Alternatives

Addressing the challenges of liquidity.
Expand access to new sources of capital.

Alternatives

Why Nasdaq Private Market

Nasdaq Private Market (NPM) offers solutions designed to address the challenges of liquidity in alternative investment funds, with a vision to broaden access to these investments in an innovative way.

Nasdaq Private Market’s uniquely designed secondary liquidity platform connects buyers and sellers through a centralized auction-based technology. 

Fund managers can now provide liquidity to their investors, creating opportunities for new product vehicles and expanding access points to new sources of capital, while maintaining control over the investors permitted access to its funds.

Nasdaq Private Market has built an ecosystem to enable liquidity in Alternative Investment funds.

Supports Multiple Alternative Fund Structures

Addressing the challenges of liquidity across a broad distribution channel.

Feeder Funds

Secondary transactions in feeder funds are uncommon today, in part because investors are fragmented across offerings from a variety of distribution channels, making participation by buyers difficult and costly.

Nasdaq Private Market partners with these distribution channels to offer investors a liquidity option and a uniform experience supported by a centralized ecosystem of participants.

Registered Funds

Asset Managers of Registered ’40 Act funds that invest in alternative investment strategies face compromises and limited options when deciding how to offer liquidity to investors.

By leveraging Nasdaq Private Market, they can now offer a new liquidity feature through a market driven mechanism, creating a new opportunity for product innovation in permanent capital structures.

Benefits Of Working With NPM

A highly controlled platform supported by ecosystem of fund managers, distributors, secondary liquidity providers and eligible accredited investors

Fund Managers

Broaden access to new capital by addressing the challenges of liquidity, while maintaining control over your investor base.

Financial Advisors

Give your clients access to new investment opportunities. Rebalance portfolios. Build value.

Investors

Enjoy the benefits of investing in alternative investments without the current challenges around liquidity.

Secondary Liquidity Providers

Gain access to aggregated secondary opportunities without the hassle of individually negotiated transactions.

Regulatory Expertise and Leadership

NPM has ensured regulatory compliance in each aspect of the business

Private Letter Ruling

The Nasdaq Private Market platform is a qualified matching service, as determined by the IRS in a Private Letter Ruling.

The ruling confirms that the platform’s methodology is within the rules relating to publicly traded partnerships (PTPs). As such, fund managers can rely on the platform without concerns of changing their status with respect to the PTP rules.

No-Action Relief

Nasdaq Private Market was granted limited exemptive relief by the SEC from Rule 102 of Regulation M under the Securities Exchange Act of 1934.

This exemption allows Nasdaq Private Market to conduct periodic liquidity auctions for certain ‘40 Act products.

Regulated ATS

Nasdaq Private Market operates a regulated ATS through its broker-dealer subsidiary, NPM Securities, LLC. In addition, Nasdaq Private Market operates a broker-dealer, SMTX, LLC, which has been approved to act as a paying agent.