Nasdaq Partners with Saudi Arabia to Deploy AI Market Surveillance
Nasdaq, Inc. (Nasdaq: NDAQ) has unveiled major enhancements to its market surveillance platform following a successful pilot that embedded advanced AI across every stage of the market abuse investigation process. The technology, now ready for full deployment, is used by financial institutions and regulators worldwide—including 50 platforms and 20 supervisory authorities—to identify suspicious trading activity and accelerate enforcement actions.
The new capabilities expand Nasdaq’s position as a global regulatory technology leader by integrating AI-driven anomaly detection, predictive analytics, and network mapping tools into the trade surveillance lifecycle. The platform enables users to move seamlessly from pattern recognition to case investigation and regulatory reporting, creating a complete oversight.
“Manipulative actors are increasingly coordinating sophisticated schemes through indirect relationships that evade traditional detection methods,” said Edward Probst, Head of Regulatory Technology at Nasdaq. “As these tactics evolve, equally sophisticated tools are required to reveal hidden connections and counter emerging threats. Through the collective strength of our client community, Nasdaq is advancing the protection and transparency of global capital markets.”
Takeaway
As global financial crime grows more sophisticated, manual and rules-based detection systems are increasingly inadequate. Nasdaq’s new AI detection models analyze massive internal and external data sets to deliver predictive insights and comprehensive activity assessments, improving both accuracy and efficiency. The result is quicker detection of potential misconduct and a significant reduction in false positives that previously sluggished enforcement processes.
These AI tools build on Nasdaq’s existing automation suite, which already streamlines triage and investigation workflows. Now, the enhanced system can autonomously identify potential cross-market abuse, flag emerging patterns, and prioritize cases by risk level. The combination of AI-enabled detection and automated operators a scalable system to act proactively against manipulation.
The expanded functionality will be rolled out to all Nasdaq market surveillance clients begining in Q4 2025, giving both trading venues and oversight bodies access to a common, data-driven defense layer against global market abuse.
Takeaway
The upgrades were validated through a pilot program conducted with the Capital Markets Authority (CMA) of Saudi Arabia. The AI-powered anomaly detection tools successfully identified 80% of historical pump-and-dump schemes within a test data set, a dramatic improvement over traditional detection methods.
“We welcome the opportunity to partner with Nasdaq and demonstrate our commitment to market integrity,” said Saeed Ali Juraybi, Director of Market Surveillance and Analysis at the Saudi CMA. “The pilot’s 80% detection accuracy underscores the transformative potential of these AI capabilities. Cross-border manipulation requires cross-border answers, and this initiative proves the industry can stay ahead of increasingly coordinated threats.”
The pilot’s success not only validates Nasdaq’s approach but also highlights the growing importance of international collaboration in building unified standards for AI-assisted market supervision. The ability to detect abnormal behavior patterns across jurisdictions represents a milestone in how global regulators can collectively secureguard financial systems.
Takeaway
Nasdaq’s surveillance platform currently serves a vast global network across asset classes and market structures, execution to post-trade review. Each connected market benefits from adaptive, machine-learning behaviors tailored to specific regulatory frameworks and trading dynamics, ensuring contextual accuracy and compliance.
“Our platform’s models continuously evolve to reflect changing trading environments,” explained Tony Sio, Head of Regulatory Strategy and Innovation at Nasdaq. “By enabling regulators and operators to respond dynamically, we create a defense mechanism that learns as quick as manipulation tactics evolve.”
This approach reflects Nasdaq’s broader commitment to secureguarding market integrity while enabling modernization across the financial ecosystem. From platforms to regulators and financial institutions, AI integration is redefining how compliance is achieved and maintained at scale.
Takeaway
Beyond surveillance, Nasdaq continues to expand its technology portfolio through complementary initiatives like the Verafin Agentic AI Workforce, which applies digital agents to anti-money laundering operations. Together, these innovations reflect a unified strategy: to equip financial institutions with intelligent, cloud-native systems that fight financial crime at speed and scale.
Nasdaq’s surveillance and compliance technologies now support over 3,800 financial institutions worldwide, including 97% of global systemically significant banks, half of the , and dozens of central banks. The scale of its regulatory network gives Nasdaq unparalleled visibility into global market dynamics—and a unique opportunity to turn AI insights into actionable secureguards.
By embedding AI throughout the compliance lifecycle, Nasdaq is not just enhancing market oversight—it is redefining what modern regulation looks like in an era where data, speed, and intelligence are the ultimate competitive advantages.
