SEBI Chairman Tuhin Kanta Pandey announced on February 23 that the regulator has initiated a comprehensive review of Portfolio Management Services (PMS) regulations. He stated that a consultation paper outlining the proposed revisions will likely be published in June.
Speaking at a PMS industry conference, he emphasised that investor suitability will remain at the core of the regulatory framework. He also noted that PMS transparency has improved but requires further strengthening under updated norms.
Pandey said SEBI has begun a holistic examination of existing PMS rules to ensure they remain aligned with market needs. He explained that investor suitability would continue to guide the regulatory structure for PMS providers.
The Chairman highlighted that while transparency in the industry has improved in recent years, emerging market dynamics warrant a thorough review. The upcoming consultation paper will form the basis for discussions with stakeholders before any amendments are finalised.
The SEBI chief added that the regulator is conducting a wider review of all major regulations. This includes examining the Listing Obligations and Disclosure Requirements (LODR) framework and settlement regulations.
He stated that modernising these rules is essential to support evolving market practices and strengthen compliance. The review aims to streamline processes while ensuring adequate investor safeguards across regulated entities.
Pandey encouraged the Association of Portfolio Managers in India (APMI) to work towards positioning PMS as a preferred investment avenue within the regulatory framework. He stated that the industry body should collaborate with SEBI to enhance investor confidence and improve awareness.
The Chairman reiterated the importance of industry‑regulator engagement in shaping transparent and efficient rules. He emphasised that industry feedback will play a key role once the consultation paper is published.
On trading‑related lending norms, Pandey said SEBI will examine the Reserve Bank of India’s regulations in this area. He added that the regulator will share its assessment with the central bank after completing its review.
Separately, he stated that SEBI is coordinating with government ministries to reassess the ban on certain agricultural commodities. He did not specify timelines for decisions or policy changes in this area.
Read More: ANMI Urges SEBI to Delay RBI's 100% Bank Guarantee Rule by 6 Months.
SEBI’s comprehensive review of PMS regulations signals an upcoming phase of policy updates focused on investor suitability and transparency. Chairman Tuhin Kanta Pandey outlined plans to release a consultation paper in June and highlighted parallel reviews of LODR and settlement rules.
He also discussed ongoing coordination with the RBI and government ministries on lending norms and commodity regulations. The regulator’s broader engagement with industry stakeholders underscores its effort to create a more robust and investor‑aligned PMS framework.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
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Published on: Feb 23, 2026, 5:28 PM IST
Akshay Shivalkar
Akshay Shivalkar is a financial content specialist who strategises and creates SEO-optimised content on the stock market, mutual funds, and other investment products. With experience in fintech and mutual funds, he simplifies complex financial concepts to help investors make informed decisions through his writing.
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