Mutual funds vs PMS: Which is the better option?

Summary: Confused whether to opt for mutual funds or PMS (portfolio management services)? We look at their differences to help you decide which option is right for you. A fintech app asked me to redeem all my mutual funds and take PMS from them. Should I go with such a service? Please advise, as I am very close to my retirement. At first glance, portfolio management services and mutual funds can look like close cousins. In both, you hand over your money to a professional fund manager and expect them to do the heavy lifting. But scratch the surface and the similarities fade quickly. The two routes differ sharply on who they are meant for, how much they cost and how friendly they are to your long-term returns. The biggest differences show up where it matters most to retail investors: the entry barrier, taxes, costs and

This article was originally published on September 12, 2024, and last updated on December 16, 2025.