Lower listing fees and fewer eligibility restrictions are the main benefits of a company getting listed on the Nasdaq exchange. Many traders also see it as a benefit as Nasdaq offers entirely electronic trading. The biggest drawback of a Nasdaq listing compared to one on the NYSE or LSE is that it is perceived as having less prestige and blue-chip status, but this impression has significantly diminished. Nasdaq’s lower listing minimum make it simpler for new, smaller businesses to get into the list on a significant market. In comparison to the NYSE, it also offers much lower listing fees.
Electronic trading takes place on NASDAQ. The method aligns the prices of suppliers and buyers. NASDAQ-listed businesses are typically tech firms with enormous growth potential. The shares that are traded on NASDAQ tend to be volatile. The Nasdaq is more known for listing tech companies with a higher rate of growth with more scope toward dramatic price changes. Based on market capitalization, the NASDAQ-100 includes 100 of the biggest publicly traded companies, but Nasdaq includes many firms with tiny and micro capitalization.