LIC PMS or Portfolio Management Services is ranked as one among the top most PMS Service in our country. We would converse in detail about the Ratings, Review, Strategies, Commission Models, Yearly Returns & much more about LIC PMS for further understanding.
Find belows details of LIC Portfolio Management Services:
LIC PMS – Customer Ratings & Review
| LIC PMS Ratings | |
| Returns Performance | 3.2 / 5 |
| Services | 3.1 / 5 |
| Charges | 3.4 / 5 |
| Experience | 3.3 / 5 |
| Strategies | 3.2 / 5 |
| Client Support | 3.1 / 5 |
| Overall Ratings | 3.2 / 5 |
| Star Ratings | ★★★★★ |
Overview of LIC Portfolio Management Services
Table below provides details of LIC PMS:
| Overview | |
| Company Type | Public |
| Registered Location | Mumbai, Maharashtra |
| Leadership | S. K. Mitra |
| Yr. of Establishment | 1989 |
LIC PMS is an associate company of India’s premier and most trusted brand LIC of India and is one of the leading Full service stock brokers in India.
The company was founded by Mr. S. K. Mitra in the year 1989 having its headquarters in Mumbai, Maharashtra. This broking house is visible in the category of broking houses that are listed in the Stock Market.
LIC PMS is one of the largest players in the category and has a reputed name for their PMS performance. They have ample numbers of fund managers who are proficient to look after their PMS business. One of the prominent Business model of LIC is Portfolio Management Services.
Let’s see in detail on the types of LIC PMS, their PMS Charges, PMS Returns & more.
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Types of LIC PMS
| Types of PMS | |
| Discretionary | Yes |
| Non-Discretionary | Yes |
This broking house provides both the Discretionary as well as Non-Discretionary PMS. It is mostly the Discretionary Portfolio Management that is preferred by the clients.
The reason being that this type allows them to be tension free as their entire PMS account is managed by the Fund managers of LIC PMS. However some clients do go in for Consultancy at the initial stage and thereafter being thoroughly satisfied with the services they make the final decision.
LIC PMS Fund Managers Details
This table will help you to collate all the details about LIC PMS Fund Managers.
| Fund Manager’s Details | |
| Name | Parameswar M.A |
| Experience | 23 Years |
| Highest Qualification | MBA |
| AUM (in Cr.) | Approx 3,000 Cr. |
| Number of Clients | 250+ |
| Investment Tenure | Minimum 3 yr. |
LIC PMS has several Fund Managers working in their team. Mr. Parameswar M.A is the best among them. He holds a vast experience of 23 + years in the finance management sector. He is honoured with the degree of MBA and is overall in charge of the operations of the PMS division.
LIC PMS Fund Managers approximately hold Rs. 3,000 cr. as AUM and they handle more than 250 PMS clients. It has been observed that the minimum investment tenure in LIC PMS is at least a period of 3 years which is usually preferred by the clients.
LIC PMS Strategies
In this table we will get to see the details about LIC Portfolio Management Services Strategies:
| Strategies | |
| Large Cap Strategy | Yes |
| Diversified Strategy | Yes |
| Small – Midcap Strategy | Yes |
The table clearly illustrates that there are multiple types of PMS strategies provided by LIC PMS. Almost all types of Investment strategies are readily available with them. This broking house works on Large CAP Strategy, Diversified Strategy as well as Small-Midcap Strategy.
LIC PMS Large Cap Strategy
This strategy aims at achieving long term capital appreciation by making investments in a diversified portfolio predominantly consisting of equity and equity related securities of Large Cap companies (Large Cap – 1st – 100th Company in terms of full market capitalisation as provided by AMFI.) including derivatives.
However, this strategy cannot assure that the investment objective of the Scheme will be achieved.
LIC PMS Diversified Strategy
This strategy aims at an open ended pure growth scheme which seeks to provide capital growth by investing mainly in mix of equity instruments.
There will be a constant monitoring and review of investment portfolio of the scheme in order to optimize capital growth. The company however will not give any assurance that the investment objective of the Schemes will be realized.
LIC PMS Small – Midcap Cap Strategy
This strategy aims in having high risk and returns along with dynamic stocks that would help your portfolio to grow up at a very decent pace.
LIC PMS Returns / Performance
In this table you will get to know the details about LIC Portfolio Management Services Returns:
| Returns (CAGR) | |
| 3 Year | 11% |
| 5 Year | 9% |
| 7 Year | 7% |
| 10 Year | 11% |
| 11 Year Plus | 13% |
The rate of returns offered by LIC PMS is pretty good. The broking house has successfully managed at beating 10 years Mutual Fund Returns.
With performance for a period of 3 Years the returns of LIC PMS is nearly 11%, for 5 year it is 9%, for 7 year it is 7%, for 10 year it is 11% and for 11 plus years it is around 13% CAGR.
It is only this decent rate of return that motivates the clients to choose LIC PMS from the other set of PMS houses in India.
LIC PMS Investment Plans
Below table will give details related to LIC Portfolio Management investment slabs:
| Investment Plans | |
| Bronze (25L – 50L) | Yes |
| Silver (50L – 1 Cr.) | Yes |
| Gold (1 Cr. – 5 Cr.) | Yes |
| Platinum (5 Cr. Plus) | Yes |
The above table gives us a clear and better understanding of the different Investment slabs that are offered by LIC PMS to the clients. Rs.25 Lakh is a mandatory minimum investment amount required for any Portfolio Management Services house.
The Investment plans are available for all set of ranges that are offered by LIC PMS. Their Bronze plan starts with a range of INR 25 Lakh to INR 50 Lakh. The range of Silver Plan is in between Rs.50 Lakh to Rs.1 Crore.
The Gold plan falls in the rage of between Rs.1 Crore & Rs.5 Crore. However, there is also a Platinum plan for those set of clients who would prefer to invest for more than Rs.5 Crore with the broking house.
The commission range of LIC PMS varies for each plan. The more you invest the less you pay. In other words High investments would lead to elite services & low commission.
LIC PMS Fee Structure or Commission Slabs
The Fees Structure of LIC Portfolio Management Services is stated here below:
| Commission / Fees Structure | |
| Prepaid Commission | Yes |
| Volume% Commission | Yes |
| Profit Sharing% Commission | Yes |
LIC PMS has categorized their Fees into 3 types:
LIC PMS Prepaid Commission
In this format the Management Fees or Commission needs to be paid well in advance before the commencement of the actual tenure. This being a prepaid model, the commission charged here is comparatively lower than the other models.
| Prepaid Commission (Yearly) | |
| Investment – 25L – 50L | 1.8% of Investment |
| Investment – 50L – 1 Cr. | 1.7% of Investment |
| Investment – 1 Cr. – 5 Cr. | 1.5% of Investment |
| Investment – 5 Cr. Plus | 1.3% of Investment |
The Prepaid Commission model of LIC PMS is totally dependent on the amount of Investment. If you are making investments in the range of Rs.25 Lakh – Rs.50 Lakh then the prepaid commission would be 1.8% of Investment.
When your investment is in the range of Rs.50 Lakh to Rs.1 Crore, the prepaid commission would be 1.7% of total investment.
For an investment of more than Rs.1 Crore and up to Rs.5 Crore, the prepaid fee will be is 1.5% of total investment. For an investment of above Rs.5 Crore, the management fees would be 1.3% of the amount invested.
LIC PMS Volume% Commission
Here in this format your Fees Structure will entirely depend on the total number of transactions that are done by your Fund Manager.
There are other factors also which determine the commission that is it also depends on the market & other aspect of investment. This type of commission model generally results in making a higher commission payout.
| Volume% Commission (Yearly) | |
| Transaction Volume – 25L – 50L | 0.24% of Total Transaction Volume |
| Transaction Volume – 50L – 1 Cr. | 0.22% of Total Transaction Volume |
| Transaction Volume – 1 Cr. – 5 Cr. | 0.19% of Total Transaction Volume |
| Transaction Volume – 5 Cr. Plus | 0.16% of Total Transaction Volume |
The commission amount in Volume commission model depends on the market situation and how loyal is your Fund Manager.
If you do a yearly transaction volume in between Rs.25 Lakh to Rs.50 Lakh, the Management fees charged would be 0.24% of total transaction volume.
If the transaction is in between Rs.50 Lakh to Rs.1 Crore, then 0.22% of total transaction amount would be the fess that is applicable.
Now, when you do high transaction volume, you will see there is a decrease in the commission i.e. with transaction volume of Rs.1 Crore upto Rs.5 Crore, the charges are 0.19% of total volume.
If in case, the transaction volume exceeds above Rs.5 Crore, the management fees charged is 0.16% of total transaction volume.
LIC PMS Profit Sharing% Commission
This is one of the most convenient model for any investor. The prime reason being that in this format the Management fee is paid only after the profit is realized.
In this model you will generally see that the percentage is very high but at the same time the risk is low.
| Profit Sharing% Commission (Yearly) | |
| Profit Amount – 2.5L – 5L | 34% of Profit |
| Profit Amount – 5L – 10L | 32% of Profit |
| Profit Amount – 10L – 50L | 29% of Profit |
| Profit Amount – 50L Plus | 25% of Profit |
As stated above, Profit Sharing model is ideally a well-situated model for the client as this model entirely depends on the performance of the portfolio.
For a portfolio with profit range between Rs.2.5 Lakh to Rs.5 Lakh, the profit sharing is 34%. If the profit range is in between Rs.5 Lakh to Rs.10 Lakh, the Profit sharing is 32%.
For profits of high amount like Rs.10 Lakh to Rs.50 Lakh, the profit sharing is 29% while if your profit is over Rs.50 Lakh, then the sharing of profit is 25% to LIC PMS team. Customized commission models can also be made as per the requirement of the client.
There are various other charges levied by PMS house in addition to this Commission or Management Fees such as Upfront Fees, Brokerage, Depository Charges, Custodian Charges and Exit Load. Let us see what are these charges in the table here below.
LIC PMS Charges
This table gives us all the details of LIC Portfolio Management Services Charges:
| Charges | |
| Management Fees | As per commission model |
| Upfront Fees | 1.2% – 2.2% of Asset Value |
| Brokerage Charges | 0.015% – 0.025% of Total Transaction Value |
| Custodian Charges | 0.04% – 0.5% of Asset Value |
| Depository Charges | 0.18% – 0.25% of Asset Value |
| Exit Load – within 12 months | 2.0% – 3.0% of Withdrawal Value |
| Exit Load – post 12 months | Free or 1% of Withdrawal Value |
Let us have a look at the list of charges that are levied by LIC PMS:
Management Fees – This fess is as per the commission model that is agreed upon between the client & the PMS team.
Upfront Fees – There is also some upfront fees charged by LIC PMS team which is more like a prepaid value. The charge of these fees would range in between 1.2% – 2.20% of the asset value.
Brokerage Charges – Brokerage charges are levied on all transactions done by the Fund Manager. The charges would be in between 0.015% – 0.025% of total transaction value.
Custodian Charges – There is also a custodian change charge levied by the PMS house from their clients. This charge ranges in between 0.04% – 0.5% of Asset Value.
Depository Charges – The PMS depository charges are in between 0.18% – 0.25% of Asset Value.
Exit Load Fees – The exit load fees charged by PMS house depends on the client withdrawal duration & on the amount that is withdrawn by the client. The fees charged for any withdrawal taking place in within 1 year of portfolio creation is 2% – 3% of withdrawal amount.
If the withdrawal happens after a period of 1 year then in some cases depending on their nature the withdrawal is free whereas in some cases it is 1% of withdrawal value.
LIC PMS Benefits
Here in this table you will have a better understanding of the benefits of LIC Portfolio Management Services:
| Benefits / Advantages | |
| Top-up Facility | Yes |
| Back office Reports | Yes |
| Email Update | Yes |
| SMS Update | Yes |
| Watsapp Update | No |
| Portfolio View | Yes |
| Detailed View | Yes |
| Flexible Commission Model | Yes |
| Flexible Investment Plans | Yes |
| Massive Experience | Yes |
Here below we have listed down the various benefits of LIC PMS:
LIC PMS house provides you with the facility of doing a Top-up.
All the reports, their detailed portfolio & all the investments can be checked by the clients by using the Login facility of LIC PMS.
The PMS house also gives provision of Email Update, SMS Update and Watsapp Update with regards to all the transactions that take place in the clients account.
Several flexibilities are provided by LIC PMS to its clients like flexible investment plans and flexible commission models for all range of clients and their satisfaction.
In addition to the above, LIC PMS house also has a massive experience in Portfolio Management Services.
LIC PMS Customer Care
This table will provide details about LIC PMS Client Support:
| Customer Care | |
| Call Support | Yes |
| Email Support | Yes |
| Chat Support | No |
| Watsapp Support | No |
| Relationship Manager Support | Yes |
| Call to Fund Manager | Yes – 2 to 4 Times a month |
| Issue Resolving TAT | 15 working days |
There is a lot of support provided by LIC PMS Customer Care to its clients. Facilities like Direct Call support for resolving any type of queries, Email and Watsapp support are provided by them to their clients.
A Relationship Manager Support is provided by LIC PMS to all its clients. They also offer direct call to fund manager facility between 2 to 4 times in a month. The issue resolving TAT period of LIC PMS team is 15 working days.
LIC PMS Conclusion
LIC Portfolio Management Services is no doubt one of the best and reliable trusted PMS solutions available in the country as they are associated with most trusted brand.
They have succeeded in getting good and satisfactory results for their clients with the help of their strategies. Their Commission models and flexible Investment Plans are not only very attractive but also are of ease to the clients.
This PMS house has a very strong support system and always gives warm services to their client that is extremely useful & well structured.
Your search for a good PMS can be over by registering with LIC PMS, a name with which many investors have enrolled for better results.