MUMBAI, India India’s Portfolio Management Services (PMS) industry continued its strong growth trajectory in June 2026, with Assets Under Management (AUM) rising 1.8% month-on-month to ₹43.3 trillion, reflecting increasing investor demand for customized and professionally managed investment solutions. The latest figures were released by the Association of Portfolio Managers in India (APMI), highlighting robust participation from domestic investors and sustained expansion across the wealth management sector.
The report also revealed that the industry’s client base surpassed 220,000 accounts, representing nearly a 4% monthly increase, as more high-net-worth individuals and institutional investors turned to personalized portfolio management services.
Discretionary PMS Continues to Lead Growth
The discretionary segment remained the primary growth engine of the industry, accounting for the largest share of managed assets.
According to the report:
- Discretionary PMS AUM: ₹36.72 trillion
- Non-Discretionary PMS AUM: ₹3.42 trillion
- Advisory Services AUM: ₹3.06 trillion
The discretionary model allows professional portfolio managers to make investment decisions on behalf of clients, making it the preferred choice for investors seeking expert management.
Strong Surge in Investment Inflows
The industry recorded a remarkable increase in fresh investments during June.
Total inflows climbed sharply to ₹3.55 trillion, compared with ₹4,085 crore in May 2026, largely driven by a substantial rise in discretionary investments.
Market observers noted that the surge reflects growing investor optimism toward India’s long-term economic prospects and wealth creation opportunities.
Equity Remains the Preferred Asset Class
Among various investment categories:
- Equity assets increased by 1.4%
- Plain debt investments rose 1.2%
- Mutual fund investments registered the strongest growth, jumping 14.6% during the month
The data indicates that investors continue to diversify portfolios while maintaining strong exposure to equity markets.
Domestic Investors Dominate the Industry
Domestic investors remained the backbone of India’s PMS industry.
The report showed:
- 91% of all PMS clients are domestic investors.
- 95% of total industry AUM belongs to domestic investors.
- Domestic AUM increased 1.9% month-on-month.
- Foreign AUM declined slightly by 0.2%.
Institutional investors such as Provident Funds (PF) and the Employees’ Provident Fund Organisation (EPFO) continued to play a significant role, contributing nearly 79% of domestic AUM.
Growing Transparency Boosts Investor Confidence
Industry experts credited SEBI’s enhanced disclosure norms and compliance standards for improving investor trust.
Unlike traditional mutual funds, Portfolio Management Services provide:
- Customized investment portfolios
- Flexible fee structures
- Professional portfolio management
- Tailored risk management strategies
- Performance-linked compensation options
These features have made PMS increasingly attractive for investors seeking personalized wealth management.
SEBI Proposes Further Reforms
The report also highlighted recent proposals by the Securities and Exchange Board of India (SEBI) aimed at expanding investment opportunities for portfolio managers.
The proposed reforms include:
- Allowing investments in to-be-listed securities.
- Permitting investments in overseas listed equity and debt markets.
- Allowing discretionary PMS managers to invest up to 10% of a client’s AUM in investment-grade unlisted debt securities.
These measures are expected to enhance portfolio diversification and improve investment flexibility.
Industry Leadership Speaks
Sushant Bhansali, Vice Chairman of APMI, said the industry’s expansion reflects a structural transformation in India’s wealth management landscape.
“India’s wealth management sector is undergoing a significant transformation as investors increasingly seek customized, professionally managed investment solutions aligned with their long-term financial objectives. Continued focus on governance, transparency, and investor-centric practices will be essential for sustaining this momentum.”
American Financial Experts React
Michael Carter, an American wealth management strategist based in New York, said India’s PMS industry is entering a period of sustained expansion.
“The consistent growth in assets and investor participation demonstrates rising confidence in India’s financial markets. Customized portfolio management is becoming increasingly important as investors seek personalized strategies rather than one-size-fits-all investment products.”
Jennifer Brooks, an American investment analyst specializing in global asset management from Chicago, believes India’s regulatory framework is strengthening investor confidence.
“SEBI’s emphasis on transparency and governance has significantly improved the credibility of India’s portfolio management industry. As regulatory reforms continue, the sector is well-positioned to attract both domestic and international investors looking for professionally managed investment solutions.”
Key Industry Highlights
| Indicator | June 2026 |
|---|---|
| Total PMS Assets Under Management | ₹43.3 Trillion |
| Monthly AUM Growth | 1.8% |
| Client Base | More than 220,000 Accounts |
| Discretionary AUM | ₹36.72 Trillion |
| Non-Discretionary AUM | ₹3.42 Trillion |
| Advisory AUM | ₹3.06 Trillion |
| Total Inflows | ₹3.55 Trillion |
| Domestic Share of AUM | 95% |
Outlook
With strong domestic participation, rising investor confidence, and ongoing regulatory reforms, India’s Portfolio Management Services industry appears poised for continued expansion. As investors increasingly seek personalized, professionally managed, and transparent investment solutions, the PMS sector is expected to remain a key pillar of India’s rapidly evolving wealth management ecosystem, supporting long-term capital growth and financial diversification.
