PMS Charges

More PMS

PMS refers to Portfolio management services. To get PMS services from different service providers, investors are required to pay PMS charges. The charges of PMS may vary from one another.

To fulfill your financial goals, you need to do research and then select the service provider that perfectly suits you. Research is the most crucial step before investing capital, and the right choice of broker is very important for your future plans.

Firstly we would like to give a brief about Portfolio Management Services (PMS).

Whenever you think of investing money in the stock market, you might need the support of someone who is professional in that particular sector and can guide you about what is right and what is wrong.

To fulfill this purpose, Portfolio management services are provided by different service providers to help you. That is why there is a need for Portfolio

PMS is the service provider services to the investors who are investing their capital in the stock market.

Investors hire Portfolio managers to manage their funds and utilize them so that the money invested will achieve the customer’s financial goals. 

But before taking PMS service from any service provider, you need to do research on all important things of each and every service provider like the PMS charges, fees, brand name, history record, etc.  and then go for PMS Registration.

Also, read PMS Review,to know about Portfolio Management Services Regulations SEBI, PMS Features, PMS Companies in India, and PMS SEBI.

PMS charges are levied on the investor by the service provider at the time of investment, as it is based on the percentage of the capital invested.

Let’s have a look at what kind of charges are to be paid by the investor. 

PMS Charges In India 

Below are the charges levied by the field specialists on the capital you plan to invest in.

Entry load: The entry fee is charged when an investor enters into PMS, and that is called an entry load. The service provider may charge an entry load of 3%. 

Management Fees: To manage an inverter portfolio, the service provider will charge management fees from 1% – 3% on a quarterly basis. 

Profit-Sharing: At the time of agreement between the service provider and investor, the profit-sharing percentage is also decided while making an agreement. It may differ from one service provider to another. 

Let’s move forward to the top broker’s PMS charges providing Portfolio management services to the investors. 


Porinju Veliyath Equity Intelligence PMS Charges

Porinju Veliyath founded the organization in the year 2002 and is one of the strong and leading PMS services in India. 

The minimum investment in PMS for the broker is 50 lakh. According to the performance of the last five years, it has been examined that the Portfolio management services returns are at the rate of 35%, and in the last year, it’s been 47%. 

The best thing about this PMS is that it does not have any lock-in period and provides full flexibility to its clients. You can withdraw your cash anytime. This PMS levies no entry fees and no exit fees to its investors. 

PMS charge in Porinju Veliyath Equity Intelligence for its management fees is 2% per annum and 10% per annum on the additional performance returns.  


PMS Charges Of Motilal Oswal 

One of India’s biggest full-service stockbrokers is Motilal Oswal and was founded in the year 1987 by Mr. Ramdeo Agarwal & Mr. Motilal Oswal. Motilal Oswal Head Office is in Mumbai, India. 

Portfolio Management Services is a famous broking model of the organization Motilal Oswal. This asset management company is better for short-term and mid-term investors as the organization offers small-cap and mid-cap stocks for the investors.

The minimum capital needed for the investment in this PMS is 25 lakh and can be invested in any of the strategies provided by Motilal Oswal PMS.

The maximum return examined for the last 5 years is 32%, and for the previous year, it’s 19%. NRIs can also consider Motilal Oswal PMS to invest their capital. 


Kotak PMS Charges

Since the organization came into existence in 1985, Kotak PMS is known to be the leading Portfolio management services provider across the nation. To obtain higher returns, Kotak PMS invests in 10 to 25 stocks in various investment segments. 

Kotak PMS has a broad range of knowledgeable portfolio managers who look after their PMS based customers. 

The fund managers of Kotak PMS regularly hold AUM around 20,000 Cr. Furthermore, they supervise 325 customers connected with the organization. The minimum investment possession of the organization is 3 years. 

Per annum, 2.5% of a fixed management fee is charged by Kotak PMS and can be paid quarterly. 

The positive point of Kotak PMS is that no performance fee is charged, though it charges an exit load at 3% for 1 year. 

The upfront fee is also imposed on all the customers; it is just like prepaid charges that organizations impose at 1.2% to 2.2% on the total asset value. 


ASK PMS Charges

The well-known asset management company was incorporated in 1983 by Asit Koticha and a renowned portfolio management service provider in the nation. The company is headquartered in Mumbai, India. 

ASK PMS provides all types of investment plans are as follows:

Bronze: 25 lakh- 50 lakh

Silver: 50 lakh – 1 crore

Gold: 1 crore – 5 crore

Platinum: more than 5 Crore

It charges 2% per annum of the portfolio value. The portfolio fee is fixed at 1.5% of the capital invested, and if the investor gets a profit of 10% or above on the amount invested, then the investor needs to pay 20% of the gained profit to the ASK PMS.

ASK PMS provides investment tenure for a minimum of 3 years.


IIFL PMS Charges 

IIFL is one of the most famous portfolio management services founded by Mr. Karan Bhagat in the year 1995 headquartered in Mumbai, India. 

The organization has numerous portfolio managers to assist their clients. The performance of the IIFL PMS for the last few years has been commendable and is known for its remarkable performance. 

The minimum investment tenure for IIFL clients is 3 years and 3 months; they are managing more than 450+ clients. 

IIFL PMS provides multiple strategies and generally utilizes large-cap, small-mid cap, and diversified strategies to manage the investment portfolio. IIFL PMS returns are 11% for 3 years; for 10 years, it’s 18%; thus, we can conclude that the returns are amazing

If the sum’s withdrawal happens within a year, the charges collected by the organization go between 1.3% – 2.3% of the total withdrawal sum. 

And if withdrawal exchanges are done after a year, then the charges collected will be free, or at times, customers need to pay 0.7% of the complete withdrawal value.


PMS Charges Comparison 

In this section, we have listed PMS charges paid to the service provider selected by an investor.  

The comparison is between the service providers on the basis of some important PMS charges such as; Upfront fees 

 


Conclusion

PMS is the charge that is to be paid by the investor to get the Portfolio management services from the different service providers. The charges may vary from one PMS provider to another. 

The charges/fees are based on the management services, performance, returns on investment, etc. The payment of charges to be paid are all decided at the time while an agreement is signed by the investor and service provider

Today in this article, we have discussed PMS Charges, and we hope that it has helped you in clearing doubts regarding PMS Charges and helped to learn more about it. If you still have any queries, then you can freely comment below. 

Thank You 


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