Mutual funds vs portfolio management services: What’s right for you?

Mutual funds (MFs) and Portfolio Management Services (PMS) are both professionally managed investment options in India, but differ in accessibility, customization, and fee structure. MFs pool money from many investors, offering diversified portfolios and low entry points (as low as ₹100), making them suitable for most retail investors. PMS, tailored for high-net-worth individuals, requires a minimum investment of ₹50 lakh, provides bespoke portfolios managed by dedicated fund managers, and typically charges higher, performance-linked fees. While MFs offer standardized strategies and broad diversification, PMS delivers greater flexibility, transparency, and direct ownership of securities, catering to specific investment goals and risk profiles