Investing in portfolio management services (PMS) can provide an effective way to manage one’s investments and potentially earn higher returns. Here are the steps an investor can take to invest in PMS:
- Choose a PMS provider: There are various PMS providers in the market, so an investor should do research and choose a provider that suits their investment goals and risk appetite.
- Understand the PMS strategy: Each PMS provider has a unique investment strategy. Investors should read the PMS provider’s investment philosophy, investment process, and portfolio allocation strategy to ensure that it aligns with their investment objectives.
- Complete KYC formalities: The investor must complete the KYC formalities and provide their personal and financial details to the PMS provider.
- Open a PMS account: The investor must open a PMS account with the provider, and they will receive a client agreement that outlines the terms and conditions of the investment.
- Transfer funds: Once the account is opened, the investor needs to transfer the funds to the PMS provider’s account.
- Monitor the portfolio: The investor can monitor the portfolio’s performance and receive regular reports from the PMS provider.
A PMS is typically available to high-net-worth individuals (HNIs) who can invest a minimum amount, which varies across providers. The statutory basic limit is INR 50 Lakhs. Jama Wealth also has a PMS offering that implements the Roots & Wings Investment Philosophy.
