BUZZ-Playing for M&A as capex revival still elusive

Investors would do well to position for more M&A rather than waiting for the much-anticipated capex cycle.

** 2014 was going to be the year when companies start re-investing meaningfully in capex.

** That is yet to take hold: http://link.reuters.com/fap48v

** Sell-side commentary rife with predictions of a capex revival based on improving macro conditions.

** Yet energy and mining firms such as Total PA and Rio Tinto (Xetra: 855018 - news) have cut capex, according to HSBC.

** Having reaped the benefits of dividends and share buybacks investors now willing to support companies buying growth via acquisitions.

** 52 percent jump in global deal volumes to $756 billion in the first quarter, the best start for deal making since 2007 (Stocks Buzz is a pilot project. Please send any feedback or suggestions to vikram.subhedar@thomsonreuters.com) (RM (LSE: RM.L - news) : vikram.subhedar.thomsonreuters.com@reuters.net)