{"id":452,"date":"2024-04-16T08:40:30","date_gmt":"2024-04-16T08:40:30","guid":{"rendered":"https:\/\/jamawealth.com\/askguru\/?p=452"},"modified":"2026-03-02T19:33:13","modified_gmt":"2026-03-02T19:33:13","slug":"what-would-be-the-reasons-that-you-invest-in-a-pms-instead-of-a-mutual-fund","status":"publish","type":"post","link":"https:\/\/maxiomwealth.com\/askguru\/2024\/04\/16\/what-would-be-the-reasons-that-you-invest-in-a-pms-instead-of-a-mutual-fund\/","title":{"rendered":"What would be the reasons that you invest in a PMS instead of a mutual fund?"},"content":{"rendered":"\n<p>What if i told you that&nbsp;<strong><em>both these products&nbsp;<\/em><\/strong>involve taking over custody of your money with the fees being withdrawn from your account (without you paying them on a need basis)?<\/p>\n\n\n\n<p>Buying and selling of stocks in your account also happens with our your involvement:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>While this may be projected as a convenience factor, in reality this may lead to unnecessary churn.<\/li><li>That would mean higher brokerage costs bringing down your net returns.<\/li><li>Giving away this \u2018power to execute\u2019 some times (not in all cases) may lead to conflict of interest.<\/li><li>While most PMS and MF managers have noble intentions, the scope for mischief does exist in some cases.<\/li><\/ul>\n\n\n\n<p>Further exit loads and locks in are the norm in actively managed Mutual Funds and <a href=\"https:\/\/maxiomwealth.com\/pms\">PMS<\/a>. The latter having a 3% exit load in most cases.<\/p>\n\n\n\n<p>Most mutual funds are over diversified leading to sloppy less-than-index returns. You may choose a PMS based on its \u2018strategy\u2019 but the median returns of most PMS are no better than an MF after fees.<\/p>\n\n\n\n<p><strong>RIA based Equity Advisory<\/strong><\/p>\n\n\n\n<p>So what is the solution? I would recommend a\u00a0<a href=\"https:\/\/maxiomwealth.com\/askguru\/2025\/05\/22\/india-gdp-growth-2025-moodys-forecast\/\">Maxiomwealth<\/a>\u00a0who provides equity advisory giving you transparency and clarity.<\/p>\n\n\n\n<p>Someone who uses the power of technology and quantitative finance to make it clean and unbiased, in addition to the clean model. Be sure to check their performance both in the recent future and how the strategy would have performed in past periods.<\/p>\n\n\n\n<p>Check this infographic below to understand how this model compares with other \u2018traditional\u2019 products.<\/p>\n\n\n\n<p>If you are interested you may check the footnote below for one such provider if quality and quant based equity advisory.<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/qph.cf2.quoracdn.net\/main-qimg-aa8e1a9d838a4acbc7c8113ec232aeb8-pjlq\" alt=\"\"\/><\/figure>\n\n\n\n<p>Happy Investing!<\/p>\n\n\n<!-- mw-cta-block -->\n\n<div class=\"mw-cta-block\" style=\"background:#EEF3FC;border-left:5px solid #1C52A0;padding:22px 26px 20px;margin:36px 0 24px;border-radius:0 10px 10px 0;\">\n  <p style=\"margin:0 0 4px;font-size:11px;font-weight:700;color:#276FC4;letter-spacing:1px;text-transform:uppercase;\">Maxiom Wealth \u2014 Free Tool<\/p>\n  <h3 style=\"margin:0 0 10px;font-size:19px;font-weight:700;color:#113E81;line-height:1.3;\">Is Your Portfolio Delivering What It Should?<\/h3>\n  <p style=\"margin:0 0 18px;color:#444;font-size:15px;line-height:1.65;\">Maxiom Wealth&#8217;s PMS strategies are built by our ex-ICICI CIO team for investors with \u20b950L+. We apply institutional-grade research to every portfolio we manage.<\/p>\n  <a href=\"https:\/\/maxiomwealth.com\/pms\" style=\"display:inline-block;background:#1C52A0;color:#fff!important;padding:11px 22px;border-radius:6px;text-decoration:none;font-weight:600;font-size:14px;margin:0 10px 8px 0;\">Explore PMS Strategies \u2192<\/a>\n  <a href=\"https:\/\/maxiomwealth.com\/meeting\" style=\"display:inline-block;border:2px solid #1C52A0;color:#1C52A0!important;padding:9px 22px;border-radius:6px;text-decoration:none;font-weight:600;font-size:14px;margin-bottom:8px;\">Talk to Our Wealth Team<\/a>\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>What if i told you that&nbsp;both these products&nbsp;involve taking over custody of your money with the fees being withdrawn from your account (without you paying them on a need basis)? Buying and selling of stocks in your account also happens with our your involvement: While this may be projected as a convenience factor, in reality&hellip;&nbsp;<a href=\"https:\/\/maxiomwealth.com\/askguru\/2024\/04\/16\/what-would-be-the-reasons-that-you-invest-in-a-pms-instead-of-a-mutual-fund\/\" class=\"\" rel=\"bookmark\">Read More &raquo;<span class=\"screen-reader-text\">What would be the reasons that you invest in a PMS instead of a mutual fund?<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[140,53],"tags":[],"class_list":["post-452","post","type-post","status-publish","format-standard","hentry","category-benefits-of-pms","category-portfolio-management-services"],"_links":{"self":[{"href":"https:\/\/maxiomwealth.com\/askguru\/wp-json\/wp\/v2\/posts\/452","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/maxiomwealth.com\/askguru\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/maxiomwealth.com\/askguru\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/maxiomwealth.com\/askguru\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/maxiomwealth.com\/askguru\/wp-json\/wp\/v2\/comments?post=452"}],"version-history":[{"count":3,"href":"https:\/\/maxiomwealth.com\/askguru\/wp-json\/wp\/v2\/posts\/452\/revisions"}],"predecessor-version":[{"id":3987,"href":"https:\/\/maxiomwealth.com\/askguru\/wp-json\/wp\/v2\/posts\/452\/revisions\/3987"}],"wp:attachment":[{"href":"https:\/\/maxiomwealth.com\/askguru\/wp-json\/wp\/v2\/media?parent=452"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/maxiomwealth.com\/askguru\/wp-json\/wp\/v2\/categories?post=452"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/maxiomwealth.com\/askguru\/wp-json\/wp\/v2\/tags?post=452"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}