Industry Outlook

The Indian PMS industry managed over ₹6.9 lakh crore (June 2025), up from ₹4.8 lakh crore (FY 2021), across 450+ providers.

Growth Drivers

• Rising HNI/UHNI population: 1India’s wealthy class is expanding rapidly, with more than 1.4 million HNIs expected by 2027.
• PMS is preferred for customized, actively managed equity portfolios.
• Investment sophistication: Investors are shifting from mutual funds to PMS for alpha generation, direct ownership, and transparency.
• SEB's reforms have strengthened compliance (e.g., minimum investment of Rs 50lakh, reporting norms), adding credibility
• Onboarding and reporting have become more digital and investor-friendly.
• GIFT City growth: Global investors (NRI, FPI) increasingly use PMS platforms based in GIFT IFSC, enhancing cross-border flows.

Key Trends

• Thematic, concentrated strategies (ESG, small-cap, dividend-yield)
• Evolving fee models (fixed + performance-based)
• Use of AI, analytics in portfolio management
• Rise of AIFs competing for the same investor base

Challenges

• Volatile market underperformance risk
• High churn due to fee sensitivity and short-term expectations
• Limited reach in Tier 2/3 cities
• Small independent distribution network

Conclusion: PMS in India is moving into a mature, high-margin phase powered by wealth creation, digital transformation, and rising investor demand for personalized performance-driven strategies.

Latest Shareholding Pattern