New Delhi, July 25 -- The Securities and Exchange Board of India (Sebi) has proposed a revamp of portfolio management regulations with the aim to broaden investment avenues, ease compliance and simplify the regulatory framework for portfolio management services (PMS) firms, in a consultation paper issued on Thursday.

PMS allows professional fund managers to run customised portfolios for affluent investors with a minimum investment of Rs.500,000. Mint unpacks the changes and what it means for the industry

What are the proposed changes?

One of the biggest proposals is the introduction of a mutual fund-only PMS (MF-PMS) framework, which will allow portfolio managers to exclusively manage investments in direct plans of mutual fund schemes,...