The dust has finally settled on the US Presidential elections. While most dealmakers are relieved that a big source of uncertainty has been dealt with, they will have to brace themselves for higher corporate tax and detrimental changes to the treatment of carried interest. Regulatory burdens will also become more onerous under a Biden Presidency, potentially blunting deal making activity. But all things considered, the conditions necessary for a much improved deal-making environment in 2021 have emerged.
The reasons for such optimism are apparent at the tail end of 2020. The prospects of a vaccine being available in the first half of 2021 are now clear. The only question is the efficiency of distribution and the effectiveness of mass immunization programs. A post Brexit trade deal between the UK and EU is almost at hand. Financial conditions remain benign as governments continue to provide fiscal stimulus and central banks maintain low interest rates and preserve asset purchase prog