General Information Texas Capital Bank Wealth Management Services, Inc., d/b/a Texas Capital Bank Private Wealth Advisors, a Texas corporation, was formed in April 2002.
Advisory Services The Adviser provides financial planning, wealth strategy and family governance consultation, and portfolio management services to high-net-worth individuals, trusts, foundations, endowments, and corporate entities, including, but not limited to, family-operated businesses.
At the outset of each client relationship, the Adviser spends time with the client, asking questions, discussing the client’s investment experience and financial circumstances, and broadly identifying major goals of the client. Specifically, the Adviser may discuss with the client cash flows, required distributions, significant life events, risk tolerance, and return expectations.
Generally, clients engage the Adviser to prepare a financial plan. This written report is presented to the client for consideration. The financial plan will typically lead to a recommendation of an investment strategy. Ideally, upon completion of the plan, clients retain the Adviser to manage the investment portfolio on an ongoing basis. However, there are cases in which clients retain the Adviser solely to prepare a full financial plan.
Financial Planning The Adviser offers financial planning services, as described below. While financial planning services typically begin prior to ongoing portfolio management, the Adviser will revisit the client’s financial planning needs throughout the entire relationship, as appropriate.
Financial planning may include advice that addresses one or more areas of a client’s financial situation, such as risk management, budgeting and cash flow controls, retirement planning, education funding, and investment portfolio design and ongoing management. Depending on a client’s situation, financial planning may include some or all of the following: Gathering factual information concerning the client’s personal and financial situation; Assisting the client in establishing financial goals and objectives; Analyzing the client’s present situation and anticipated future activities in light of the client’s financial goals and objectives using scenario planning and probability analysis; Identifying problems foreseen in the accomplishment of these financial goals and objectives and offering possible solutions to the problems; Making recommendations to help achieve retirement plans, goals, and objectives; Designing an investment portfolio to help meet the goals and objectives of the client; Assessing risk and reviewing basic health, life, and disability insurance needs; or Reviewing goals and objectives and measuring progress toward these goals.
Once financial planning services are provided, the client may choose to have the Adviser implement the client’s financial plan and manage the investment portfolio on an ongoing basis.
However, the client is under no obligation to act upon any of the recommendations made by the Adviser under a financial planning engagement and/or engage the services of any recommended professional.
Wealth Strategy and Family Governance Consultation The Adviser consults with clients on wealth strategy and family governance matters. Wealth strategy consultation may include consultation about all aspects of estate planning, charitable planning, business succession planning, and business structuring. Family governance consultation may include assisting families with communication strategies around family wealth; facilitating family meetings to discuss financial, business, charitable, and estate planning matters; and strategizing about structures that families may establish to formalize the way families make certain decisions together. In providing its wealth strategy and family governance consultations, the Adviser is not providing tax or legal advice to clients, and clients are encouraged to engage outside tax and legal advisers when necessary to implement wealth strategy and family governance strategies.
Portfolio Management Based on its review of the information provided by the client, the Adviser generally develops with each client an understanding of the client’s financial circumstances and goals, and the client’s risk tolerance level (the “Financial Profile”), as well as the client's investment objectives and guidelines (the “Investment Plan”).
The Financial Profile reflects the client’s current financial situation and a look to the future goals of the client. The Investment Plan outlines the types of investments the Adviser

will make on behalf of the client based on the Adviser’s own research and analysis to meet those goals. The elements of the Financial Profile and the Investment Plan are discussed periodically with each client but are not necessarily written documents.
To implement the client’s Investment Plan, the Adviser will manage the client’s investment portfolio on a discretionary basis pursuant to an investment advisory agreement with the client. As a discretionary investment adviser, the Adviser will have the authority to supervise and direct the portfolio without prior consultation with the client. Client portfolios are generally constructed using mutual funds, exchange traded funds, structured notes, and through sub-advisory arrangements. The Adviser uses one or more of these vehicles when appropriate and in accordance with the Investment Plan. Having access to a wide range of distribution channels such as mutual funds, sub-advisory arrangements and pooled vehicles offers clients a greater opportunity to meet his or her needs and investment objectives.
Each component of a client’s portfolio, whether a mutual fund, exchange traded fund, separate account manager, or through a sub-adviser arrangement plays a unique role in driving the portfolio toward the client’s risk and return goals. These component managers are sourced, evaluated, and selected using a regular review process performed by the Advisers’ Investment Team. All decisions on hiring, retaining, and terminating component managers used in the client portfolios are made solely by the Adviser’s Investment Team. More information can be found in Item 8 – Methods of Analysis, Investment Strategies, and Risk of Loss.
Other Considerations Non-discretionary accounts are available for client assets as an accommodation. Clients who choose a non-discretionary arrangement must be contacted prior to the execution of any trade in the account(s) under management. This may result in a delay in executing recommended trades, which could adversely affect the performance of the portfolio. This delay also normally means the affected account(s) will not be able to participate in block trades, a practice designed to enhance the execution quality, timing, and/or cost for all accounts included in the block. In a non- discretionary arrangement, the client retains the responsibility for the final decision on all actions taken with respect to the portfolio.
Notwithstanding the foregoing, clients may impose certain written restrictions on the Adviser in the management of their investment portfolios, such as prohibiting the inclusion of certain types of investments in an investment portfolio or prohibiting the sale of certain investments held in an investment portfolio at the commencement of the relationship. Each client should note, however, that restrictions imposed by a client may adversely affect the composition and performance of the client’s investment portfolio. Each client should also note that his or her investment portfolio is treated individually by considering each purchase or sale for the client’s account. For these and other reasons, performance of client investment portfolios within the same investment objectives, goals, and/or risk tolerance may differ, and clients should not expect that the composition or performance of their investment portfolios would necessarily be consistent with similar clients of the Adviser.
The Exchange-Traded Funds (“ETFs”) The Adviser provides investment advisory services to Texas Capital Funds Trust, a Delaware statutory trust registered as an open-end investment company under the Investment Company Act of 1940, as amended (the “ETF Trust”). The ETF Trust currently has three series: Texas Capital Texas Equity Index ETF (the “Texas Capital Fund”); Texas Capital Texas Oil Index ETF (the “Texas Capital Oil Fund”); and Texas Capital Texas Small Cap Equity Index ETF (the “Texas Capital Small Cap Fund”).
Principal Owner Texas Capital Bank is the sole principal owner of the Adviser, which is solely owned by Texas Capital Bancshares, Inc., a public reporting company.
As owner, Texas Capital Bank provides certain services and oversight of the Adviser’s activities. Services include internal audit, regulatory compliance, risk management, and business operations. Operational and business risk oversight are provided by bank enterprise risk committees.
Type and Value of Assets Currently Managed As of December 31, 2023, the Adviser has $2,830,512,421 in discretionary assets under management and $547,951,487 in non-discretionary assets under management.