By: Rita Cook
AUSTIN – Governor Greg Abbott recently celebrated the launch of Nasdaq in Texas.
He said, “With this financial exchange coming, Nasdaq Texas will help cement our state as a global economic leader.”
Nasdaq made its announcement at the 8th Annual Permian Basin BBQ Cook-Off in Midland.
The announcement has left some people scratching their heads as to what all this means.
No, it does not mean Wall Street is moving from New York to Texas “literally.”
It does mean Texas is feeling the effects of the large financial companies who are moving south.
Also, with this latest announcement it means Texas will not only have the New York Stock Exchange (NYSE)’s NYSE Texas, but also a Nasdaq Texas too.
The NYSE already has its Dallas headquarters after reincorporating the NYSE Chicago exchange as NYSE Texas.
Nasdaq Texas is planned to open in 2026 after regulatory approval.
Apparently, Nasdaq will also be making its regional headquarters in Dallas alongside NYSE Texas.
Rachel Racz, the leader of Nasdaq’s Southeast region, said in an interview with a news outlet “We view it as the natural next phase of our growth,” Racz said. “Nasdaq has a long history in Texas.
To that end the financial institutions moving to Texas like Charles Schwab and Goldman Sachs have either already moved headquarters to the state or have large offices in the Dallas/Fort Worth area.
The New York Post reported that JPMorgan Chase now has more employees in Texas than in New York.
In Dallas, Goldman Sachs is currently building an 800,000-square-foot, $500 million campus that will open in 2028 with 5,000 employees.
One Goldman Sachs employee confirmed Dallas does have the ability to compete with New York.
That Wall Street semi-relocation need has apparently become even more of a necessity since the new mayor in New York Zohran Mamdani has decided to give socialism a try in the Big Apple. And for Dallas that means the Big D is going to get a big bite of that apple soon.
Reportedly the Wall Street migration has already seen Dallas touting 384,000 financial sector jobs, the second largest hub after New York.
Texas is also home to many Fortune 500 companies to the tune of leading New York and just behind California.
It is also important to note that as of now Texas has no financial transaction taxes and there are special business courts to attract ongoing capital into the state.
Of course, another positive to the convenience and logic of the NYSE Texas and Nasdaq Texas in Dallas is the location between both the east and the west coasts. Add to that, high-end restaurants, sports team, plenty of live entertainment and positive lifestyle options and it is a win for all.
And keep in mind too, this is not an ordinary money launch into Texas since the backing of the $120 million to realize the NYSE Texas dream came from the likes of BlackRock and Citadel Securities.
Funded well, yes. Received well, yes. And Texas never seems to play small, not even when trying to eclipse Wall Street.
