Voice of Experience: Kathleen Hughes, Managing Director, Head of Global Liquidity Sales, Goldman Sachs Asset Management

She advised, “Think strategically about how you build your brand. This is something I personally had to learn – the bar gets higher and higher in this industry, and it’s not enough to keep your head down and work. Of course, you have to produce. But you also have to promote your success and build your brand in a different way.”

And, she said, how you build that brand depends significantly on your firm’s culture. “Our culture here tends to be team-oriented. Relationships matter.”

Career in Asset Management

Hughes graduated from the University of Richmond in 1989 with a degree in economics, and spent the next ten years working in private banking at JP Morgan in New York City. In 2000, she moved to JP Morgan Asset Management in London, specifically dealing with fixed income , and 2001, she joined the firm’s liquidity business and was later tasked with building that business in Europe.

Last year, Hughes joined Goldman Sachs Asset Management as the head of global liquidity sales and distribution. While the firm’s European business is younger than its US counterpart (which is over 30 years old, she noted), the business accounts for approximately 8.75% of the global industry’s $2.5 trillion market.

She considers the opportunity to lead the global sales team in London as one of her proudest achievements. “The opportunity to work on a global stage is much more exciting than what I’ve done in the past,” she said.

Hughes said that in particular, she is excited about new opportunities in Asia. “The top of the list is China. I was in mainland China for the first time a couple of weeks ago, visiting Shanghai and Beijing – we’re building our ability to manage RMB onshore in China. You can’t be at GSAM and not be positively influenced by Jim O’Neill’s thinking on China. I’m new to the global role and I’m very excited about the opportunity.”

She continued, “I’m also excited for our global clients who really don’t know how to manage cash and liquidity onshore in China – dealing with regulations and different types of available securities. The work we’ve done on the ground there brings some unique abilities and insight.”

Additionally, she continued, as a board director for the Institutional Money Market Funds Association, she is interested in the regulatory changes that the industry is facing.

She explained how both direct and indirect regulations are impacting money markets. “In the past few years, we’ve seen very positive changes – like increased liquidity and credit quality. We’ve also seen an increase in transparency. And events like the volatile markets this summer and autumn have been a good stress test for how those regulations are holding up.”

She continued, “These products are critical for global funding markets, and it’s good to see the changes weathering these recent storms.”

Women in Asset Management

“Honestly, I don’t feel that there are barriers for women in asset management specifically. There’s a higher percentage of women than other areas of the industry. We have a good amount of role models, who are generous with their time,” said Hughes.

She continued, “One of the potential challenges is that men have a more natural network available to them, and I think the proliferation of women’s networks in finance has gone a long way to even the playing field.”

But, she said, one the client side, things may not be as balanced. “In some instances, clients we cover may be less balanced – because of the industry, or because of the geographic region – and may be more male dominated.”

And that can help a more gender-balanced team stand out, she continued. “For us, it creates an opportunity – with a more diversified team, we can come up with more creative solutions. This gives us a competitive advantage versus our peers.”

Advice for Women in the Industry

Hughes said that she would advise young women to begin career planning early. “This year I have the opportunity to be the diversity champion for our internship program at Goldman Sachs. I’m in awe of the career focus of our interns today.”

She explained, “Even as an econ major in college, I just wasn’t aware of the internships and training programs. I started my career in a very entry level way, versus peers who came in with training. Sometimes I wish I could have known more about what’s available.”

Hughes also discussed the importance of seeking out coaches and role models. “Early in your career, in addition to building your brand, you need to identify people who will be your influencers and build relationships with them. Who are the people you want to be aware of your success and your achievements?”

She continued, “I think the idea of mentors versus sponsors is important – that you actually need an advocate who can influence others when decisions are made. And the only way to deserve this is by producing great results.”

She continued, “As you get more senior, you need to think more broadly. Develop your board of directors. It doesn’t have to be static, and your board can change over time, depending on what the issues are.”

Women at Goldman Sachs

Hughes, who is the diversity champion for the firms summer internship program, explained that gender diversity receives a lot of attention at Goldman Sachs. “The women’s initiative, broadly speaking, and mentoring programs are part of our DNA here at every level.”

According to Hughes, 80 percent of the managing director population participates in these programs within the firm. “Personally, I have a dozen direct reports and seven mentees,” she added.

“We also have women’s networks by division here at Goldman Sachs. Recently I had an opportunity to participate in a vice president – managing director conference. The senior leadership participation is remarkable.” She continued, “It wasn’t very much a women’s agenda – which was encouraging to me. We’ve moved beyond that. We talked about markets and strategy – topics that would appeal to anyone.”

For associate and vice president level women, the firm offers leadership development and career strategy initiatives. “And more informally, I’m part of a network of MDs from various divisions that gets together once a quarter. It’s more social and allows you to build your network.”

In Her Personal Time

Hughes, who is married with two step-sons, says she’s been in London for eleven years. “I like spend a lot of time on the weekends with the family, and because I travel so much, one of the biggest luxuries is staying home in London.”

Also, she said, “I’m a keen home cook. I love cooking – and if I wasn’t doing this career, I’d be in a kitchen somewhere. That’s my passion!”

According to Kathleen Hughes, Managing Director and Head of Global Liquidity Sales at Goldman Sachs Asset Management, one lesson she learned early in her career was the importance of communicating achievements.

By Melissa J. Anderson (New York City)