NJ PMS

NJ PMS offers customized Portfolio management services to the clients. The company helps the investors to create long term wealth for them without too much risk.

Many high net-worth individuals, especially those at the beginner stage, look for such a solution that can help them invest in different financial products with reasonable risk levels and decent returns.

PMS is a service that comes under a regulatory body known as the Securities and Exchange Board of India (SEBI).

The minimum investment in PMS is ₹50,00,000, and other information can be read at PMS Details.

Coming back to the discussion of NJ PMS, many investors have concerns like – Is NJ PMS a perfect solution for your investment needs?

Let’s find out in this detailed review.

NJ PMS Review 

NJ PMS started its business in 1994. The SEBI registered NJ PMS is based in Surat. The company came into existence under the leadership of Neeraj Choksi and Jignesh Desai.

Let us understand the meaning of portfolio management services first. PMS is a service that helps you to build your wealth management profile and diversifies the risk.

NJ PMS is one of the famous and leading financial product & service distributors in India.

The company offers an excellent PMS service to the investors as it has a solid understanding of the portfolio management field with over 20 years of experience.

The company runs its business on the famous Tagline “Rest Assured”. It means the company assures the clients to provide an excellent risk-adjusted return from their investment portfolio.

The discretionary portfolio management service offered by the portfolio manager helps the clients to meet their investment goals.

The company offers some very effective investment strategies. The company’s PMS strategies are created by keeping in mind the investment objective and risk-bearing capacity of different investors’ levels.

These strategies provide peace of mind to the investors for their investments, and they also feel assured. The company’s existing customers are the best example of a good PMS service provided by the company.

NJ PMS is already proving itself an excellent choice for PMS investors.

Like the Portfolio managers and the research analysts, the company’s professional experts’ team does their best to provide an expected return to the investors.

Let’s have a detailed discussion about each vital aspect of NJ PMS from the portfolio investment point of view, such as types of PMS offered by the company, manager’s details, Commission models, investment plans, charges, benefits, customer support, FAQs, etc.

 

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NJ PMS Types

NJ Wealth has different ways to manage the funds of investors. They work their clients’ funds in three different ways, i.e., the discretionary PMS, non-discretionary PMS, and the advisory service.

1. Discretionary PMS

The Portfolio management service is in which the portfolio manager is allowed to take the entire decision related to the investment portfolio on his behalf. The portfolio manager can choose the right strategy and the right time of transaction. After that, he takes the investment decision.

      2. Non-Discretionary PMS

Under non-discretionary PMS, the portfolio manager only recommends investment ideas to the investors. The right time of trade execution remains in the hands of the client. However, the investment manager plays the role of a trader in this service.

     3. NJ Advisory PMS

Under this category, the company provides only advisory services to investors. The Final trade execution decision depends on the client only.

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NJ PMS Login 

Since there are multiple services extended by NJ Asset Management Pvt Ltd, it also provides the clients with a facility to log on to their portal to keep an eye on their portfolios and regular updates.

This portal is known as the NJ PMS Client Desk.

To access this, you must visit the official website and click on the PMS Desk Login button. You’ll get redirected to the login page. Enter the login ID and password to use the PMS Portal.

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NJ PMS Fund Managers 

NJ Portfolio Management Services has many fund managers who work around the clock to provide an exciting portfolio return to clients. Mr Viral Shah is one of the best fund managers of the company who stands out from the crowd.

Mr. Viral Shah 

Mr. Viral Shah, an MBA (Finance) and BE holder, has been working for NJ PMS portfolio strategy preparation. He has created many customized strategies for the clients of the company to achieve their investment targets.

Mr. Shah has more than 16 years of total experience in the field of finance. Before joining NJ Asset Management Private Limited, he headed the research team at NJ India Invest Pvt. Ltd.

Also, he has worked at NJ Group companies as a Mutual fund researcher and portfolio manager.

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NJ PMS Strategies 

NJ PMS offers four different types of strategies, which are made according to the requirements of investors. All four strategies are different from each other on some basis. Here is the name of four strategies:

• NJ Wealth Bluechip Portfolio
• NJ Wealth Multicap Portfolio
• NJ India Freedom ETF Portfolio
• NJ Advisor Dynamic Stock Allocation Portfolio
• NJ Wealth Dynamic ETF Allocation Portfolio

NJ Wealth Bluechip Portfolio

The investment objective of NJ Wealth Bluechip portfolio strategy is to invest in funds in well-established companies that have excellent expansion opportunities and are capable of generating capital appreciation from the medium term to the long term.

The investment strategy focuses on:

• Identifying strong companies based on Free cash flow, revenue growth, ROE, ROCE, and loan growth.
• The selected companies should come under the top 300 companies by market capitalization.
• Based on the above parameters, the top 15 companies are selected.
• Rebalancing of stocks is an annual affair.

The investment portfolio consists of 15 stocks that are not selected based on the market cap/sector.

The minimum required investment amount is ₹50 Lacs and in multiples of ₹1 after that. The minimum top-up for the strategy is ₹5 Lacs and in multiple.

The performance/return of the strategy is measured against the benchmark NIFTY 500 TRI.

NJ Wealth Multicap Portfolio

The objective of investment in this strategy is to create a long-term capital appreciation for the companies that generate the highest alpha in the entire market capitalization range.

The investment strategy focuses on:

• Picking up 20 to 30 stocks that have generated an exceptionally high alpha in the last calendar year.
• Checking the liquidity of these companies.
• The universe of this strategy is IISL Alph 50, which is picked from the NIFTY large-cap 100 and NIFTY midcap 150.
• The strategy is impartial to any sector or market capitalization.
• The portfolio is re-balanced once in every quarter.

The minimum investment for this strategy is ₹50 lac and a multiple of ₹1 after that. Further, the minimum investment for additional top-up is ₹5 lac per strategy.

The set benchmark for this strategy is NIFTY 500 TRI.

NJ Wealth Freedom ETF Portfolio

The investment objective of the Freedom ETF portfolio strategy is to invest in equity-oriented ETFs that generate capital appreciation in the medium to long term.

The investment strategy focuses on:

• The portfolio is created from the entire universe of ETFs.
• The portfolio manager can select any ETF based on his calculations.
• The portfolio manager rechecks the investment portfolio once a year.

The portfolio of this strategy consists of a group of ETFs tracking various indices.

An investor must invest a minimum of ₹50 Lacs fund and multiples of ₹1 after that. The minimum additional top-up amount is ₹5 Lacs.

The performance/return of the portfolio under this strategy is measured against the benchmark NIFTY 500 TRI.

Dynamic Stock Allocation Portfolio

The investment objective of the Dynamic Stock Allocation Portfolio is long term capital appreciation through investment in equity and debt segments with the least volatility.

The portfolio consists of 15 stocks and debts. The portfolio is unbiased towards a particular sector and market capitalization.

The Dynamic stock Allocation Portfolio focuses on:

• Getting a superior return through investment by allocation in good equity and debt asset classes.
• Blue-chip portfolio strategies for the equity segment.
• The equity/debt is selected based on better tax efficiency, lower credit risk, exit charges, and volatility.
• Asset allocation rebalancing on a half-yearly basis and security rebalancing every year.

The minimum investment amount required is ₹50 Lacs and in multiples of ₹1 after that. The additional top-up facility is ₹5 Lacs, and the benchmark index is NIFTY 500 TRI.

Dynamic ETF Allocation Portfolio

This strategy’s investment objective is to offer long-term capital appreciation through investment in well-performing and efficient ETFs and arbitrage funds.

Debt/arbitrage funds create an investment portfolio.

The investment strategy under this strategy focuses on:

• Offering a superior return through investment by allocation in good equity and debt asset classes.
• The portfolio manager invests in various ETFs in the equity portfolio.
• The equity/debt selection basis is better to tax efficiency, lower credit risk, exit charges, and volatility.
• Asset allocation rebalancing is done on a half-yearly basis, and security re-balancing is done every year.

The minimum investment amount is ₹50 Lacs, and the additional top-up facility provided by the company is ₹5 Lacs. Again, the benchmark to measure the return is NIFTY 500 TRI.

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NJ PMS Performance 

All investment strategies and the team of excellent professionals of the company leads to an outstanding performance of NJ PMS.

The portfolio management services returns of NJ PMS are as follows:

• for three years is around 9%,
• for five years, the rate of return is 11%,
• for seven years it is 10%,
• for ten years, the return rate is 12%, and
• for 11 and more years, the return is 15% CAGR.

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NJ PMS Investment plans

Each PMS company creates investment plans for the comfort of the clients. It helps the client invest in PMS and get an attractive return based on their financial capacity and risk appetite.

NJ PMS also offers four types of investment plans, which are Bronze, Silver, Gold, and Platinum.

Bronze: The range of investment under this investment plan is between ₹25 lakhs to ₹50 lakhs. And the plan is fit for low profile investors.

Silver: This is the second investment plan offered by the company. In this plan, the investment range is between ₹50 Lacs to ₹1 CR. And a good option for moderately low-risk appetite clients.

Gold: The range of investment funds required for this plan is in the range of ₹1 CR. to ₹5 CR. Those investors who have moderately high risk-bearing capacity can opt for this plan. 

Platinum: This plan is an excellent option for investors ready to invest above ₹5 CR. Usually, these investors have a high risk appetite and can support a massive fund in the market.

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NJ PMS Fees

The NJ PMS wealth or commission sharing model is flexible. The company allows its clients to choose a commission method for the fund manager as per their full satisfaction. NJ offers its clients the option to choose from multiple models.

All models have some advantages and some disadvantages.

The commission models are:

• Profit-sharing Based Commission Model.
• Prepaid Commission Model.
• Volume-based Commission Model.

Profit-sharing Based Commission Model

This model is the best in the Industry. In the profit-sharing-based commission model, the investor will have to pay the commission only after the portfolio’s profit. Because in this model, a portfolio manager can charge the commission only after the realization of profit.

The PMS investment risk associated with this model is shallow, and that’s why the percentage of the commission charged by the portfolio manager is higher than the rest of the models.

Prepaid Commission Model

The investor pays the commission to the portfolio manager in advance before starting the transactions. In this model, a percentage is decided based on the total value, which decreases with an increase in the portfolio’s cost.

Under this model, a portfolio manager is not too active, like in the Profit-sharing based commission model. In this model, the commission is already paid to the portfolio manager.

Generally, a lower percentage of commission is charged in this model as there is a higher risk.

Volume-based Commission Model

The commission is charged on the total value of transactions completed by the portfolio manager in a year.

In this model, the portfolio manager plays a vital role; if he wants, he can charge a higher commission by increasing the number of transactions completed for the portfolio without adding any value.

So, it’s essential to check a portfolio manager’s record before deciding to opt for this commission model.

The range and the percentage of the commission are mentioned in the table given below under each model.

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NJ PMS Charges 

PMS Charges are various types of other charges, which an investor is required to pay to the company or the portfolio manager.

Those charges are the following:

Management fee: The company levies the management and advisory fee of investment based on its strategy type.

Upfront fee: This fee is paid as an advance fee. The range of this fee is between 0.8% to 1.2% of Asset value.

Brokerage charge: The company’s PMS team takes this charge for the transactions completed in favor of the investment portfolio. The charge is somewhere in between 0.008%-0.012%.

Custodian charge: The PMS house levied the custodian charge on the clients in the range of 0.15% to 0.25% of the Asset value.

Depository charge: This charge is between 0.11% to 0.21%.

Exit load charge: If a client redeems his/her amount within 365 days of Investment/portfolio creation, the client will have to pay the charge of 2% on the total withdrawal amount.

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NJ PMS Benefits

There are various types of benefits of portfolio management services through NJ PMS:

• Professional Management Team: The company has appointed a team of professionals who works for the investor’s financial objective while controlling risk.
• Strong Background: The company has more than two decades of experience in the same field. So, it knows the best way for the client’s fund managers to get a superior return.
• Online Access: The company’s clients are allowed. We can say they have the right to access the online information of their portfolio like reports and other portfolio information through the online client’s desk.
• Extensive Strategy Offerings: The company has a broad range of customized strategies according to the client’s investment need and risk appetite.
• Flexibility: The portfolio manager enjoys flexibility in terms of investing procedures and patterns. He is free to make the required changes in the investor’s portfolio. The client also can opt for the commission model and the investment plan according to their choice.
• Customized Advice: As a client, you will get customized advice from the portfolio manager after getting information about your investment objective and risk appetite.
• Smooth Operation: The client gets portfolio service from the portfolio manager, and he is responsible for providing all required assistance from the company, also like the status and performance of the portfolio, timely reports regularly, and the current holding of the investment portfolio, etc.

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NJ PMS Customer support

NJ PMS provides excellent customer care service to the clients. The company allows the clients to call the company to solve any investment portfolio problem directly.

Email and call support is provided to clients. A relationship manager is also appointed to resolve any portfolio related problem of the client and make the relationship between both parties strong.

An investor can directly call the fund manager 7 to 12 times in 30 days. The maximum days of issue-resolving are 15 working days.

The various ways to contact NJ PMS are listed below:

• Email – njpms.services@njgroup.in, grievance@njpms.in 
• Helpdesk – 1800 1020 155, 0261 4025901. Due to COVID-19, the NJ helpline (toll-free number) has been moved to 0141 494 1762.

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Conclusion 

NJ PMS is one of the best PMS in India that offers various types of investment strategies according to the client’s risk appetite and investment objective.

The team of fund managers and research analysts are the backbone of the company.

They always give their best in the preparation of customized PMS services for the investors. Hence, if you are the one who wants a safe investment of your funds, you can choose NJ PMS without any hesitation.

Thus, if you are looking to get started with a good portfolio management service, let us help you take things forward.

Just fill in some basic details to get started:

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NJ PMS FAQs

Here are some of the most frequently asked questions about NJ PMS that you must be aware of:

1. What are the strategies offered by NJ PMS?

The company offers the following strategies:

• NJ Wealth Bluechip Portfolio
• NJ Wealth Multicap Portfolio
• NJ India Freedom ETF Portfolio
• NJ Advisor Dynamic Stock Allocation Portfolio
• NJ Wealth Dynamic ETF Allocation Portfolio

    2. How much is the minimum investment fund required?

As per SEBI, the minimum required fund for portfolio management service is ₹50 Lacs.

   3. What is the termination charge of NJ PMS?

The Termination charge of NJ PMS is 2% if the fund is redeemed within 365 days of portfolio creation/investment.

   4. What is a portfolio management scheme account (PIS)?

 A non-resident Indian (NRI) is also allowed to invest in Portfolio management service (PMS). They can invest by opening a PIS account (Portfolio investment scheme account).

  5. What is the minimum investment amount required for an additional Top Up?

The minimum investment for additional Top Up is ₹5 Lacs per investment strategy.

Know more about NJ Wealth

 

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