Small Talk: Yes, there is trouble brewing!

It’s not uncommon for boards led by private equity investors and bank managements to be at the logger heads when expectations aren’t met. But here it is not just the question of unmet expectations, but also a glaring possibility that the promised target is never reached because the intent is to play it safe. Case in point is one of the top banks, which has been rescued from a big mess recently. While it’s still debatable whether the bank is truly out of the mess, the bank’s management is very clear that they shouldn’t take on new troubles. That means, the promise of high growth made to these marque investors may remain words and not convert to action. Obviously, this is ticking off investors and they aren’t willing to wait till eternity. So, yes, the trouble is brewing.