Carlo Ancelotti has told Everton's board that he would like to sign James Rodriguez.
Real Madrid are willing to sell the Colombia playmaker, who has just one year remaining on his contract.
The Liverpool Echoreports Ancelotti has aired his feelings about the 29-year-old and would like to see him at Goodison Park.
There are some concerns surrounding if the Merseyside club can afford James' wages of £200,000-a-week.
Talks are only in a preliminary stage as the Toffees focus on the number one priority - central midfielders.
Watford's Abdoulaye Doucoure is their priority target but the Hornets are not backing down from their £35m valuation.