Perhaps that recommendation is a bit harsh and unexpected coming from me, someone who is a staunch advocate of strategic M&A. However, the fact is that interest rates are historically low and valuations will remain historically high until such time as interest rates begin to rise. As we recently wrote, equity valuations have the looming double whammy of higher interest rates and higher corporate taxes which are sure to haircut valuations. Until such time valuations will remain historically high, especially within the Tech sector where valuations rival the dot-com Bubble of 1999-2000. Rather than chase expensive deals, smart alternatives may include investing in Product Development, investing in your salesforce, investing in employee recruiting and training and paying or increasing a dividend. Strategic acquirers must live with the downside risk associated with their acquisitions. Contrast this to Private Equity firms and SPAC sponsors which are perfectly happy to chase deals with other people’s money. Their returns are cushioned by cheap debt, double-digit percentage fees and elements that limit downside participation. Now is not the time to chase but rather to focus on that which is in your control. M&A teams would be wise to focus on building a robust M&A landscape and to strengthen relationships with potential targets for when the time is appropriate to act. Last, throw out the preceding advice if your company is valued at multiples of competitors’ enterprise value in which case you ought to leverage your rich currency and pursue accretive acquisitions.