Gnomes

From Glen Cook Wiki

True gnomes appear as short humanoids strongly resembling dwarves, except that they sport muttonchop whiskers instead of beards. Garrett comments that every gnome he's ever seen resembles an old man. They are known as important financiers.

Garrett calls some other short people gnomes, such as Lester Tate and members of his family. However the diminutive stature of the Tates is due to elvish blood, not gnomish. No pureblood gnomes appear as major characters in the series.