NASDAQ, INC.NDAQ
NASDAQ, INC. Fair Value Disclosure
FAIR VALUE OF FINANCIAL INSTRUMENTS
The following tables present our financial assets and financial
liabilities that were measured at fair value on a recurring
basis as of December 31, 2025 and December 31, 2024.
December 31, 2025 | |||||||
Total | Level 1 | Level 2 | Level 3 | ||||
(in millions) | |||||||
European government debt securities | $28 | $28 | $— | $— | |||
Total financial investments | $28 | $28 | $— | $— | |||
Equity securities | 25 | 25 | — | — | |||
Total assets at fair value | $53 | $53 | $— | $— | |||
December 31, 2024 | |||||||
Total | Level 1 | Level 2 | Level 3 | ||||
(in millions) | |||||||
European government debt securities | $166 | $166 | $— | $— | |||
Swedish mortgage bonds | 13 | — | 13 | — | |||
Time deposits | 5 | — | 5 | — | |||
Total financial investments | $184 | $166 | $18 | $— | |||
Equity securities | 2 | 2 | — | — | |||
Total assets at fair value | $186 | $168 | $18 | $— | |||
Derivative Instruments
We utilize foreign exchange forward contracts primarily to
reduce the volatility of earnings and cash flows associated
with changes in foreign exchange rates. We have utilized
these foreign exchange forward contracts as net investment
hedges of certain foreign subsidiaries, with changes in fair
value recorded in accumulated other comprehensive income
in the Consolidated Balance Sheets, and as cash flow hedges
of certain foreign currency-denominated revenues and
expenses, with fair value changes initially recorded in
accumulated other comprehensive income. For our cash flow
hedges, when the forecasted transaction affects earnings, or
in the event the underlying forecasted transaction does not
occur, or it becomes probable that it will not occur, we
reclassify the related gain or loss to revenue or operating
expenses, as applicable.
We have also utilized foreign exchange forward contracts as
economic hedges of foreign currency-denominated assets and
liabilities that are not designated as hedging instruments. The
fair value changes of these contracts are recorded in general,
administrative and other expenses in the Consolidated
Statements of Income, together with the re-measurement gain
or loss from the hedged balance sheet position.
All derivative contracts are measured at fair value using
Level 2 inputs based on observable foreign currency
exchange rates and interest rates, and recorded under other
current and other non-current assets and other current and
other non-current liabilities in the Consolidated Balance
Sheets. As of December 31, 2025 and December 31, 2024,
the fair value of these contracts was not material and
therefore not included in the tables above. We do not use
derivative instruments for trading or speculative purposes.
Financial Instruments Not Measured at Fair Value on a
Recurring Basis
Some of our financial instruments are not measured at fair
value on a recurring basis but are recorded at amounts that
approximate fair value due to their liquid or short-term
nature. Such financial assets and financial liabilities include:
cash and cash equivalents, restricted cash and cash
equivalents, receivables, net, certain other current assets,
accounts payable and accrued expenses, Section 31 fees
payable to SEC, accrued personnel costs and certain other
current liabilities.
We have certain investments, primarily our investment in
OCC, which are accounted for under the equity method of
accounting. We have elected the measurement alternative for
all of our equity securities that do not have a readily
determinable fair value, which primarily represent various
strategic investments made through our corporate venture
program. See “Equity Method Investments,” and “Equity
Securities,” of Note 6, “Investments,” for further discussion.
We also consider our debt obligations to be financial
instruments. As of December 31, 2025, all of our outstanding
debt obligations were fixed-rate obligations. We may be
exposed to changes in interest rates as a result of borrowings
under our 2022 Revolving Credit Facility, as the interest rates
on this facility have a variable rate depending on the maturity
of the borrowing and the implied underlying reference rate.
We may be exposed to changes in interest rates on amounts
outstanding from the sale of commercial paper under our
commercial paper program. The fair value of our remaining
debt obligations utilizing prevailing market rates for our fixed
rate debt was $8.6 billion as of December 31, 2025 and $8.8
billion as of December 31, 2024. The discounted cash flow
analyses are based on borrowing rates currently available to
us for debt with similar terms and maturities. Our commercial
paper and our fixed rate and floating rate debt are categorized
as Level 2 in the fair value hierarchy.
For further discussion of our debt obligations, see Note 9,
“Debt Obligations.”
Non-Financial Assets Measured at Fair Value on a Non-
Recurring Basis
Our non-financial assets, which include goodwill, intangible
assets, and other long-lived assets, are not required to be
carried at fair value on a recurring basis. Fair value measures
of non-financial assets are primarily used in the impairment
analysis of these assets. Any resulting asset impairment
would require that the non-financial asset be recorded at its
fair value. Nasdaq uses Level 3 inputs to measure the fair
value of the above assets on a non-recurring basis. As of
December 31, 2025 and December 31, 2024, there were no
non-financial assets measured at fair value on a non-recurring
basis.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 12, 2026 | Showing above |
| 2024 | Feb 21, 2025 | |
| 2023 | Feb 21, 2024 | |
| 2022 | Feb 23, 2023 | |
| 2021 | Feb 23, 2022 | |
| 2020 | Feb 23, 2021 | |
| 2019 | Feb 25, 2020 | |
| 2018 | Feb 22, 2019 | |
| 2017 | Feb 28, 2018 | |
| 2016 | Mar 1, 2017 | |
| 2015 | Feb 26, 2016 | |
About Fair Value Disclosures
Fair value disclosures classify all assets and liabilities measured at fair value into a three-level hierarchy: Level 1 (quoted market prices), Level 2 (observable inputs like yield curves), and Level 3 (unobservable inputs requiring management estimates). The proportion of Level 3 assets directly reflects how much of the balance sheet depends on internal models rather than market evidence.
Key signals: a growing Level 3 balance relative to total fair-value assets increases valuation uncertainty and earnings volatility risk. Watch for transfers between levels — assets moving from Level 2 to Level 3 often signal deteriorating market liquidity. Unrealized gains and losses on Level 3 positions flow through earnings or other comprehensive income, so large swings deserve scrutiny. For financial institutions, examine the sensitivity disclosures that show how Level 3 valuations change under alternative assumptions. Compare the fair value of debt against its carrying amount to gauge hidden leverage.