Find your niche; listen closely; reward substance; insist on value; recognize quality; demand quality; question basic assumptions; encourage simplicity; question certainties; imagine the future; become better informed; give the most.

—Harold Evensky

Our previous chapter, “Selecting Investment Managers,” suggested that the criteria for selecting a money manager should be philosophy, process, and people. We believe that wealth managers should be judged by the same standards. This concluding chapter is about these three Ps: philosophy, process, and people. The following section describes the practice philosophy at Evensky & Katz (E&K). The astute reader may view it as a summary of much the book. This would be correct, but should not be a surprise. Any wealth manager’s practice philosophy should reflect his or her core investment management style.


Without a clearly defined philosophy, the process is irrelevant and the people rudderless. The following is the philosophy of Evensky & Katz. As with all of the opinion pieces in this book, it is not intended as a recommendation or model for everyone’s practice. It is offered as a framework for readers, to stimulate them to develop their own philosophy. It is important that wealth managers have a philosophy, not that they adopt the E&K model.

Having set the scene for this chapter, the following is a formal statement of the philosophy that defines E&K’s practice. The entire staff participates, ...

Get The New Wealth Management: The Financial Advisor's Guide to Managing and Investing Client Assets now with O’Reilly online learning.

O’Reilly members experience live online training, plus books, videos, and digital content from 200+ publishers.