Click here to access article by Deborah Rogers from EnergyPolicyForum via Energy Bulletin (more readable).
Using the shale gas industry as an example, the author sheds light on a new kind of relationship that has evolved between investment bankers and industry.
Investment banking has changed over the past few decades. There was a time when a bank was there to provide services to its clients in a partnership type relationship. Then a subtle shift occurred and investment bankers realized that fees could be maximized by employing a different mindset. In short, it no longer mattered whether the client was succeeding because the banks could make money on the way up or on the way down with a “client”. I use this term loosely for a reason.This, of course, was first dramatized by revelations in Congressional hearings which revealed that Goldman Sachs place bets against their own clients.