Goldman works hard to avoid conflict

There has been a lot of hand-wringing over the many conflicts that top investment banks have when acting as advisor and principal. The big guns have worked it all out and are enjoying the fruits of both. But that doesn't mean there will not be speed bumps. Breakingviews.com chronicles how Goldman Sachs had to work hard to deal with some perception issues in the U.K. It took some criticism for its conflicted role, which earned local bankers a "spank form Hank," as in then chairman Hank Paulson. He told them to shape up. Their new proactive approach was evident during the New Look auction. It worked hard to clear up confusion about its role, even going so far as to deny rumors that it was putting up a consortium to make competitive bid. In general, the private equity side seems to be deferring to the advisory side.

Our take on the news: Goldman's is a conflict period!!