UBS's Grafstein Says Tax Reform Is a Big Positive for M&A

The video discusses the impact of tax reform on M&A and capital expenditures, highlighting the incentives for companies to invest in capital projects. It explores market volatility and its effect on deal valuation, emphasizing the psychological aspects of financial decisions. The discussion extends to Asia-Pacific M&A trends, focusing on regulatory impacts and the desire for cross-border deals. The video concludes with a positive outlook for M&A activity in 2018, driven by increased corporate confidence.

What is one of the less appreciated aspects of tax reform discussed in the video?

• Increased corporate tax rates

• Reduction in dividend payouts

• Higher interest rates

• Incentives for capital expenditures

How does market volatility affect cash deals according to the video?

• It reduces the psychological impact on sellers

• It causes hesitation in finalizing deals

• It increases the number of equity deals

• It stabilizes the market prices

What is the psychological factor affecting M&A transactions during market volatility?

• Preference for long-term investments

• Focus on headline numbers

• Desire for quick profits

• Fear of missing out

What is a significant concern for Asian deals entering the US?

• Limited market opportunities

• High transaction costs

• Increased scrutiny and regulatory restrictions

• Lack of interest from US companies

Which sector is still seeing strong M&A activity within Asia?

• Technology

• Industrial

• Healthcare

• Retail

What is the expected trend for M&A activity in 2018?

• A better year with increased confidence

• A significant decline in activity

• Stagnation in the market

• A shift towards more domestic deals

What drives the peak of M&A cycles according to the video?

• Economic downturns

• Government interventions

• CEO and board confidence

• Technological advancements