As nearly all of us have probably experienced, our personal lives and work lives are fundamentally different now than they were a month ago. We are in the midst of change and are therefore experiencing the effects of that change in real-time. Over the next several newsletters we will be monitoring both the U.S. M&A and Private Equity markets, comparing month over month and year over year trends as it relates to both number of deals as well as amount of capital deployed.
As a baseline, we compared Q1 2019 with Q1 2020. As you can see in the chart, Q1 of 2020 didn’t look that much different from Q1 2019. In both quarters, combined deal flow resulted in more than $400 billion of capital being deployed, with 2020 seeing slightly fewer total deals being done, but with slightly more capital being deployed. As we continue to track the U.S. market, we expect to see the difference between 2019 and 2020 start to differ considerably in the coming months.