Thread by @shyamsek

A #PMS must show performance. No escaping it. But,the crucial questions for an investor to choose a PMS must be more nuanced. What fee do I pay in bad times? Do i pay more fees in good times? Is the product going to do anything special for me if i wish to be more ambitious? 1/7

A #PMS which mechanically invests money into its model portfolio just like a mutual fund usually does can only offer you a mediocre experience.

Investing is commoditized and mechanized. Some dealer is blindly filling up stocks like a petrol pump attendant fills your car tank.2/7

Your whole purpose of choosing a #PMS over a mutual fund scheme is to make your money work smarter & to get a more personalised process. Afterall, a more ambitious investor needs a superior investment approach to meet his specific needs. You can't have a "carbon copy" PF. 3/7

The investment approach, product philosophy, investment universe & process of a #PMS must support a more ambitious investor,address his needs differently & give him the opportunity to do more when others aren't doing enough.

This is certain to give every investor fulfillment.4/7

Putting in more effort when valuation is in favour, nudging investors to buy more actively in such times, identifying stocks which can create significant alpha, creating full client participation & getting #positionsizing in every idea must be done in mission mode. 5/7

The mindset of a Manager must be to patiently create every investor's buy-in to an approach which he has curated, nudge them towards consistent, active participation while handholding each client on the path to achieving greater scale. Greater value comes from concerted work.6/7

What numbers never tell investors is how a #PMS tries to generate decent returns thro' disciplined active investing that is reliable,sustainable & holistic. How we generate returns is more important than how much. @ithoughtpms 's focus on the how part is what makes it special.7/7