Still bobbing along (TT Sep08 p28-29)

The year started with a very confusing picture, caused by two diametrically opposite effects. The slowdown in the economy led to nervousness and therefore less deal-making, and at exactly the same time fiscal changes in capital gains tax rates and non-domicile rules created a huge incentive for owners to sell their businesses. A few months ago, we were very unsure how things were going to turn out as the year progressed.