Private Equity in the Driver’s Seat

Ever feel trampled on, used and abused … like you mean nothing? Apparently, you’re not alone. Legions of i-bankers are groveling at the fount of P.E. money.

Can’t get in on the P.E. action? This could be you.

And it doesn’t look like it’s going to change, anytime soon. The Wall Street Journal reports that private equity firms are now responsible for 25 percent of a given investment bank’s revenue, up from 10 percent in the late 1990s.

As Michael Klein, Citigroup’s chief executive officer of global banking, tells the Journal: “The private-equity firms have become the gas pedal, the brake and the steering wheel of the public-equity markets.”

Ruh-roh!

One private equity insider tells BankersBall that whenever his workload has piled up and it’s Friday night, he just rings up the hapless bankers.

The only downside: sometimes they’re “incompetent.”

Post a Comment