PMS Registration

More PMS

To start with a new Portfolio management service firm, it is important to get the PMS registration procedure with the stock market’s regulatory body in India, i.e., the Securities Exchange Board of India (SEBI). 

The applicant needs to pay a non-refundable application fee of ₹ 1lakh to enter the market. 

The portfolio manager’s net worth is raised by SEBI from 2 crores to 5 crores in the latest year. 

To manage the funds of an investor, Portfolio managers are appointed to create a good return on capital invested by the investor. 

The investor needs to select any of the service providers present in the market that perfectly suits you and have faith that the service provider will help you in reaching your target. 

The research is a must to do the task before selecting a service provider because achieving your target will depend on the service provider you choose. 

At the time of registration, the applicant has to pay a registration fee of Rs 10 lakh to SEBI. And then, the registration certificate is granted by SEBI to the service provider. 

The validity of a certificate is for 3 years; if the service provider wants to renew the certificate, then he must apply for the certificate renewal process 3 months before the expiry. 

Also, read PMS Review and PMS Companies in India.

Now, let’s move forward to the process of PMS registration.

PMS Registration Process

PMS’s role is to take care of the money invested in the market by an investor to fulfill his financial targets. 

A Portfolio manager is hired for the post to manage investment within the available resources.

Here are a few instructions for the PMS registration are as follows:

  • To enter the market, an applicant has to pay a non-refundable fee of ₹1 lakh as an application fee.
  • If the application form is not filled according to the form’s instructions, then the board may reject the application.
  • Once the application is approved, to get the SEBI registration certificate, the participant needs to pay a registration fee of Rs. 10 lakh
  • The certificate is valid for 3 years. For the certificate’s renewal, the applicant needs to apply 3 months before the expiry of the certificate. 
  • The board’s important condition is that an applicant must have a degree in finance and should have 10 years’ experience in the stock market.

Now we will discuss the regulation set by SEBI for PMS Registration. 

PMS SEBI Regulations 

SEBI’s main motive is to provide a hassle-free and fraud-free atmosphere in the market and bring more transparency among the investors.

SEBI has made some guidelines that have to be followed by each and everyone present in the market. 

Here are a few regulations noted by SEBI

  • The new SEBI regulations have increased the minimum investment value to be of ₹50 Lakh, which was ₹50 Lakh earlier. 
  •  A detailed contract has to be made between the investor and portfolio manager. In that particular contract, all the PMS details regarding charges are mentioned. 
  •  Whenever asked by an investor or after every 3 months, the exact performance report is provided by the service provider to an investor. 
  • The minimum net worth for portfolio managers is ₹5 crores, which were earlier ₹2 crores
  • Without providing any return, the service provider will charge an agreed amount from an investor, but no upfront fees shall be charged.


PMS provides services to its clients for managing their portfolio. The person appointed for the role to manage the portfolio of an investor is known as the Portfolio Manager. 

Portfolio Manager makes plans and strategies to achieve the investor’s financial goal. They are highly paid for managing the portfolio of the clients. 

Before working on the portfolio, a detailed discussion is done between Portfolio Manager and investor regarding the goals clients want to achieve within the available resources. 

We hope this blog has assisted you in gaining more knowledge regarding PMS registration, and if you have any queries regarding this topic, you can freely comment below. 

Thank you. 

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:

PMS Form


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