NISM Certifications · NISM-Series-XXI-A: Portfolio Management Services (PMS) Distributors · Regulatory, Governance and Ethical Aspects of Portfolio Managers
Under the SEBI (Portfolio Managers) Regulations, what is the minimum investment amount a client must bring to a portfolio manager for a PMS account (other than accredited investors' special arrangements)?
The minimum investment per client with a portfolio manager is Rs 50 lakh, which may be brought in as cash, securities, or a combination of both. Accredited investors may be offered different arrangements, but the general threshold under SEBI rules is Rs 50 lakh.
- ARs 10 lakh
- BRs 25 lakh
- CRs 50 lakhCorrect
- DRs 1 crore
Explanation
SEBI prescribes a minimum investment of Rs 50 lakh per client with a portfolio manager, either in funds or securities or both. Lower figures such as Rs 25 lakh were never the PMS threshold, and Rs 1 crore is not the requirement.
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