Portfolio Management Services (PMS) is an investment portfolio in stocks, fixed income, debt, cash, structured products and other individual securities. It is managed by a professional money manager that is typically tailored to meet specific investment objectives.

An investor in PMS owns individual securities unlike a mutual fund investor, who owns units of the entire fund. Additionally, the freedom and flexibility to tailor the portfolio as per personal preferences and financial goals remains. Although our managers oversee hundreds of portfolios, each account is unique and customized to suit the needs of a particular client.

Investment Management Solutions in PMS, can be provided in the following ways:

Discretionary:

Under these services, the choice as well as the timing of the investment decisions rest solely with the Portfolio Manager.

Non Discretionary:

Under these services, the portfolio manager only suggests the investment ideas. The choice as well as the timing of the investment decisions rest solely with the investor. However, the execution of trade is done by the portfolio manager.

Advisory:

Under these services, the portfolio manager only suggests the investment ideas. The choice as well as the execution of the investment decisions rest solely with the investor.

Note: In India majority of PMS providers offer Discretionary Services.

PMS can be offered only by entities having specific SEBI registration for rendering portfolio management services. Currently in India, it is offered by specialized PMS players, asset management companies (AMCs) and brokerage houses.

The investment solutions provided by PMS cater to a niche segment of clients. They can be individuals, family offices or institutional entities with a high net worth.

The offerings are usually ideal for investors who:

• Want to invest in asset classes like equity, fixed income, structured products, etc.
• Desire personalized investment solutions
• Aim for long-term wealth creation
• Appreciate a high level of service
• Understand risks associated with investing in PMS

There are various benefits of PMS like Professional Management, Continuous monitoring, Risk Control, Hassle Free Operations, Flexibility, Transparency, Customised Advice, Personalised Approach.

At the same like all investments, PMS also involve a certain amount of risk, including the possible erosion of the principal amount invested, which varies depending on the security selected. Hence investment decisions must be made by yourself after considering various things and you own risk and return expectation and appetite, you may also consult your financial or tax advisors before taking any decisions.

Tracom is not a SEBI registered PMS service provider however to give the full range of services to its customers it has empaneled itself with equally or more reputed PMS service providers.