Portfolio Management Service is an investment portfolio in Stocks, Debt and fixed income products managed by a professional money manager, that can potentially be tailored to meet specific investment objectives. The securities are held in the investor’s demat and power of attorney is given to the fund manager for making trades on the investor’s behalf. PMS strategy is meant to invest in concentrated basket of 15-25 well researched companies. It is meant for sophisticated and informed investors and can form a part of your portfolio after considering risk appetite, investment duration and tax implications.
Alternate Investment Fund is a privately pooled investment vehicle, that collects funds from sophisticated investors, from home or abroad, for investing it by a defined investment policy for the benefit of its investors. Venture capital funds and hedge funds are some examples of AIFs. AIFs allow investors to actively participate in IPO and pre-IPO events as institutional investors. The fund may invest in equity and equity-related instruments to be listed in companies as per AIF’s offer document. AIF has the flexibility to leverage and arbitrage and adopts different practices for making concentrated bets and taking high risks.