{"id":7217,"date":"2021-06-11T07:26:06","date_gmt":"2021-06-11T07:26:06","guid":{"rendered":"https:\/\/kredx.com\/blog\/?p=7217"},"modified":"2023-12-26T12:02:33","modified_gmt":"2023-12-26T12:02:33","slug":"advantagesof-investing-in-portfolio-management-services","status":"publish","type":"post","link":"https:\/\/www.kredx.com\/blog\/advantagesof-investing-in-portfolio-management-services\/","title":{"rendered":"Advantages Of Investing In Portfolio Management Services"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"7217\" class=\"elementor elementor-7217\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-7a0ac8f9 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"7a0ac8f9\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-68a4e583\" data-id=\"68a4e583\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-32b6650c elementor-widget elementor-widget-text-editor\" data-id=\"32b6650c\" data-element_type=\"widget\" data-settings=\"{&quot;ekit_we_effect_on&quot;:&quot;none&quot;}\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">By over-diversifying one\u2019s portfolio with an increased variety of securities, investors often run in losses rather than generating higher-than-ideal returns. In other words, investment without comprehensive knowledge about the markets, current financial climate, or a proper strategy and objective can lead to lower returns than expected.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">In such a scenario, professional financial guidance always acts as a boon. In\u00a0<\/span><b>Portfolio Management Services,<\/b><span style=\"font-weight: 400;\">\u00a0expert professionals offer an appropriate mix of <a href=\"https:\/\/kredx.com\/blog\/what-are-the-different-types-of-investments\/\" target=\"_blank\" rel=\"noopener\">investment options<\/a> as per the financial goals and risk appetite of an investor.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">If you are looking for such an investment avenue and wondering how to connect with such experts, consider KredX as your investment platform. This online platform works with SEBI-registered fund managers and helps investors get customised professional financial services.\u00a0 \u00a0 \u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">However, before investing in any financial product, every investor must evaluate its primary benefits that make it an ideal investment instrument. The same goes for investing in PMS as well.\u00a0<\/span><\/p><h2><b>What Are The Benefits Of Investing In Portfolio Management Services?<\/b><\/h2><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><h3><b>Enhanced Portfolio\u00a0<\/b><\/h3><\/li><\/ul><p><span style=\"font-weight: 400;\">While a significant amount is certainly favourable when it comes to investments, untrained or inadequate knowledge about the markets can end up compromising the quality of a portfolio.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">A glance at one of the top stock indexes like Nifty shows that individual investors possess a lower share of holdings and low-quality stocks as they emphasise price over value. Hence, it is imperative to have the expertise help, i.e. PMS, to build a quality portfolio.<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><h3><b>Maximum Returns\u00a0<\/b><\/h3><\/li><\/ul><p><span style=\"font-weight: 400;\">Investment in <\/span><b>Portfolio Management Services\u00a0<\/b><span style=\"font-weight: 400;\">connects you with SEBI-registered analysts. These experts closely monitor an investor\u2019s portfolio, indulge in rigorous market research, keep track of your profile, and only invest when the proper market condition strikes. As only an informed decision can guarantee a profitable result, PMS investment with the help of expert portfolio managers undoubtedly ensures superlative returns.\u00a0 \u00a0 \u00a0<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><h3><b>Separate Portfolio\u00a0<\/b><\/h3><\/li><\/ul><p><span style=\"font-weight: 400;\">Unlike mutual funds,\u00a0<\/span><a href=\"https:\/\/www.kredx.com\/pms-and-advisory-services\/\"><b>PMS investment<\/b><\/a><span style=\"font-weight: 400;\"> is not governed or affected by the behaviour of hundreds and thousands of investors. Here, decisions \u2013 buying and selling and their timing \u2013 are executed at the investor\u2019s discretion (depending on the type of PMS chosen).\u00a0<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><h3><b>Protected By Financial Risk Management Plan\u00a0<\/b><\/h3><\/li><\/ul><p><span style=\"font-weight: 400;\">PMS investment comes with a robust financial risk management plan to reduce the risk and increase returns during bearish market situations. Such a plan keeps track of diversification, market and interest rates, inflation, and other essential factors.<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><h3><b>Tailor-Made Investment Portfolio\u00a0<\/b><\/h3><\/li><\/ul><p><span style=\"font-weight: 400;\">Investment in PMS enables investors to achieve a customised portfolio. This investment vehicle allows individuals to decide or discuss with the fund manager the securities or stocks to choose or avoid, thus, ensuring the desired portfolio.\u00a0<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><h3><b>Transparent Fee Structure\u00a0<\/b><\/h3><\/li><\/ul><p><span style=\"font-weight: 400;\">PMS investment comes with a transparent fee structure (legally agreed fee structure) and provides investors with a detailed list of charges\/expenses related to a portfolio. Moreover, the expense ratio can be tailored based on the ticket size and a performance-based fee structure.<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><h3><b>Transparent Data Management<\/b><\/h3><\/li><\/ul><p><span style=\"font-weight: 400;\">Investors can get hold of each detail regarding their portfolio, trading and view them from their home\u2019s comfort. Hence, this investment offers the utmost transparency of portfolio information.<\/span><\/p><p><span style=\"font-weight: 400;\">Now that investors have a clear picture of the numerous advantages of\u00a0<\/span><b>portfolio management services,\u00a0<\/b><span style=\"font-weight: 400;\">they must know who and how they can invest in PMS.\u00a0<\/span><\/p><h2><b>Who Can Invest In Portfolio Management Services?<\/b><\/h2><p><b>Portfolio Management Services\u00a0<\/b><span style=\"font-weight: 400;\">are designed to cater to a variety of investors, including:<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">High net-worth individuals<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Non-individuals (HUFs, Partnerships Firms, Institutional Entities, Sole Proprietorship Firms, family businesses)<\/span><\/li><\/ul><h2><b>How To Invest In Portfolio Management Services?<\/b><\/h2><p><span style=\"font-weight: 400;\">To opt for\u00a0<\/span><b>PMS investment,<\/b><span style=\"font-weight: 400;\">\u00a0investors must have a minimum capital of Rs. 50 lakhs (as per the new SEBI regulations).<\/span><\/p><p><span style=\"font-weight: 400;\">With this amount, investors can invest in two ways described below:<\/span><\/p><p><b>Mode-1:<\/b><span style=\"font-weight: 400;\">\u00a0Investors can invest their funds in a PMS account through a cheque.\u00a0<\/span><\/p><p><b>Mode-2:<\/b><span style=\"font-weight: 400;\"> An investor can directly transfer the existing stocks to their PMS account. Please note, that the amount transferred to a PMS account must exceed the minimum investment threshold.\u00a0 \u00a0 \u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">Investors can do so by first selecting a portfolio manager. To that end, they can consider platforms like KredX, featuring an array of SEBI-registered PMS providers as well as bonds and digital gold.\u00a0<\/span><\/p><h2><b>Bottom Line<\/b><\/h2><p><b>PMS investment <\/b><span style=\"font-weight: 400;\">is an effective avenue to achieve a customised portfolio that helps generate ideal returns. As this investment option is highly guided and closely monitored by expert managers, investors can trust their money or stocks with professional financial advisors. Besides a diversified and tailored portfolio, investors can also enjoy benefits like transparency in fees and information management, high-end financial risk management plan, independent portfolio, and many others.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>By over-diversifying one\u2019s portfolio with an increased variety of securities, investors often run in losses rather than generating higher-than-ideal returns. In other words, investment without comprehensive knowledge about the markets, current financial climate, or a proper strategy and objective can lead to lower returns than expected.\u00a0 In such a scenario, professional financial guidance always acts [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7218,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[874],"tags":[98,872,92,100,76,906,873],"class_list":["post-7217","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-pms-investment","tag-bonds","tag-digital-gold","tag-investment","tag-investors","tag-kredx","tag-pms-investment","tag-portfolio-management-services"],"_links":{"self":[{"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/posts\/7217","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/comments?post=7217"}],"version-history":[{"count":11,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/posts\/7217\/revisions"}],"predecessor-version":[{"id":18410,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/posts\/7217\/revisions\/18410"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/media\/7218"}],"wp:attachment":[{"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/media?parent=7217"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/categories?post=7217"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/tags?post=7217"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}