The Stewardship of Wealth: Successful Private Wealth Management for Investors and Their Advisors, + Website

Conclusion: You Can't Eat Gross Returns

In a happier world, families would be like college and university endowments and not have to worry about the taxes generated by their managers. But because we're not likely to inhabit such a world any time soon, it's critically important to focus on high-quality managers who are tax aware in all their investing activities. Finding managers who can consistently produce alpha is an almost impossible challenge, but finding managers who can produce “tax alpha” is much easier, because the techniques required to minimize taxes are well known and effective.