{"id":115112,"date":"2026-07-25T14:04:45","date_gmt":"2026-07-25T08:34:45","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=115112"},"modified":"2026-07-25T14:04:45","modified_gmt":"2026-07-25T08:34:45","slug":"portfolio-management-service","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/portfolio-management-service\/","title":{"rendered":"Portfolio Management Service"},"content":{"rendered":"<h2><b>Portfolio Management Service Latest News<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Recently, the Securities and Exchange Board of India (SEBI) has proposed a sweeping review of the SEBI (Portfolio Managers) Regulations, 2020, seeking to modernise the framework governing portfolio management services (PMS).<\/span><\/p>\n<h2><b>About Portfolio Management Service<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It is registered under the <\/span><b>SEBI (Portfolio Managers) Regulations, 2020.<\/b><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It is a professional investment service where a <\/span><b>qualified fund manager takes charge<\/b><span style=\"font-weight: 400;\"> of the <\/span><b>equity, debt and other securities portfolio<\/b><span style=\"font-weight: 400;\"> of a customer \u2014 who is a high net-worth individual.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Who can offer:<\/b><span style=\"font-weight: 400;\"> Only corporate entities, companies or LLPs with SEBI registration can legally offer these services in India.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">SEBI mandates that no PMS provider can accept less than Rs 50 lakh per client.<\/span><\/li>\n<\/ul>\n<h2><b>Types of Portfolio Management Service<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Discretionary PMS: <\/b><span style=\"font-weight: 400;\">In this type of PMS services, the <\/span><b>portfolio manager has complete autonomy<\/b><span style=\"font-weight: 400;\"> to make investment decisions on behalf of the investor.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Non-Discretionary PMS: <\/b><span style=\"font-weight: 400;\">In non-discretionary PMS, the <\/span><b>portfolio manager provides recommendations<\/b><span style=\"font-weight: 400;\">, but the final decision to buy or sell rests with the investors themselves.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Advisory PMS: <\/b><span style=\"font-weight: 400;\">In Advisory PMS, the portfolio <\/span><b>manager offers investment advice<\/b><span style=\"font-weight: 400;\">, and the investor executes transactions independently.<\/span><\/li>\n<\/ul>\n<h2><b>Key Regulations of Portfolio Management Service<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Registration:<\/b><span style=\"font-weight: 400;\"> All PMS providers must register with SEBI.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Minimum Investment Requirement:<\/b><span style=\"font-weight: 400;\"> SEBI mandates <\/span><b>a \u20b950 lakhs minimum<\/b><span style=\"font-weight: 400;\"> investment, targeting high net worth investors capable of managing associated risks.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Disclosure Obligations:<\/b><span style=\"font-weight: 400;\"> PMS providers must <\/span><b>regularly update investors<\/b><span style=\"font-weight: 400;\"> with performance reports, fees, and risk disclosures.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Custodian Engagement:<\/b><span style=\"font-weight: 400;\"> An independent custodian is required to hold investor assets to eliminate conflicts of interest<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Compliance Monitoring:<\/b><span style=\"font-weight: 400;\"> Each PMS provider is required to <\/span><b>appoint a compliance officer<\/b><span style=\"font-weight: 400;\"> to ensure adherence to SEBI regulations<\/span><\/li>\n<\/ul>\n<p><b>Source: <\/b><strong><a href=\"https:\/\/indianexpress.com\/article\/explained\/explained-economics\/sebi-pms-rules-overhaul-explained-10801795\/\" target=\"_blank\" rel=\"nofollow noopener\">IE<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Portfolio Management Service is registered under the SEBI (Portfolio Managers) Regulations, 2020. Read more about Portfolio Management Service, Types, Key Regulations, Latest News.<\/p>\n","protected":false},"author":24,"featured_media":115084,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[8952],"class_list":["post-115112","post","type-post","status-publish","format-standard","has-post-thumbnail","category-upsc-prelims-current-affairs","tag-portfolio-management-service","no-featured-image-padding"],"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/115112","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=115112"}],"version-history":[{"count":4,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/115112\/revisions"}],"predecessor-version":[{"id":115153,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/115112\/revisions\/115153"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/115084"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=115112"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=115112"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=115112"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}