PIS is not required for Mutual Funds. Nor is PIS required for Alternative Investment Funds. This is because, both these structures operate on the concept of pool vehicles, whereby the investment is held at a fund level and investors are allocated units and not securities. Only in case of Portfolio Management Services, the PIS account becomes a mandatory requirement as in this case, pool structure is followed, and enhanced structure is made available whereby every investor owns his own securities, and here in the PIS account becomes significant for holding these securities, whereby portfolio manager operates this account as per the discretion provided on the power of attorney contract signed between the portfolio manager and investor.