News Silver circle tarnished as financials slide By The Lawyer 19 July 2009 00:00 17 December 2015 16:06 Sign in or register to continue reading. It's FREE Sign in Email Password Keep me logged in Forgot your password? Not registered? It's FREE! Register now Register with The Lawyer playfootsieforme 20 July 2009 at 12:42 These firms are second-rate compared to the magic circle. They all jumped into private equity without any hedge and it’s all gone wrong. I suspect even these figures are heavily fiddled. Reply Link City Gent 20 July 2009 at 19:44 Thank you for that invaluable insight., though I do worry whether the partners from the second rate silver circle firms will be able to sleep at night after your stinging criticism. Reply Link Anonymous 20 July 2009 at 21:09 Ok, Macfarlanes has a considerably higher PEP figure than CC, so the above comment is not entirely correct. Secondly, had it not been for the depreciation of the sterling in relation to the euro many of the MC would not have posted such positive results. These record figures we are seeing are not necessarily a reflection of increased work/quality at the MC, just a fortunate bonus from having an international network. Many of the silver circle firms did specialise in private equity but the fact that they are all still posting quite reasonable PEPs suggests that they are viable businesses. Reply Link Anonymous 21 July 2009 at 00:18 Second rate? What on earth is your point here. Reply Link Clarence Boddicker 21 July 2009 at 08:24 More brass circle than silver circle then? Reply Link Political Realist 21 July 2009 at 09:12 Playfootsieforme: what on Earth are you talking about – “without any hedge”? It is hardly as though the Magic Circle have faired any better on their PEP results. Reply Link matlock 21 July 2009 at 10:51 Many of these firms have announced lower drops in turnover than might be expected given the decline in economic activity. A drop of only 20% seems low for Travers given that they had a private equity concentration. It would be interesting to see the breakdown in turnover of the first and second half of the financial year. Assuming things tailed off I would expect further declines next year. Reply Link Omni Consumer Products 21 July 2009 at 10:58 He’s probably talking about their offices, they’d be better off with a hedge rather than a wall or fence. Reply Link Tartan Teddy 22 July 2009 at 14:47 From the vitriol of the comments on lack of quality – made by associates trainees and partners made redundant from the Magic Circle — I am far from sure that the Silver Circle have second rate lawyers. To me the SC bring their brains to work – not their egos and the transactions are all the better for it . Reply Link Anonymous 23 July 2009 at 00:25 Has Herbert Smith announced its PEP results? If the definition of the “silver circle” is a set of firms with considerably higher PEP figures than their competitors, can BLP/Travers still be considered part of this group? Reply Link playfootsieforme 28 July 2009 at 09:22 Maybe I should have been a bit more tactful. Doesn’t change the fact that, now that all the leveraged nonsense of the last few years has dried up, the gap in quality between the magic circle and the silver circle is really starting to show. And I haven’t been made redundant from my MC job. No point starting ad hominem attacks. I might as well declare all the posters who have replied to my post to be chip-on-shoulder MC castoffs now working at silver circle firms. Reply Link dats it 29 July 2009 at 10:15 I guess SJ Berwin just exited the Silver Circle for the rubber ring. Reply Link Anonymous 29 July 2009 at 15:19 Surely that means that BLP and Travers are to go too? Does this mean that Stephenson Harwood and DLA are now “silver circle”? Reply Link Anonymous 29 July 2009 at 16:11 The term “silver circle” was dreamt up by some journalist who no doubt thought he/she was being creative when I suspect the reality was much more a seemingly inexhaustible need to pigeon hole things into neat boxes. The phrase is meaningless, has no definition, no basis and I cringe everytime I hear it used. “Magic circle” fine – it’s understood and accepted (except by Herbert Smith I suspect) as the UK law firm elite in the same way that the charmed circle is in the US. Once people get their head around that we can move on from this pointless debate about membership criteria. Reply Link Anonymous 29 July 2009 at 16:29 When will people stop saying that Herbert Smith is anywhere near the magic circle? They’re nothing like the real MC firms. They’re about half the size for a start. Reply Link Name Email Cancel reply Threaded commenting powered by interconnect/it code.