SEBI lays down rules for PMS transfers
SEBI just dropped new rules for how Portfolio Management Services (PMS) can be transferred between managers.
Now, managers need SEBI's green light before making any moves—whether it's within the same group or to a different one.
The goal? Make the whole process smoother and more transparent.
Key highlights from the new rules
For transfers within the same group, managers can shift either specific investment strategies or the whole PMS business—but if it's the full business, the old manager has 45 days to give up their license.
Switching to a different group means the entire business has to move, with both sides applying together to SEBI.
The new manager must take on all the old responsibilities and wrap things up within two months of approval.
While this is happening, the old manager can't sign up new clients.