Nasdaq Buys Quandl to ‘Dominate’ Alt Data Space

US exchange operator Nasdaq has acquired Toronto-based alternative data marketplace Quandl for an undisclosed sum to “accelerate” its foray into provision of alternative data.

Nasdaq will integrate its own Analytics Hub of alternative datasets into Quandl, which provides a database of alternative data, financial, and public data from 350 sources.

Bjorn Sibbern, executive vice president and head of Nasdaq’s global information services says the exchange is happy with the progress of Analytics Hub, but that buying Quandl represents an opportunity to “accelerate” its vision. 

Quandl CEO Tammer Kamel adds that the acquisition will “supercharge” the vendor’s alternative data “manufacturing” business.

“We go out into the wilderness and find data that Wall Street has never seen before, and we turn it into products that Wall Street can take action on. Nasdaq brings us a whole bunch of assets that will enable to do this better, faster, more effectively and potently for our customers—so that’s the fundamental draw and attraction for us partnering and now becoming part of the Nasdaq family,” he says, adding that the acquisition is the culmination of a long-standing relationship with Nasdaq where talks of imminent partnerships occurred over several years.

“Combining the thoughtful leadership that Quandl has built over years with Nasdaq’s global reach will be a huge benefit for us,” says Sibbern. “We are the global leader of exchange data, and combining that with the leadership with Quandl on alternative data will put us in a great position.”

Though Nasdaq will merge its Analytics Hub with Quandl, the vendor will maintain its brand and has autonomy to take the lead in the alternative data space, with Kamel remaining as CEO to lead Quandl.  

While challenges still exist around turning alternative data into actionable insights for investors, Kamel says that with Nasdaq’s array of products and data, the process can be more efficient.

“Nasdaq is equipped with a ton of resources that enable that—whether it is their vast market data, their real-time capabilities, or their clean and structured data,” he says. “Nasdaq, by virtue of size and global brand power, will introduce Quandl to new customers, but that’s not the primary motivation [behind the acquisition. The primary motivation is that Nasdaq and Quandl want to build the alternative marketplace—not a marketplace; the marketplace. We are on a mission to dominate this space.”