As India's stock markets reach record highs, Portfolio Management Services (PMS) continue to deliver strong, tailored returns for high-net-worth individuals (HNIs) and family offices. With growing demand for personalized strategies and differentiated alpha generation, PMS has become a core allocation for investors looking to outperform broader indices.
According to the latest performance data from PMS Bazaar, several leading PMS funds generated impressive monthly returns in May 2025—some exceeding 16%—highlighting the sector's agility in capturing market upside.
Top-Performing PMS Strategies – May 2025
| Rank | Strategy Name | Fund House | Return (May 2025) |
|---|---|---|---|
| 1 | Value Strategy | Accuracap | 16.48% |
| 2 | Emerging Opportunities | Emkay Investment Managers | 15.20% |
| 3 | Flexicap | Green Lantern Capital | 14.60% |
| 4 | Growth Strategy | GQuant | 14.40% |
| 5 | Growth Plus | Right Horizons | 13.70% |
| 6 | Opportunities Strategy | SageOne Investment Managers | 12.50% |
| 7 | Value Investment Strategy | Marcellus Investment Managers | 11.90% |
| 8 | Quantamental Strategy | Quest Investment Advisors | 11.20% |
Underperformers: A Mixed Bag
While several PMS strategies outperformed benchmarks in May, a few large and well-known names lagged behind:
- Elever PMS posted returns below the category average.
- Axis Securities’ PMS strategies, though strong on risk management, failed to keep up with the top alpha generators.
This underperformance reflects the increased dispersion between strategies and the growing importance of stock selection, sector positioning, and agile rebalancing.
Sector Rotation and Strategy Insights
- Value and Opportunistic Strategies Lead: Accuracap and SageOne outperformed by focusing on undervalued mid- and small-cap stocks that benefitted from earnings upgrades and domestic demand trends.
- Growth with Caution: Strategies like Marcellus' Value approach took a more conservative stance but still posted solid double-digit returns, underscoring their resilience and long-term focus.
- Quant Strategies Catching Up: Firms like GQuant and Quest leveraged quantitative and momentum models effectively in a bullish month, combining technical signals with sector rotation.
- Customization of stock weights
- Lower churn and tax efficiency
- Direct ownership and transparency
- Concentrated portfolios with high conviction
PMS vs Mutual Funds: Risk-Adjusted Edge?
The top-performing PMS strategies in May outpaced many mutual fund schemes across large-cap, mid-cap, and multi-cap categories. While PMS portfolios carry higher minimum investments (typically ₹50 lakh and above), they offer:
This makes PMS suitable for investors seeking personalized equity exposure, especially in fast-moving or volatile market conditions.
Conclusion: The Alpha Opportunity in PMS Is Real
With India’s economic fundamentals strong and market breadth improving, PMS strategies continue to demonstrate their ability to create value through smart asset allocation, tactical moves, and disciplined investing. As May’s numbers show, active managers with sector insights and bottom-up stock picking capabilities have a clear edge.
For investors evaluating the right PMS, consistent performance, risk management, and fund manager pedigree remain key criteria. Platforms like Punjibaazar are well-positioned to help clients access and evaluate these strategies through research, due diligence, and ongoing portfolio oversight.
India’s PMS industry is no longer a niche, it’s a performance-driven powerhouse in the modern wealth toolkit.