How Can An Investor Invest In Portfolio Management Services?

Not many investors are familiar with the huge potential of PMS services. This isn’t a coincidence that many such investors then hop onto the internet and run searches for – How can an investor invest in portfolio management services?

The investors are spoilt for choices when it comes to choosing a financial instrument. As there’s a host of options out there – equity, currency, commodity, Futures trading, Option trading, etc. 

However, Portfolio Management Service is one financial product that often fails to grab investor’s attention, or some of the investors who are already well versed enough with the investment world tend to do so because of the huge initial investment capital. 

If you are into Option trading and want to know about it in detail. Then review Is Option Trading Safe? in detail.

It is good to know How To Start Portfolio Management Services In India? before knowing about How Can An Investor Invest In Portfolio Management Services?

Also, know about Who Can Provide Portfolio Management Services?

Before we go any further, we should understand the topic of PMS.

 

---

How To Invest In PMS

Investors can invest in PMS through various PMS companies and know about How does a PMS house function?. However, there is a basic requirement that needs to be fulfilled in the form of a minimum investment in PMS.

Many PMS services list ₹50 Lakh as the minimum investment amount in order to be eligible for availing PMS services.

---

Choose PMS Companies

Investors are provided with benefits such as the expertise of professional portfolio managers, risk management, diversification of portfolio to minimize risks, and quality stock selection

There are many PMS companies that investors can avail PMS services through :

• Stockbrokers – Investors can invest in PMS through stockbrokers. Some stockbrokers have the facility of Portfolio Management Services. For example – Motilal Oswal PMS, Angel Broking PMS, IIFL PMS. 
• Asset Management Company – Also, investors can contact Asset Management Companies. Asset Management Companies are sometimes referred to as Investment Management companies. 

Here are some of the Asset Management Companies – Aditya Birla PMS, NJ PMS, Emkay PMS, etc.

---

PMS Account

After selecting the PMS company, the investor will need to provide a couple of documentation to open a PMS account. This PMS account is nothing but a Demat account for PMS solely. 

The investor will have to open a Demat account even if the investor has a Demat account already.

The process follows the following steps – 

1. The investor will have to sign the PMS agreement
2. Sign a Power Of Attorney Agreement
3. Provide the mandated documents

---

Documents For PMS

The documents required to open a PMS account have been listed below – 

1. PAN Card
2. Address Proof – Ration Card, Driving License, Bank Statement, Electricity Bill, Telephone Bill.
3. Identity Proof 

---

Conclusion

The investment world is full of options in terms of investment vehicles, and PMS is one of the most overlooked options for investment.

One of the biggest reasons for that can be found in the form of a minimum investment value of ₹50 Lakh.

PMS is a facility that is subscribed by High Net Worth Individuals (HNIs), who lack an understanding of investment and don’t want the hassles that accompany it. 

So, investors thinking – How can an investor invest in Portfolio Management Services, can do so by approaching PMS companies to open a Demat account dedicated for PMS. 

The process follows some simple steps and requires an investor to present some documents at the time of account opening. 

In case you are looking to use Portfolio Management Services, let us assist you in taking the next steps forward. Just fill in some basic details in the form below:

 

Know more about Portfolio Management Services