PMS in India List of Best Portfolio Management Services 2019

Best Performing PMS in India 2019

Whenever you invest in the share market with your personal understanding or when you are going to take your first step in the share market, you might had felt for the need of strong assistance which may support you in mining useful decisions on how to invest in stock market? which can secure your returns simultaneously.

PMS is the only preferred destination in this regard. It helps you out not only in making sensible decisions on your money but it takes a whole headache regarding your portfolio management.

In today’s discussion, the hot topic will be focused on PMS in India. Into this, we will read about-

  • What is PMS?
  • List of PMS in India
  • Best Performing PMS in India 2019
  • Types of PMS
  • What are the Benefits of PMS in India (Advantage)
  • Disadvantages of PMS
  • How can you invest in PMS?
  • Working of a PMS
  • PMS Charges in India
  • Taxation on PMS
  • Difference between PMS and Mutual Fund

PMS In India 2019

Well! We think that there is so much to discuss on and we have less time to read. So without any single second delay, let’s proceed.

What is PMS?

PMS means “Portfolio Management Services”. Actually, every share company has this service providing facility which facilitates its customers the back-end support for managing their portfolio.

The PMS provides you the experts who are well-versed with the market happenings and they can better guide you on important investment decisions. What else they provide, let’s see below-

  • They take the whole responsibility to manage your portfolio.
  • They understand your requirements for what kind of returns you actually expect from your investments and in which segments you prefer to invest in.
  • They track the market and invest your money keeping your requirements in their mind.
  • They tend to take such decisions that can prosper your wealth tremendously.
  • They advise you on whatever you are going to do in the share market.

The feature of PMS

  1. PMS is registered by the SEBI market regulator.
  2. PMS deals with Equity and debts.
  3. PMS services are availed by banks, brokers, independent investment managers, or AMC (Asset Management Companies).
  4. Actually, it is a kind of a drawback for retail or normal investors because PMS suits only to those who have a large affording power or who is a wealthy person. The PMS charges a large percentage of money from its users which are not within the capacity of a normal or average class investor. There are so many PMS in the markets that are providing such services. Their charges to manage your portfolio would really vary. Some charge 2.5 percent of the fund size, while others charge more.
  5. The minimum investment required to open a PMS account is Rs. 5 Lacs. However, different providers have different minimum balance requirements for different products.
  6. The service providers have different models portfolios for the investors which the investors can choose as per their financial goals and requirements. They can even customize them if they want some additional or want little adjustment.

When such attractive facilities are provided by the PMS then why not we will bother to know about the names of those PMSs.  In the upcoming next subtopic, you will see the best performing PMS in India and also come to know about their deep insight details.

Types of PMS

There are three types of Portfolios in PMS, you can choose any of them-

  1. Discretionary PMS– Discretionary Portfolio provides the service provider a right to make decisions on behalf of the client, whether he wants to sell or buy the shares. He is not bounded to consult with the client.
  2. Non-Discretionary PMS- This is the just reverse of the above. Here, the service provider consults with his clients on investment decisions or buying and selling of shares before transacting any event. The decision making power lies in the hands of the client only. The service provider can advise and assist them with things, but the final executions will be done according to the client’s order.
  3. Advisory: Only advice is given. No execution.

It is to be kindly noted that most PMS provides Discretionary portfolios in India.

Top PMS Services in India 2019

PMS of India List

  1. Porinju Veliyath Equity Intelligence PMS
  2. Motilal Oswal Next Trillion-Dollar Opportunity PMS (NTDO)
  3. Kotak PMS
  4. Birla Sunlife PMS
  5. ASK India Select PMS

PMS services with low risk and above 18% approx annualized return over 5 years

Ones in blue may have an issue with monthly returns.

  1. ALCHEMY CAPITAL MANAGEMENT PRIVATE LTD
  2. ANAND RATHI ADVISORS LIMITED
  3. SUREFIN FINANCIAL CONSULTANTS PVT. LTD
  4. PhillipCapital (India) Private Limited
  5. MOTILAL OSWAL ASSET MANAGEMENT COMPANY LIMITED
  6. UNIFI CAPITAL PRIVATE LIMITED
  7. UTI ASSET MANAGEMENT COMPANY PVT LTD
  8. BANYAN TREE ADVISORS PRIVATE LIMITED
  9. Multi-Act Equity Consultancy Pvt Ltd
  10. STATE BANK OF INDIA
  11. LIC MUTUAL FUND ASSET MANAGEMENT LTD
  12. ICICI SECURITIES PRIMARY DEALERSHIP LTD.
  13. DOHA BROKERAGE AND FINANCIAL SERVICES LTD
  14. IDBI CAPITAL MARKET SERVICES LTD.

PMS Returns October 2019

Largecap Category

Under the largecap category, as many as 4 stocks outperformed Nifty50 in October which include Ambit Capital’s Coffee Can, followed by ICICI Prudential Large Cap, Alchemy Leaders, and Accuracap’s Alpha 10.

Multicap Category

There are as many as 25 PMSes under the multicap category which outperformed Nifty in October. These include Buoyant Capital, Asit C Mehta, Tamohara Investment Managers, O3 Securities, Marcellus, Prabhudas Lilladher, Sundaram AMC, among others.

PMS Returns September 2019

Based on the belief that midcaps might be the way going forward, research-based wealth management firm, PMS AIF World, collated a list of 12 Portfolio Management Services (PMS) schemes that have a substantial weight in midcap and multi-cap space.

All schemes generated positive returns for investors, returning 2-8 percent in September 2019.

PMS Returns SEP 2019

Among the PMSes, IIFL Multicap, which manages an AUM of Rs 1,500 crore, gave the maximum return in September 2019 at 8.02 percent. The PMS’ exposure to large cap, midcap and smallcap stood at 60.94 percent, 21.68 percent, and 14.33 percent, respectively.

In the midcap category, Ambit Good and Clean gave the maximum return at 7.9 percent. The PMS manages an AUM of Rs 121.3 crore spread across largecap (20 percent), midcap (40 percent) and smallcap (3 percent).

PMS Mid- Multicap Returns

Latest PMS Industry Updates

Sebi hikes PMS investment size to Rs 50 lakh (20-11-2019)
Securities and Exchange Board of India (SEBI) on Wednesday doubled the minimum investment limit for clients of portfolio management services (PMS) to Rs 50 lakh. Currently, the minimum ticket size for investing in PMS is Rs 25 lakh.

Source:- Economics Times

Top 10 PMS in India 2019

Porinju Veliyath Equity Intelligence PMS

This is the most powerful, leading and the largest PMS service in India. It was incorporated in the year 2002 founded by Porinju Veliyath.

The minimum investment you would need to buy this PMS is Rs 50 lakh. As per the past 5 years performance, it has been analyzed that the PMS has released the returns at the rate of 35% and in the last 1 year 47%. Isn’t it great!

There is also a piece of good news about this PMS is that there is no lock-in-period for your investment. It entertains the flexibility to their investors.it means that you can withdraw your money anytime.

There is no entry load and no exit load too.

Porinju Veliyath Equity Intelligence PMS charges 2% per annum for its management fees, 10% per annum of the returns for additional performance on it.

NRIs also can invest in this PMS of India.

Official Website:- https://www.rupeeiq.com/content/porinju-veliyaths-equity-intelligence-pms-has-annualised-returns-of-32-76/

Motilal Oswal Next Trillion Dollar Opportunity PMS (NTDO)

Next Trillion Dollar is a PMS provider and Motilal Oswal is an AMC that is providing this PMS service also with the name of NTDO.

It generally deals with small and mid-cap stocks, so it is good for short or medium-term investors.

The minimum requirement to invest in this PMS scheme ranges is 25 lakh and these can be invested into any of the 25 stocks.

As per the past 5 year’s performance, it has been analyzed that the PMS has released the returns at the rate of 32% and in the last 1 year 19%.

NRIs can invest in this top PMS in India. After Porinju, Motilal has been considered as the second best PMS provider in India.

Official Website:- https://www.motilaloswalmf.com/products/next-trillion-dollar-opportunity

Birla Sunlife PMS

Birla Sunlife PMS is a brand service provider of Aditya Birla, which has an AMC also. The Birla Sunlife PMS was established in the year 1994, providing its services in a whole range of investment products. They generally target those businesses which are priced less but can be yielding higher returns.

It charges variable fees or minimum investment for various categories of portfolios. They are mentioned as under-

  • Core-Equity Portfolio-
    Minimum Rs 50 lakh of investment with a time horizon of 1 to 3 years.
  • Customized Debt Portfolio-
    25 Crores or as per SEBI regulations for a tenure of 3 months to 3 years.
  • Select Sector Portfolio-
    Rs 25 Crores or as per SEBI regulations for a tenure of 3 months to 3 years.

Official Website:- https://mutualfund.adityabirlacapital.com/investor-solution-portfolio-management-service

Kotak PMS

Kotak AMC PMS is one another best PMS in India which is renowned. Kotak PMS is discretionary which invests in 10-25 stocks with various investment approaches to reap the higher returns.

Kotak PMS Fees & Charges

  • Kotak PMS charges a fixed management fee of 2.5% per annum payable quarterly.
  • This PMS won’t charge any performance fees which is key positive for you. However, it charges exit loads at 3%,2% and 1% for exiting within 1 year,2 years and 3 years respectively.
  • Also, it is been disclosed on the portal that there may be some additional charges for brokerage(0.1%), stamp duty, audit fees etc.
  • Official Website:- https://assetmanagement.kotak.com/portfoliomgmt/

ICICI Prudential Portfolio Management Services

ICICI Prudential Portfolio Management Services(PMS) enjoys a rich parentage of two large organisations ICICI Bank Ltd which is India’s largest private sector bank in addition to being one of the most trusted brands in financial services and Prudential Plc UK, an international financial services company, with significant operations in Asia, US and UK.

Product Offerings

  • Core Portfolio
  • Large Cap Portfolio
  • Flexi Cap Portfolio
  • Value Portfolio
  • Contra Portfolio
  • Thematic Portfolio
  • Infrastructure Portfolio
  • Export Portfolio
  • Wellness Portfolio
  • PIPE Portfolio
  • Absolute Return Portfolio
  • Enterprising India Portfolio

Official Website:- https://www.iciciprupms.com/

ASK India Select PMS

This PMS not only deals with national citizens but also international people. To manage such a wide customer base all over the globe, there is an obvious need for a rand expertise ream, and so the ASK India has. It focuses on maximizing wealth in addition to taking care of reducing risks.

The investors can invest in any capital market like in mid-cap, short-cap, large-cap, multi-cap, value and growth and international assets.

Annually it charges 2% of the portfolio value.

There is a fixed fee of 1.5% of the portfolio and plus 20% of gains to be paid to them over and above 10% of profits. This is the performance-linked fees.

Official Website:- http://www.askinvestmentmanagers.com/

PMS Returns Large Cap Category Chart.

PMS Returns: Last 3 years

Staing month Mar 2016. Ending month Feb 2019

PMS Name Current Value of Rs. 1000 Absolute Return Standard deviation of monthly Returns Approximate annualized return
A C Choksi Share Brokers Private Limited 1741.233 74.12% 5.32% 20.27%
Aarohan Holdings and Advisors Private Limited 1375.335 37.53% 2.01% 11.19%
Abchlor Investment Advisors Private Limited 1180.821 18.08% 3.60% 5.69%
Accuracap Consultancy Services Private Limited 1790.573 79.06% 4.76% 21.39%
Acepro Advisors Private Limited 1316.961 31.70% 5.90% 9.59%
Aditya Birla Money Limited 1476.618 47.66% 5.25% 13.85%
Aequitas Investment Consultancy Private Limited 2600.039 160.00% 7.38% 37.43%
ALANKIT ASSIGNMENTS LTD. 1000 0.00% 0.00% 0.00%
ALCHEMY CAPITAL MANAGEMENT PRIVATE LTD 1633.716 63.37% 4.55% 17.74%
Alder Capital Advisors LLP 1870.584 87.06% 5.02% 23.17%
AlfAccurate Advisors Pvt. Ltd. 1534.655 53.47% 4.53% 15.32%
ALLEGRO CAPITAL ADVISORS PVT LTD 1309.339 30.93% 2.77% 9.38%
AMBIT CAPITAL PRIVATE LTD 1416.011 41.60% 3.80% 12.27%
ANAND RATHI ADVISORS LIMITED 1585.568 58.56% 3.85% 16.58%
ANGEL BROKING LTD. 1605.626 60.56% 4.31% 17.06%
Anived Portfolio Managers Pvt. Ltd. 1122.251 12.23% 4.29% 3.91%
ANVIL WEALTH MANAGEMENT PVT LTD 1570.36 57.36% 3.80%  
Aquamarine Investment Managers LLP 1149.99 15.00% 2.59% 4.76%
Ashwani Gujral Investment & Portfolio Management Pvt. Ltd. 1000 0.00% 0.00% 0.00%
Asian Markets Securities Private Limited 1354.217 35.42% 4.13% 10.62%
ASK Investment Managers Private Limited 1170.337 17.03% 3.64% 5.37%
ASTUTE INVESTMENT MANAGEMENT PRIVATE LIMITED 1162.739 16.27% 5.22% 5.14%
ATLAS INTEGRATED FINANCE LTD 1549.202 54.92% 3.98% 15.68%
Axis Asset Management Company Limited 1122.112 12.21% 3.08% 3.91%
BANYAN CAPITAL ADVISORS PRIVATE LIMITED 1354.428 35.44% 3.93% 10.62%
BANYAN TREE ADVISORS PRIVATE LIMITED 1652.148 65.21% 2.98% 18.18%
BARCLAYS SECURITIES (INDIA) PRIVATE LIMITED 1323.997 32.40% 2.85% 9.79%
Basant Maheshwari Wealth Advisers LLP 1652.767 65.28% 7.66% 18.20%
BELLWETHER CAPITAL PRIVATE LIMITED 1908.226 90.82% 5.01% 23.99%
BIRLA SUN LIFE ASSET MANAGEMENT COMPANY LIMITED 1159.081 15.91% 4.11% 5.03%
BNP Paribas Asset Management India Private Limited 1191.867 19.19% 4.69% 6.01%
BNP Paribas Investment services India Pvt Ltd 1106.184 10.62% 1.12% 3.41%
BONANZA PORTFOLIO LIMITED 2127.614 112.76% 8.68% 28.56%
Bullero Capital Private Limited 1258.964 25.90% 4.01% 7.96%
CAPSTOCKS AND SECURITIES (INDIA) PRIVATE 1583.827 58.38% 5.09% 16.53%
Care Portfolio Managers Private Limited 1283.945 28.39% 6.80% 8.67%
Centrum Broking Limited 1207.469 20.75% 4.37% 6.47%
CHONA FINANCIAL SERVICES PRIVATE LTD. 1108.5 10.85% 3.68% 3.49%
CONCEPT SECURITIES PRIVATE LIMITED 1580.635 58.06% 4.28% 16.45%
Consortium Securities Pvt. Ltd. 2732.695 173.27% 6.80% 39.72%
Crest Wealth Management Private Limited 1217.472 21.75% 4.30% 6.77%
Dalal & Broacha Stock Broking Pvt. Ltd. 1480.696 48.07% 4.06% 13.95%
DARASHAW & COMPANY LTD 1526.164 52.62% 3.93% 15.10%
DEUTSCHE INVESTMENTS INDIA PRIVATE LIMITED 1000 0.00% 0.00% 0.00%
DHFL Pramerica Asset Managers Private Limited 1380.445 38.04% 3.52% 11.32%
DOHA BROKERAGE AND FINANCIAL SERVICES LTD 3725.642 272.56% 1.38% 54.90%
Dynamic Equities Private Limited 1395.087 39.51% 5.95% 11.72%
Elite Wealth Advisors Limited 1168.343 16.83% 4.38% 5.31%
ELIXIR EQUITIES PVT. LTD. 1399.619 39.96% 4.95% 11.84%
Emkay Investment Managers Limited 1412.179 41.22% 3.72% 12.17%
ENAM ASSET MANAGEMENT CO.PVT.LTD 1695.712 69.57% 4.91% 19.21%
Envision Capital Services Pvt.Ltd. 1167.205 16.72% 4.02% 5.28%
EQUITY INTELLIGENCE INDIA PVT. LTD. 1208.962 20.90% 7.52% 6.52%
ESCORTS SECURITIES LIMITED 1101.21 10.12% 4.83% 3.26%
Estee Advisors Pvt Ltd. 1339.847 33.98% 0.38% 10.22%
Ficus Mercantile Limited 992.7787 -0.72% 1.10% -0.24%
Five Rivers Portfolio Managers Private Limited 1290.704 29.07% 3.90% 8.86%
Florintree Advisors Private Limited 1652.248 65.22% 6.67% 18.18%
Forefront Capital Management Private Limited 1250.65 25.06% 3.24% 7.73%
Franklin Templeton Asset Management (India) Private Limited 816.9771 -18.30% 1.20% -6.50%
Geojit Financial Services Limited 7308.318 630.83% 7.39% 93.83%
Ghalla Bhansali Stock Brokers Private Limited 1549.986 55.00% 5.28% 15.70%
GIRIK WEALTH ADVISORS PRIVATE LIMITED 1611.658 61.17% 6.09% 17.21%
GLOBE CAPITAL MARKET LTD. 1447.593 44.76% 3.79% 13.10%
HARMONEY WEALTH ADVISORY SERVICES INDIA PVT LTD 1203.003 20.30% 3.85% 6.34%
HDFC ASSET MANAGEMENT COMPANY LTD 1539.609 53.96% 4.17% 15.44%
HEDGE EQUITIES LTD 989.3205 -1.07% 2.76% -0.36%
HSBC ASSET MANAGEMENT (INDIA) PVT. LTD. 1000 0.00% 0.00% 0.00%
ICICI PRUDENTIAL ASSET MANAGEMENT COMPANY LTD. 1188.882 18.89% 2.61% 5.93%
ICICI SECURITIES PRIMARY DEALERSHIP LTD. 15106.55 1410.66% 1.43% 146.80%
IDBI CAPITAL MARKET SERVICES LTD 17485.58 1648.56% 0.38% 159.10%
IDFC Asset Management Company Limited 789.7802 -21.02% 5.64% -7.55%
IIFL WEALTH MANAGEMENT LIMITED 8239.19 723.92% 23.34% 101.72%
IMPETUS WEALTH MANAGMENT PVT LTD 1318.667 31.87% 4.22% 9.64%
India Infoline Asset Management Company Limited 6846.905 584.69% 14.61% 89.67%
INDIA INFOLINE LTD 1462.438 46.24% 3.24% 13.48%
Indiabulls Asset Management Co. Ltd. 15721.12 1472.11% 3.97% 150.09%
IndiaNivesh Investment Managers Private Limited 1859.19 85.92% 5.12% 22.92%
Infinity Alternatives Investment Managers Private Limited 2059.836 105.98% 5.58% 27.18%
JANAK MERCHANT SECURITIES PVT LTD 1688.315 68.83% 4.82% 19.04%
JEETAY INVESTMENTS PVT LTD 1622.946 62.29% 4.63% 17.48%
JM FINANCIAL ASSET MANAGEMENT LTD. 1000 0.00% 0.00% 0.00%
JM FINANCIAL SERVICES LTD 951.2422 -4.88% 3.40% -1.65%
KARMA CAPITAL ADVISORS PVT. LTD. 1671.878 67.19% 5.50% 18.65%
Karvy Capital Limited 1347.854 34.79% 0.61% 10.44%
KARVY STOCK BROKING LTD. 1397.329 39.73% 4.86% 11.77%
KB CAPITAL MARKETS PVT. LTD. 1635.996 63.60% 4.59% 17.80%
KHANDWALA SECURITIES LTD 1472.03 47.20% 5.04% 13.73%
KOTAK MAHINDRA ASSET MANAGEMENT COMPANY LTD 121383.4 12038.34% 38.09% 393.69%
KOTAK SECURITIES LTD 42773.52 4177.35% 34.55% 248.93%
Kumar Share Brokers Limited 1413.012 41.30% 7.35% 12.19%
L&T Investment Management Limited 1000 0.00% 0.00% 0.00%
Laburnum Capital Advisors Private Limited 1650.514 65.05% 3.47% 18.14%
LIC MUTUAL FUND ASSET MANAGEMENT LTD 18117.96 1711.80% 1.53% 162.18%
MAJORTREND CAPITAL PVT LTD 1338.248 33.82% 4.29% 10.18%
MARWADI SHARES & FINANCE LTD. 1000 0.00% 0.00% 0.00%
MASTER PORTFOLIO SERVICES LTD 1914.378 91.44% 5.29% 24.12%
MICROSEC CAPITAL LIMITED 1058.114 5.81% 3.04% 1.90%
Milestone Capital Advisors Private Limited 1000 0.00% 0.00% 0.00%
MILLENNIUM FINANCE LTD. 1176.919 17.69% 2.16% 5.57%
MIV INVESTMENT SERVICES PVT. LTD. 1749.472 74.95% 5.21% 20.45%
Moat Financial Services Private Limited 1084.916 8.49% 4.31% 2.75%
MONEYBEE SECURITIES PRIVATE LIMITED 29794.48 2879.45% 29.04% 209.37%
MOTILAL OSWAL ASSET MANAGEMENT COMPANY LIMITED 1881.221 88.12% 4.24% 23.40%
Motilal Oswal Wealth Management Limited 1319.505 31.95% 0.95% 9.66%
Multi-Act Equity Consultancy Pvt Ltd 1607.547 60.75% 2.52% 17.11%
MUNOTH FINANCIAL SERVICES LTD 2830.681 183.07% 6.62% 41.37%
NEW HORIZON WEALTH MANAGEMENT PRIVATE LIMITED 1263.962 26.40% 4.58% 8.11%
Nine Rivers Capital Holdings Private Limited 1322.838 32.28% 5.51% 9.76%
NIRMAL BANG SECURITIES PRIVATE LIMITED 1128.07 12.81% 5.70% 4.09%
NJ ADVISORY SERVICES PRIVATE LIMITED 35603.65 3460.37% 16.66% 228.26%
Novastar Fund Advisors Private Limited 1091.832 9.18% 0.28% 2.97%
OHM PORTFOLIO EQUI RESEARCH PVT LTD. 1355.361 35.54% 5.89% 10.65%
One Thirty Capital Private Limited 1091.229 9.12% 5.25% 2.95%
P.C.S SECURITIES LIMITED 2206.653 120.67% 9.27% 30.13%
PARAG PARIKH FINANCIAL ADVISORY SERVICES 1090.03 9.00% 4.17% 2.91%
PhillipCapital (India) Private Limited 1225.804 22.58% 3.73% 7.01%
PRABHUDAS LILLADHER PVT. LTD. 1432.522 43.25% 4.88% 12.70%
Prithvi Finmart Private Limited 1126.855 12.69% 5.57% 4.05%
PSSG CAPITAL MANAGEMENT PRIVATE LIMITED 1322.867 32.29% 4.57% 9.76%
QUANTUM ADVISORS PVT.LTD. 1591.82 59.18% 3.49% 16.73%
QUEST INVESTMENT ADVISORS PVT. LTD. 1760.358 76.04% 4.40% 20.70%
R. WADIWALA SECURITIES PRIVATE LIMITED 1661.76 66.18% 5.53% 18.41%
RELIANCE CAPITAL ASSET MANAGEMENT LTD 1239.195 23.92% 2.57% 7.40%
RELIANCE WEALTH MANAGEMENT LIMITED 1359.292 35.93% 5.09% 10.75%
REVELATION PORTFOLIO MANAGEMENT PVT. LTD. 1372.148 37.21% 3.55% 11.10%
Right Horizons Portfolio Management Private Limited 1287.722 28.77% 2.57% 8.78%
Sameeksha Capital Private Limited 1285.144 28.51% 4.23% 8.71%
SAMVITTI CAPITAL PRIVATE LIMITED 1634.313 63.43% 6.20% 17.76%
SATCO CAPITAL MARKETS LTD 955.6192 -4.44% 3.29% -1.50%
SBI FUNDS MANAGEMENT PVT LTD 1307.672 30.77% 1.12% 9.34%
Securities Investment Management Private Limited 1496.887 49.69% 4.49% 14.36%
Seraphic Management & Advisory Private Limited 1304.04 30.40% 6.07% 9.23%
SHADE CAPITAL PRIVATE LIMITED 1553.504 55.35% 4.32% 15.79%
Shepherds Hill Financial Advisors LLP 1483.821 48.38% 5.85% 14.03%
Shroff Securities Private Limited 2046.892 104.69% 4.61% 26.91%
Sirius Advisors Private Limited 2387.042 138.70% 5.01% 33.57%
SMC INVESTMENTS AND ADVISORS LIMITED 1527.164 52.72% 4.03% 15.13%
SOLDIERS FIELD INVESTMENTS PRIVATE LIMITED 1320.715 32.07% 5.60% 9.70%
STATE BANK OF INDIA 15090.42 1409.04% 1.42% 146.71%
Sumedha Fiscal Services Limited 1418.469 41.85% 3.26% 12.33%
SUREFIN FINANCIAL CONSULTANTS PVT. LTD 1453.645 45.36% 4.84% 13.25%
SYSTEMATIX SHARES AND STOCKS (INDIA) LIMITED 1324.381 32.44% 4.87% 9.80%
TAMOHARA INVESTMENT MANAGERS PRIVATE LIMITED 1615.474 61.55% 4.94% 17.30%
TATA ASSET MANAGEMENT LIMITED 1487.517 48.75% 3.38% 14.13%
Taurus Treasury Management Services Private Limited 1275.079 27.51% 0.63% 8.42%
Trivantage Capital Managment India Private Limited 1075.114 7.51% 4.06% 2.44%
Trust Investment Advisors Pvt. Ltd. 1259.412 25.94% 1.92% 7.98%
TRUSTLINE HOLDING PVT. LTD. 1937.564 93.76% 4.56% 24.62%
Trustline Securities Limited 1000 0.00% 0.00% 0.00%
UNIFI CAPITAL PRIVATE LIMITED 1523.156 52.32% 4.57% 15.03%
UTI ASSET MANAGEMENT COMPANY PVT LTD 5262.707 426.27% 4.06% 73.77%
Val-Q Investment Advisory Private Limited 1396.654 39.67% 4.47% 11.76%
VALUEQUEST INVESTMENT ADVISORS PVT. LTD. 1222.717 22.27% 5.61% 6.92%
Ventura Securities Limited 1038.113 3.81% 5.39% 1.25%
WAY2WEALTH BROKERS PRIVATE LTD. 1471.125 47.11% 5.08% 13.71%
Wealth Managers (India) Private Limited 1560.67 56.07% 3.73% 15.96%
ZEN WEALTH MANAGEMENT SERVICES LIMITED 7498.864 649.89% 6.07% 95.49%

Approximate annualized return (AAR): This corresponds to the Rs. 1000 investment made. The formula is:

Current value = 1000 x (1+ AAR)^years

REPORT OF PORTFOLIO MANAGERS – As on June 30, 2019

PMs reported for the month – 321

  Discretionary# Non-Discretionary Advisory*
No. of Clients
144879
7500
4102
AUM (Rs. Crore)
 
 
190,519.90
Listed Equity
112744.51
19676.10
Unlisted Equity
522.00
129.34
Plain Debt
1074011.81
77939.45
Structured Debt
1111.74
578.59
Equity Derivative
120.61
-1.20
Mutual Fund
12095.52
12781.65
Others
127679.26
1856.12
Total                              1,328,285.45                                    112,960.05
Grand Total
1,631,765.40

PMS Performance

“The performance of the Portfolio Manager (PM) has not been approved or recommended by SEBI nor SEBI certifies the accuracy or adequacy of the Monthly Report. The monthly report of the PM has been prepared by the individual Portfolio Manager as required by SEBI circular on ” Monthly reporting by Portfolio Managers” dated October 08, 2010 and filed with SEBI.

The monthly report, inter-alia, contains ‘performance of the PM during the month’. It may be noted that the relationship between the PM and the client is contractual in nature and the PM mainly provides customized service taking into consideration the need of customers, their preferences, risk profiling, suitability etc.

Further, no pooling is allowed and no units are issued as in the case Mutual fund. Therefore, the performance of one portfolio manager may not be comparable with the performance of another.”

Pros and Cons of PMS

Advantages of PMS-

  1. You can transfer the headache of monitoring your shares and taking decisions on those shares part to the experts.
  2. You get the higher returns with the help support of well-knowledgeable guys.
  3. The experts manage your full portfolio which will provide your portfolio hassle-free management.
  4. You get a piece of expert advice across instruments from debt to equity to gold and mutual funds.

There is no limit to the extent to which you can invest in a certain stock. Although, there is the limit to minimum investment and that is Rs5 lakh.

The fees of the service providers for their so-called service are negotiable.

  1. The experts do not follow or cram the usual investing activities like what people usually do as they invest when the market is rising or vice versa. This is not so with the PMS experts. They take wise decisions and they deeply understand or analyze the market phenomenon. They keep your requirements in their mind and accordingly invests in the segment preferred.

Disadvantages of PMS-

  1. The PMS requires a minimum investment of Rs5 Lakh according to the guideline s of the SEBI. This is a real drawback for the small investors who cannot enjoy the services of PMS.
  2. It shares only the profits, and not the losses.
  3. The tax implication is the same as what is imposed by normal investing in shares. No tax exemption is entertained here.
  4. The completion of the document requirement is complex and requires more time.
  5. You cannot customize the portfolio as per your needs. The only thing is you may have access to more information.

How can you invest in PMS?

If you wish to invest in PMS, then you have to contact the company service provider and sign certain documents regarding your agreement with the service provider, like- submit the following documents-

  1. a) You have to sign a PMS agreement with the provider.
  2. b) You have to sign a Power of Attorney agreement.

In addition to this, you have to provide documents to judge your authority and authenticity. These are-

  1. PAN
  2. Address proof
  3. Identity proofs

Points to be noted-

  • You have to open a Demat account, even if you already have one.
  • NRIs can invest in PMS of India.
  • The NRIs have to open a PIS account for investing in PMS, rather than the Demat account and the documents requirements are also different which are listed by every company.

You can invest in PMS in two ways.

  • Either you can invest via cheque or
  • You can transfer the shares in the shares which are already held by you in the PMS account but the value of those shares should be above the minimum investment criteria.

Working of a PMS

See, there are so many individuals in the market who are wealthy enough to entertain themselves with the services of PMS. All have different capacities for doing investments and so they are likely to make investments or pick up the PMS scheme on time variations.

These both factors of investment capacity and time variation mainly makes the PMS account of everybody unique in itself. Let’s again clearly mention the factors in the following bullets.

  1. The entry of investors at a different time.
  2. The difference in the number of investments by the investors
  3. Redemptions/additional purchase done by the investor.
  4. Market scenario – Eg If the model portfolio has an investment in Infosys, and the current view of the Fund Manager on Infosys is “HOLD”(and not “BUY”), a new investor may not have Infosys in his portfolio.

However, the investment is done according to the portfolio model chosen by the investor with the PMS Service provider. The customer will get the valuation of his portfolio on a daily basis from the PMS provider.

When you pick a PMS scheme, you have to first open your bank account and the demat account. The purpose of opening such accounts is to transact all the investment activities under your name only.

When you invest in any shares, then the dividend will be credited to your bank account while the shares will be credited to your demat account. In this way, the process continues.

Generally, the power of attorney to handle your bank and demat account lies with your portfolio manager. If you want to view your market status, then you can ask your manager to give your credentials to open the website and track your portfolio performance.

PMS Charges in India

We have talked about the minimum investment required by the PMS. Right? So, this investment has a percentage share of fees also for this service provider. You should see that what percentage of fees is charged by these service providers out of your total invested part.

Entry Load– Whenever you take an entry into the PMS, you are charged an entry fee which is generally termed as the Entry Load. It is 3% or it may vary.

Management Charges– This is a service charge for managing your portfolio. It may vary from 1-3%, depending upon the service provider. It is charged on a quarterly basis.

Profit Sharing Fees– If a PMS has profit-sharing agreements between the client and provider, in addition to other fixed fees, then this charge is based on such terms of an agreement.

Apart from the charges mentioned above, the PMS also charges the investors on the following counts as all the investments are done in the name of the investor:

  • Custodian Fee
  • Demat Account opening charges
  • Audit charges
  • Transaction brokerage

Taxation on PMS

If the capital gains have been acquired by selling the equity-oriented securities on recognized stock exchanges, then tax will be charged as follows-

  1. a) The long-term capital gains are exempted from taxes.
  2. b) Short-term capital gain is taxed @15% flat.

If the equities are not sold on the recognized stock exchanges then-

  1. a) Long-term capital gain is charged to tax at the flat rate of 20% after applying the cost inflation index.
  2. b) Short-term capital gain on the above assets has to be aggregated with the investor’s other income and is taxable at the slab rates applicable to him.

Difference Between PMS and Mutual Fund

In mutual funds, your money was pooled into the money of other investors and you gain only the units in the fund. In the PMS, you directly own the shares of the company.

There is a wide variety of portfolio managers in PMS as compared to mutual funds. But it restricts the investor to detail out the information of the prospective manager regarding his past performance, past organizational structure, key personnel, etc., because these managers have to present them a document called a disclosure document.

But there is no central place for these managers which can be referenced by the customers to analyze their performances and compare them and do a final selection.

The charges for mutual fund management experts are literally very minimum, but the cost of PMS is very high and can be afforded by only wealthy individuals.

We cannot manipulate your mind for the selection of mutual funds or the PMS as they both are significant in their own levels. While mutual funds are suitable for every personality group, PMS demands a higher class people to do investment.

But if you are among those who are interested to deal with the PMS, then don’t forget to analyze fully about various PMS available in the market. After all, you are going to invest a large lump sum amount into the Best performing PMS in India and it is not a joke. Right?

So, all the best for your investments.

Just share your experiences with us. You can also tell us your doubts and mention your suggestions too by commenting on the comment box.

Don’t forget to like and subscribe to us and stay tuned always with us.

Thank you and keep investing.

Bye.

Which is the best PMS in India?

MOTILAL OSWAL ASSET MANAGEMENT COMPANY LIMITED
UTI ASSET MANAGEMENT COMPANY PVT LTD
BANYAN TREE ADVISORS PRIVATE LIMITED
STATE BANK OF INDIA
LIC MUTUAL FUND ASSET MANAGEMENT LTD
ICICI SECURITIES PRIMARY DEALERSHIP LTD.
DOHA BROKERAGE AND FINANCIAL SERVICES LTD
IDBI CAPITAL MARKET SERVICES LTD

Is investing in PMS (Portfolio Management Services) in India a good option

I would not recommend it. There are many cases of T.V analyst who run portfolio management services – and people have lost 50% or more of their capital with them… Trading and investing is a difficult business, was it easy, Tata’s, Birla’s and Ambani’s and would stop investing thousand of crores in uncertain business, and make a potful of money investing with Portfolio Service Managers.

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