As technology continues to transform financial services, Cynthia Loh wants to use the evolving landscape to bring the world-class services of Goldman Sachs to a wider group of people.
She also wants to do it while keeping the financial advisor front and center.
“We are advisor-led. That means the advisor is the core of the offer. It's not just, ‘here is a website that allows you to call someone if you need to,’” Loh, head of product for Goldman Sachs
As industry professionals and big names gathered at
For Loh, being advisor-led is one of three things that separates her division — one third of
“And the third is just that we’re Goldman Sachs,” she said. “We have that brand and reputation. We've been doing this for 150 years, and now, we can do it for many more people that we couldn't have before.”
Financial Planning caught up with Loh after she delivered her INVEST 2022 keynote to discuss her outlook on the industry; what led her to Goldman Sachs for the next chapter of her career; and why being an advisor on a daily basis is always top of mind for her team.
This interview has been lightly edited for length and clarity.
Financial Planning: What was your path to the industry like, and what made you want to get into financial services in the first place?
Cynthia Loh: I think the path is less straightforward than I could pretend it is today. But if I go all the way back to college, I studied cognitive science, which is really just the study of how people think. And I took a number of classes across anthropology and philosophy. I ended up doubling down on computer science and majoring in artificial intelligence, and the first interview that I had was actually with an investment bank where I met the only other cognitive science major that I've come across. That's where I ended up working, in tech investment banking, and that was my first of what will end up being a series of jobs merging finance and technology. I would say the last 10 years (of my career) have really focused more on fintech, but really on democratizing investing and planning and making sure that more people have access to the services, given how far we've come with technology.
FP: How did your career lead you to this new role at Goldman Sachs?
CL: The reason that I came to Goldman really was twofold. One, Goldman for so long has been a little bit unreachable. It has been serving ultrahigh net worth clients for the last 50 years, and we've only just entered the consumer space in the last couple of years. And I want to ensure that all of the great research and advice and financial planning and investment platforms that we have can be accessible to more people across the country. The second reason is really the leadership. A woman named
FP: Why is Goldman Sachs so focused on being advisor-led, and how is technology being leveraged to deliver personalized, one-on-one experiences?
CL: I think we have a strong belief that the combination of human and technology is the best way to serve our clients in the space, so being advisor-led is really significant. In this $1 million to $10 million type of demographic, there's not as many companies that are focused on being advisor-led. It seemed largely digital-led with advisors or coaches in supporting roles. We're first and foremost an advisor-led business. And that advisor relationship and what they can offer is paramount to what we're doing here. Money is really a means to an end. It isn't the end. And the faster that we can help our clients realize that and figure out what's most important to them … we try to get to the core and the heart of what the most important thing for our clients is and serve that need.
I think when you think about that construct, it's very different than just saying ‘here are seven things that you can invest in.’ When I think about my own financial life, the biggest thing we did this year was put life insurance in place. I have a 4-year-old. That decision could impact our financial future probably more than any other thing. It is so critical, and it's something that I didn't have before because I didn't have that advisor that was serving every need in my financial life.
FP: How do you make that mission clear to your team?
CL: The most important thing that my team does is listen. They sit in advisor’s offices. They jump on the phone and listen when coaches are calling our financial wellness clients. You have to know what it is to be an advisor day in and day out. What are the problems that you're facing and the opportunities that you're missing without having digital tools to help? So that is the thing that's most important … getting that client or prospective client feedback; and getting that advisor feedback and understanding truly what it means to be an advisor today.
FP: What’s your outlook on the industry, and what trends do you see on the horizon?
CL: There's a few that stand out to me. One is just data and personalization. I think it's a hot topic right now about the importance of data. But really, now that we’re talking about serving your whole financial life, it's really not the one account you may have with one provider. It's all of your accounts together, all of your real estate, all of your property. Everything that you own in one financial picture and all of those data sources need to integrate. And the reason that's so important is not only so we know you as a client, but also because we want to personalize the opportunities to you for what you're most interested in … whether it's in an event in your area, an article about inflation or anything else. So I certainly think that data and personalization will be key.
The second thing that I think a lot about is just how we expect — as consumers and clients — that finances should fit into our day-to-day. It's not something that should be a very different experience from any other consumer experience that we have, so we really need to step up our game. We need to be accessible 24/7. We need to be able to look at your financial plan and tinker with it at 11 p.m. after your kids are going to bed. Everything needs to be 24/7 and on, so there's an expectation that that will be true of your financial service provider, and also that it will be the way that I want to interact. Whether it be email, chat, video, in-person or anything else, it's on my terms as a client.
And the third thing I would point out is women. The emergence of women being the CFOs and the dominant party controlling the wealth in the household. I think the last stat I saw was something like $30 trillion controlled by women by 2030. You pair that with an advisor population that's under 20% female, and that's a real opportunity. And I think we're going to increasingly need to cater to the female clients as the head CFO of the family.
FP: What’s your favorite part of your job?
CL: It's definitely understanding the impact of the work we do with our clients. If we're able to help even one person get access to investing and planning in a way that they didn't think they could because of their asset level or anything else, that's a huge win.
