An Interview with Kazuko Sakaguchi, president and CEO of AllianceBernstein Japan

Heidrick & Struggles’ Sari Hattanda speaks to Kazuko Sakaguchi about her personal experiences and insights on workplace inclusion in the asset management industry.

Sari: Female CEOs remain rare in Japan’s major asset management firms. As one of the few women in a leadership position within the industry, could you share some challenges you’ve faced?

Kazuko: That’s true — female CEOs are still a minority in Japan’s asset management industry. But for me, the biggest challenge was not necessarily being a woman, it was being an outsider. 

After joining the company, my priority was to understand the company culture. To build trust, I committed to a rigorous 10-month coaching program and made a conscious effort to evolve based on feedback from employees. One key takeaway from that experience was: “You can’t change others easily, but you can change yourself to become someone others are willing to follow.” Over time, as my intentions became clearer to the team, I started to see encouraging signs of positive change within the organization.

Sari: Could you share some of the key achievements and successes you experienced since stepping into your role?

Kazuko: One of the biggest challenges for me was overseeing the retail sales division, an area in which I had no prior experience. I had experience in outsourcing the middle and back-office functions and understood how the systems worked, but direct retail sales were entirely new to me. With strong support from headquarters, who believed that the company’s survival was dependent on breaking out of traditional molds, I decided to take on the challenge, placing my trust in AB’s product lineup.

When I joined, the relationship manager (RM) team consisted of strong individuals but they weren’t aligned around a common vision. I sought to unify the team by identifying our key differentiator: our flagship U.S. growth equity fund. We developed a focused strategy positioning AB as the leading firm for U.S. equities, emphasizing speed and quality of information. As a result, we surpassed our 3 trillion yen AUM target in under three years and captured over 3% market share.

During the COVID-19 pandemic, when face-to-face meetings with clients were difficult, we quickly pivoted to digital engagement—preparing webinars and materials in advance. Instead of increasing the headcount of RMs, we doubled the size of our marketing team, which helped us gain a large share of the market.

Sari: What are your thoughts on the growing trend of private wealth?

Kazuko: I believe that both private assets and private wealth will continue to grow in importance as investment avenues. That said, regulations and tax structures in Japan significantly differ from those in the U.S., making rapid expansion in this space unlikely. Moreover, Japan is known for having some of the highest service standards in the world— even minor errors or delays are intolerable. This environment drives up operational costs, and firms that cannot adapt to these demands may eventually be forced to withdraw from the market. I expect it will likely take at least another two years for this market to become fully established.

Sari: What efforts do you think are necessary to cultivate more female leaders in Japan’s asset management industry?

Kazuko: One of the reasons it is difficult for female leaders to thrive in Japan’s asset management industry lies in the industry’s deeply rooted culture and structure. Many Japanese asset management firms, particularly the independent firms, often lack a global competitive mindset as they rely heavily on their relationships with distributors. This limits organizations from growing and evolving. Within such an environment—traditionally dominated by a single gender and nationality—there has been little room for diversity to take root, resulting in a structure that inherently resists change.

At AB, we are committed to creating an inclusive and supportive workplace for everyone. We focus on building a work environment that supports individuals with families so they can thrive professionally without compromise.

I believe it is crucial to create environments where all employees feel safe taking on new challenges. Fear of failure often holds employees back, which is why I offer encouragement like, “I believe you can do this, let’s give it a try together,” and continue to support them along the way. By celebrating their wins and gradually stepping back, I help build their confidence. Over time, it is this kind of steady support that lays the foundation for the next generation of leaders.

Sari: What initiatives is AB taking to develop leaders and promote inclusion and belonging?

Kazuko: At AB, we place a strong emphasis on deepening our understanding of different cultures and values, as leadership development requires more than just exposure to a single culture. We do not appoint individuals to management positions based solely on their careers at our U.S. headquarters. Instead, we believe true leaders make thoughtful decisions with cultural awareness and sensitivity to local contexts.

Sari: Throughout your career, how have you balanced parenting with work? And as a leader, how would you describe your working style?

Kazuko: I am a mother of two. When I had my second child, my husband left his job, and both of our parents stepped in to help. I was only able to balance work and childcare because I had such a strong support system.

At a prior job, when I had my first child, I was fortunate to have a female supervisor who truly understood the challenges of motherhood. At the time, maternity leave was not as established, but a year after I returned, she allowed me to work reduced hours and assigned me to clients in Tokyo and Yokohama, ensuring I could return home the same day. She once said, “In a small organization, mutual support is essential.” Those words stuck with me and inspired me to pay it forward by supporting the next generation of working mothers.

Sari: Lastly, could you share some advice for the next generation of female leaders?

Kazuko: I want to emphasize focusing on what you can do and give it 120%. This dedication never goes unnoticed, resonating with those around you and eventually leading to new opportunities. When women trust in their abilities and take on challenges without fear of failure, they unlock their full potential in truly powerful ways. It's that sense of clarity and forward momentum that drives their continued success.

About the interviewer

Sari Hattanda (shattanda@heidrick.com)  is a principal in Heidrick & Struggles' Tokyo office and a member of the Financial Services Practice.