M&A Kept From ‘Kicking In’ by Three Issues: Citigroup’s Drury

The video discusses the recent rally in equity and credit markets amidst an uncertain outlook, which has impacted M&A volumes. It highlights the role of capital markets and liquidity trends, noting record volumes in debt capital markets. The discussion covers the lag in M&A activity, with expectations for a pickup in the second half of the year and into 2021. The video also addresses speculation around deals, the impact of COVID-19, and the influence of geopolitical tensions on cross-border activity, emphasizing protectionist measures in critical industries.

What has been the impact of the uncertain outlook on M&A volumes?

• M&A volumes have become unpredictable

• Reduced M&A volumes

• No change in M&A volumes

• Increased M&A volumes

What is anticipated to happen in the M&A market in the second half of the year?

• A decrease in activity

• A significant increase in activity

• No change in activity

• A complete halt in activity

What is a major factor causing deals to stall during the COVID pandemic?

• Uncertain outlook

• High interest rates

• Excessive regulation

• Lack of buyers

What is needed to support the high multiples in the equity markets?

• More government intervention

• Higher interest rates

• Stable corporate outlook and earnings predictability

• Increased speculation

What geopolitical issue is affecting M&A activity between the EU and China?

• Immigration policies

• Currency exchange rates

• MA takeovers

• Trade tariffs

How has cross-border activity been described in the current year?

• Very slow

• Completely inactive

• Moderately active

• Very active

What is a potential consequence of sectors receiving state aid?

• Increased cross-border activity

• Decreased protectionist activity

• Increased protectionist activity

• No impact on cross-border activity