At Grow Rupiz, we offer you expert-led portfolio management services to help you grow your rupees. We can help you manage your investments in a wide range of securities like stocks, bonds, and various asset classes such as equity, debt, money market, gold, and real estate.
What is a portfolio management service (PMS)?
A portfolio management service, abbreviated as PMS, is a type of professional investment service. This specific investment scheme gives personalized solutions to high-net-worth individuals looking for the best investment options, In PMS, skilled financial managers and industry experts closely work with a research team and help individuals who want to invest their wealth in various asset classes like debt, gold, equity, and real estate. Do not confuse the PMS investment scheme with the Mutual Fund investment scheme. Both are different. PMS is a tailored investment option for high net-worth individuals (HNIs) where individuals invest a large amount of surplus assets. The investment in PMS typically starts from Rs. 50 lakhs. On the other hand, a mutual fund is a pooled investment in various asset classes like stocks, bonds, money markets, and other securities.
How PMS (Portfolio Management Service) Works
We at Grow Rupiz offer expert-led portfolio management services that can be the best choice for those individuals who are looking to invest in a customized portfolio of stocks. Let’s understand how a PMS works.
Customized Investment Solutions: PMS offers customized investment solutions to investors to help them attain their financial goals.
Portfolio Creation: PMS creates investment portfolios across various investment options.
Management of the Investment Portfolio: Knowledgeable portfolio managers take care of the investment portfolio. They help investors maximize returns over time by focusing on the time horizon, risk profile, and investment objectives.
Target Audience: PMS is a service targeted at High-Net-Worth Individuals (HNIs) who have a high-risk appetite. The minimum ticket size of the investment required in PMS is Rs. 50 Lakhs.
Types of Portfolio Management Services in India
There are 4 major types of portfolio management services in India.
Active Portfolio Management: Active portfolio management aims to maximize returns by generating higher returns on your investment. In this method, a portfolio manager actively monitors the market and makes frequent changes to the portfolio composition to minimize the risk of your investment. Please keep in mind that active portfolio management involves a higher level of risk, expense, and hands-on involvement by the portfolio manager.
Passive Portfolio Management: Passive portfolio management aims to replicate the performance of the benchmark index or the market average. Portfolio managers invest in index funds or a fixed basket of securities that mirror the index. In this option, your investment grows passively over time with minimal involvement of the portfolio manager. Passive PMS involves lower risk and lower cost.
Discretionary Portfolio Management: In discretionary portfolio management, the portfolio manager has the full authority and discretion to select an appropriate investment strategy that they think is best suited to your portfolio. They will make all the investment decisions on your behalf based on your objectives, risk tolerance, and investment duration.
Non-Discretionary Portfolio Management: In non-discretionary portfolio management, the portfolio managers do not have decision-making authority. They will act as an advisor and recommend the appropriate options for your investment. The final decision will be yours. Only after your consent, they will go ahead and invest in suitable options.
Portfolio Management Services FAQs
Who is a portfolio manager?
A portfolio manager is a financial professional who makes investment decisions on behalf of their clients whether it is a discretionary portfolio management or otherwise.
What is the difference between discretionary portfolio management and non-discretionary portfolio management?
In discretionary portfolio management, the portfolio manager has the full authority to make investment decisions on your behalf. In non-discretionary portfolio management, the portfolio manager recommends suitable options and allows you to decide on yourself.
What are the benefits of portfolio management services?
The top benefits of portfolio management services in India are as follows:
- Expert opinion and guidance on your investment.
- Customized investment plans based on your financial objectives.
- Efficient risk management
- Regular monitoring to track the performance
Why should I opt for portfolio management services?
You should opt for portfolio management services if you have limited knowledge about investment or don’t have enough time to monitor and rebalance your investment.
