Everton are reportedly interested in bringing Real Madrid midfielder Isco Alarcón to Goodison Park, according to French sources.
Ancelotti has assigned Isco as the man he wants in the upcoming January transfer window.
It is reported that Ancelotti feels a similar kind of agreement to the one which saw James Rodriguez sign for Everton can be struck.
The likely structure of the deal would see Isco arrive on loan in January before securing a potential permanent transfer at the end of the season.
Isco's current deal at Madrid runs until 2022, meaning the Spanish giants must sell the player by next summer to obtain a fee.
Reports claim that Madrid would take in the region of £20million, representing almost a full recovery of the cash they paid to sign the midfielder in June 2013.