concentration; the CEO believes broader market participation and diversified growth mitigate these risks.
- Friedman distinguishes current tech investment trends from the dot-com bubble due to stronger fundamentals and much deeper capital reserves.
- Broader and retail market participation is positive but warrants regulatory clarity, especially as novel financial instruments like prediction markets emerge.
This episode delivers a concise, forward-looking assessment of where Nasdaq and the broader equity market stand as 2026 begins.