1. Understand Your Investment Objectives
The process begins with understanding factors such as investment goals, time horizon, risk tolerance, liquidity requirements and investment expectations.
Portfolio Management Services
Portfolio Management Services
Explore Portfolio Management Services designed for investors seeking professionally managed and research-driven portfolio solutions. Understand PMS strategies, eligibility, investment requirements, fees, risks and the process before making an investment decision with InvestEdge360.
*Minimum investment is generally ₹50 lakh under the applicable PMS framework, subject to current regulations.
Why investors explore PMS
₹50L+
Minimum investment*
SEBI
Regulated framework
Research
Strategy-led approach
Guidance
InvestEdge360 support
Understanding PMS
What Are Portfolio Management Services?
Portfolio Management Services (PMS) are professionally managed investment solutions in which a portfolio manager manages or advises on a client's portfolio according to the applicable service arrangement, investment objectives and risk profile.
Unlike a standard pooled investment structure, PMS can provide a more individualized approach to portfolio construction and security selection. Depending on the type of PMS, investment decisions may be taken by the portfolio manager on behalf of the client, made with the client's approval, or implemented independently by the investor based on professional advice.
PMS is generally considered by investors who have a higher investment capacity, understand equity-market risks and are looking for a professionally managed approach to portfolio construction.
Before investing, investors should understand the applicable disclosure document, agreement, fees, risks, investment strategy and the identity and regulatory status of the Portfolio Manager. SEBI's PMS Investor Charter highlights the importance of appropriate risk profiling, disclosure documents and a formal PMS agreement.
Process
How Portfolio Management Services Work
PMS generally follows a structured investment process designed around the investor's objectives and risk profile.
2. Risk Profiling
Your risk profile helps determine whether a particular investment strategy is appropriate for your circumstances.
3. Select an Appropriate Strategy
Different PMS strategies may focus on areas such as growth-oriented equities, value investing, quality businesses, concentrated portfolios or other defined investment approaches.
4. Portfolio Construction
The portfolio manager constructs the portfolio according to the selected strategy, mandate and applicable investment framework.
5. Portfolio Monitoring
The portfolio is monitored against the strategy and prevailing market conditions, with portfolio changes made according to the applicable mandate.
6. Reporting and Review
Investors receive applicable portfolio information and reports so that they can review holdings, transactions and portfolio performance.
Service Models
Types of Portfolio Management Services
The exact services available depend on the registered Portfolio Manager and the applicable agreement.
Discretionary PMS
Under discretionary PMS, the portfolio manager makes investment decisions on behalf of the client within the agreed investment mandate and applicable regulations. This model may suit investors who prefer professional management of day-to-day portfolio decisions.
Non-Discretionary PMS
Under non-discretionary PMS, investment decisions involve the investor according to the agreed arrangement. The portfolio manager may provide recommendations or manage the portfolio within the client's directions.
Advisory Services
Advisory arrangements involve investment recommendations, while the investor remains responsible for making and implementing investment decisions as applicable.
PMS Investment Strategies
Portfolio Management Services may offer different investment strategies depending on the Portfolio Manager and its investment philosophy. The suitability of any strategy depends on the investor's risk profile, investment horizon and objectives. Past performance should not be treated as a guarantee of future results.
Growth-Oriented Strategy
Focuses on businesses with potential for long-term earnings and business growth.
Value-Oriented Strategy
Looks for businesses that may be considered attractively valued relative to their underlying fundamentals.
Quality-Focused Strategy
Emphasizes businesses with factors such as strong financials, business quality, competitive positioning and sustainable operations.
Concentrated Equity Strategy
May focus on a smaller number of researched companies rather than spreading the portfolio across a very large number of holdings.
Who Can Consider Portfolio Management Services?
PMS may be considered by investors who:
PMS Minimum Investment
Under the current PMS framework, the minimum investment amount for a client of a Portfolio Manager is generally ₹50 lakh, subject to applicable regulations and provisions. SEBI materials specify ₹50 lakh as the minimum value of funds or securities that may be accepted from a client under the PMS framework. Investors should confirm the applicable minimum investment, eligibility requirements and terms directly from the relevant registered Portfolio Manager and its current disclosure documents before investing.
PMS Fees and Charges
PMS fees depend on the Portfolio Manager, selected strategy, agreement and applicable service structure. Depending on the arrangement, investors may encounter:
Benefits of Portfolio Management Services
Professional Portfolio Management
PMS provides access to professionally managed investment strategies through the applicable Portfolio Manager.
Personalized Portfolio Approach
Depending on the structure, PMS can provide a more individualized portfolio approach aligned with an investor's mandate and risk profile.
Research-Driven Investment Process
Investment decisions may be supported by fundamental research, portfolio analysis and defined investment frameworks.
Portfolio Monitoring
The portfolio is monitored according to the selected strategy and applicable mandate.
Risks of Portfolio Management Services
PMS is a market-linked investment service and does not provide guaranteed returns. Important risks may include:
PMS vs Mutual Funds
PMS and mutual funds are different investment structures. Investors should evaluate them based on their objectives, risk profile, investment horizon and investment capacity.
Why Consider PMS Through InvestEdge360?
InvestEdge360 helps investors understand investment and wealth-management solutions and connect with the appropriate service or investment process based on their requirements. Where PMS is offered through an associated or authorized provider, the actual portfolio management activity is subject to the provider's applicable regulatory framework, agreement, strategy and disclosures.
PMS Process With InvestEdge360
Step 1 — Discuss Your Requirements
Share your investment objectives, time horizon and general requirements.
Step 2 — Understand PMS
Learn about PMS structure, strategies, eligibility, fees and risks.
Step 3 — Review the Applicable Strategy
Review the investment strategy and its suitability for your risk profile and objectives.
Step 4 — Review Documentation
Read the applicable disclosure document, agreement, fees and risk information carefully.
Why Choose InvestEdge360 for PMS Assistance?
InvestEdge360 is operated by Vijayvargiya Financial Services and provides investment-related services and guidance through its applicable business relationships. Our role and the exact PMS services available depend on the applicable arrangement with the relevant registered Portfolio Manager.
Frequently Asked Questions
Straightforward answers on Portfolio Management Services, eligibility, fees, risks and how PMS compares with mutual funds.
What are Portfolio Management Services?
What is the minimum investment for PMS in India?
Is PMS better than mutual funds?
Is PMS suitable for beginners?
Explore Portfolio Management Services
Understand PMS strategies, eligibility, risks and the investment process before making a decision.