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Evercore Wealth Management is a subsidiary of global investment bank Evercore. The New York-based firm specializes in providing investment advisory services to high net worth individuals, families and legal entities, such as trusts. Generally, it only works with clients who have at least $5 million in investable assets. The firm offers customized portfolios based on each client’s unique goals.
The bottom line: Evercore Wealth Management is a portfolio management firm that works mostly with high net worth individuals, providing customized portfolios.
| Assets under management: $10,166,559,382 | |
| Minimum investment: $5 million | |
| Individual investor to advisor ratio: 13:1 | |
| Fee structure: A percentage of AUM, fixed fees, other (intercompany arrangements) | |
| Headquarters: 55 East 52nd Street, 23rd Floor New York, NY 10055 Website: www.evercorewealthandtrust.com Phone: 212-822-7620 |
All information included in this profile is accurate as of December 17, 2021. For more information, please consult Evercore Wealth Management’s website.
Evercore Wealth Management is an investment advisory firm that launched in September 2008. The firm is a subsidiary of Evercore, a publicly traded global investment bank also based out of New York. Evercore owns 62.5% of Evercore Wealth Management. The remainder of the firm is owned by the partners of Evercore Wealth Management.
Evercore Wealth Management currently has over $10 billion in assets under management. The firm has around 80 employees, and nearly 50 of them perform investment advisory services. Aside from investment advice, some of these advisors also provide trust fund services for their clients.
Evercore was founded by Roger Altman in 1995; prior to the company’s founding, Altman was the co-head of investment banking for Lehman Brothers. He served for four years as assistant secretary of the U.S. Treasury beginning in 1977, and as deputy secretary of the U.S. Treasury for two years during the Clinton administration.
Evercore, as majority owner of Evercore Wealth Management, has over 100 partners and close to 2,000 employees, and has handled over $4 trillion of merger, acquisition, recapitalization and restructuring business.
Investors typically must have at least $5 million in investable assets in order to open an account with the firm. While Evercore Wealth Management’s Form ADV does show that the firm has some non-high net worth clients, the vast majority of its AUM comes from high net worth individuals. The U.S. Securities and Exchange Commission (SEC) defines high net worth individuals as those with at least $750,000 in assets under management or a net worth believed to be at least $1.5 million.
Evercore Wealth Management focuses on providing investment advisory services to its high net worth clients. The firm offers investment management on both a discretionary basis (meaning they can execute trades on behalf of a client) and non-discretionary basis (meaning the client makes all trading decisions). However, the firm has a much larger number of discretionary investment accounts than non-discretionary accounts.
In addition to portfolio management, Evercore Wealth Management also provides financial planning, both as a standalone service or as part of an investment advisory service.
The firm has an affiliate service, Evercore Trust, that manages trust fund services for the firm’s high net worth clients. If a client needs something beyond what Evercore Wealth Management can provide, the firm offers an outside advisor selection service.
Finally, Evercore Wealth Management holds investment training seminars and publishes advice through its quarterly journal, Independent Thinking.
To recap, Evercore’s services include:
Evercore Wealth Management doesn’t offer standardized funds for all of its clients; instead, the firm creates customized portfolios for each client. When someone first signs on, Evercore Wealth Management advisors get to know their goals, priorities and constraints.
With this information, the advisors will recommend a portfolio that may include:
Clients have the option to weigh in on their strategy. For example, they can declare that they do not want certain assets in their portfolio. From time to time, Evercore Wealth Management may also recommend investments from outside third parties.
Evercore Wealth Management uses a broad investment strategy and can consider domestic, foreign and global assets, as well as small, mid-size and large-cap stocks. Through this approach, Evercore Wealth Management believes it can achieve the highest after-tax and after-fee returns for its clients while also meeting their unique financial goals.
Evercore Wealth Management charges a fee based on a percentage of assets under management for its investment advisory services. The firm typically charges a flat 1% annual fee for portfolios of up to $10 million. For portfolios over $10 million, or those with at least $5 million in fixed income investments, the annual rate can range from 0.25% to 1.00%, depending on the investments and portfolio size (see the chart below for specifics).
| Evercore Wealth Management’s Portfolio Management Fees | |
|---|---|
| Portfolios | Annual asset-based fee rate |
| Accounts up to $10 million | 1.00% |
| Accounts over $10 million, or those with at least $5 million in fixed income | Fixed income:
Growth assets:
|
The Evercore Wealth Management brochure notes that clients can negotiate their annual rate before signing up, so the actual amount may be higher or lower than the rates listed in the firm’s fee schedule above. In addition to an asset-based fee, clients may also need to cover the related costs of their investment strategy, such as brokerage fees, commissions, custody fees, tax preparation fees and investment management fees from third-party mutual funds.
If a client wants standalone financial planning, Evercore Wealth Management charges a fee that the firm negotiates on a case-by-case basis. Otherwise, financial planning services are typically included under the asset-based rate charged for investment advisory services.
Over the past 10 years, Evercore Wealth Management has not been involved in any legal or disciplinary actions. Financial advisory firms that are registered with the SEC must report any such disciplinary actions in their Form ADV. Disciplinary disclosures may include instances of criminal behavior, regulatory infractions and civil suits against an RIA.
For more information on Evercore Wealth Management, you can go to the firm’s Investment Adviser Public Disclosure (IAPD) page.
To get in touch with Evercore Wealth Management, you can reach out to the regional office closest to you. Evercore Wealth Management starts by reminding investors they only work with clients who have $5 million or more in investable assets. If you can meet the investment threshold, potential clients will generally go through the following steps:
You will work with at least two financial professionals, a wealth advisor and a portfolio manager. Additionally, clients receive monthly or quarterly account statements confirming the following:
Evercore Wealth Management has offices in:
While these are the firm’s only physical locations, it notes in its Form ADV that it is registered in a number of other states to serve investors.
If you’re an extremely high net worth individual and want an RIA that goes above and beyond for your specialized needs, Evercore Wealth Management could be worth a look. The firm customizes clients’ portfolios to their unique situations, and each client has at least two financial professionals managing their account. However, for this level of service, you must be able to meet the firm’s steep minimum of $5 million in investable assets (although it appears there are some exceptions, as the firm’s Form ADV does note some non-high net worth individuals as clients).
If you don’t think you need as sophisticated an investment strategy, you could find other advisors that work with lower net worth clients. Be sure to research multiple firms to ensure you find the right advisor for you.
David RodeckDavid Rodeck is a financial freelance writer for MagnifyMoney. He has been writing for over a decade and also contributes to Forbes Advisor, Kiplinger and other financial publications. Before writing full-time, David was a financial advisor.
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