Global executives say M&A’s will rise, yet only 29% plan acquisitions - Capital confidence barometer


Steve Krouskus, Global markets leader at Ernst & Young, discusses the “Confidence paradox” among senior executives – with three quarters expecting deals to rise in next 12 months, yet only 29% plan acquisitions of their own.

A major rebound in confidence in the global economy among large corporates is not yet translating into expected capital investment and M&A activity, according to the eighth bi-annual Capital confidence barometer, based on a survey this month of 1,600 senior executives in 50 countries.

The surge in confidence, fueled by positive expectations around economic growth, corporate earnings and credit availability, sees 87% of companies now viewing the global economy as either stable or improving. Fifty-one percent now believe the global economy is improving outright – more than double the 22% recorded in October 2012.

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