Portfolio Management Services · beginner
PMS Foundation
What Portfolio Management Services are: an individually managed account with a ₹50 lakh minimum, the three service types, how fees work, how PMS differs from mutual funds, SIFs and AIFs, and what the client agreement covers.
- 01What is Portfolio Management Services (PMS)?Portfolio Management Services (PMS) is a SEBI-regulated service in which a registered portfolio manager manages, or advises on, a separate portfolio of securities for each client. This lesson covers the structure, the ₹50 lakh minimum, who is involved and the main risks.
- 02Three Types of PMS — Discretionary, Non-Discretionary, AdvisorySEBI's regulations describe three kinds of service a portfolio manager may offer: discretionary, non-discretionary and advisory. This lesson explains who decides and who carries out the transactions in each, and what stays the same whatever the type.
- 03PMS Fees — Fixed, Performance-Linked and the High-Water MarkA portfolio manager's fee is set in the agreement with each client, within limits SEBI lays down. This lesson explains fixed and performance-linked fees, the high-water-mark principle, and SEBI's limits on upfront fees, operating expenses and exit loads.
- 04PMS, Mutual Funds, SIF and AIF — How the Structures DifferMutual funds, Specialized Investment Funds (SIFs), PMS and Alternative Investment Funds (AIFs) are all regulated by SEBI but are built differently. This lesson sets them side by side on structure, minimum investment, how they are offered and how the investor is taxed.
- 05The ₹50 Lakh Minimum, the Client Agreement and DisclosuresSEBI sets a minimum of ₹50 lakh for a PMS client, with an exemption for accredited investors. This lesson explains how the minimum can be met, what the client agreement records, and what reports the client receives once the account is running.