Portfolio Management Services (PMS) are designed for investors who want customized and actively managed equity portfolios. Unlike mutual funds, where investors hold units of a common pool, PMS offers a more personalized approach by directly investing in securities on behalf of clients. This makes PMS an attractive option for high-net-worth individuals (HNIs) in India seeking tailored strategies aligned with their risk appetite and financial goals.
One of the biggest advantages of PMS is customization. Investors can choose strategies that fit their preferences — whether focused on growth, value, or sector-specific themes. Professional portfolio managers with expertise in research and market analysis create and manage these portfolios to maximize returns while managing risks. This level of flexibility and personalization sets PMS apart from traditional pooled investments.
Transparency is another strength of PMS. Since securities are held in the investor’s own name, they can clearly see the stocks and instruments in their portfolio. Regular reports and performance updates provide greater control and visibility. While PMS generally requires a higher minimum investment compared to mutual funds, it is well-suited for investors who are looking for a more sophisticated and hands-on management style.