Jio Financial Services partnered with BlackRock to transform the asset management industry
Jio Financial Services, the demerged financial lending arm of Reliance Industries, and BlackRock, the world’s largest asset manager, have joined hands to set up an asset management company with a combined investment of $300 million. Jio BlackRock, RIL, in a press release, said it combines Jio Financial Services’ knowledge and resources and BlackRock’s scale and investment expertise to deliver affordable, innovative investment solutions to millions of investors in India.
The two partners plan to invest $150 million each in the JV, making it the 44th player in the `44.39 trillion Indian mutual fund industry, which SBI Mutual Fund, ICICI Prudential Mutual Fund, and HDFC Mutual Fund currently dominate. Through the joint venture, the firms aim for a digital-first offering and democratize access to investment solutions for investors in India.
Rachel Lord, Chair & Head of APAC, BlackRock, said: “India represents an enormously important opportunity. The convergence of rising affluence, favorable demographics, and digital transformation across industries is reshaping the market incredibly. We are excited to partner with JFS to revolutionize India’s asset management industry and transform financial futures. Jio BlackRock will place the combined strength and scale of both of our companies in the hands of millions of investors in India.”
Earlier on Wednesday, RIL renamed the financial services business Reliance Strategic Investments as Jio Financial Services, following the completion of the $20-billion demerger of the business.
Speaking on this transaction, Mr. Hitesh Sethia, President and CEO of JFS, said: “This is an exciting partnership between JFS and BlackRock, one of the largest and most respected asset management companies globally. The partnership will leverage BlackRock’s deep expertise in investment and risk management, along with the technology capability and deep market expertise of JFS, to drive the digital delivery of products. Jio BlackRock will be a truly transformational, customer-centric, and digital-first enterprise with the vision to democratize access to financial investment solutions and deliver financial well-being to the doorstep of every Indian.”
