Jio Financial, BlackRock To Set Up Asset Management Firm

Jio Financial Services Ltd. and BlackRock, the world's top asset manager, agreed to form a joint venture to enter India’s asset management industry.

Jio Financial Services, the demerged financial lending entity of Reliance Industries Ltd., and NYSE-listed BlackRock will form an equal joint venture called Jio BlackRock to deliver tech-enabled investment solutions to investors in India, the companies said in a joint statement.

Jio BlackRock will bring BlackRock’s expertise and talent in investment management, risk management, product excellence, access to technology, operations, scale, and intellectual capital around markets, the companies said.

Jio Financial Services will contribute local market knowledge, digital infrastructure capabilities and robust execution capabilities, they added.

“The partnership will leverage BlackRock’s deep expertise in investment and risk management along with the technology capability and deep market expertise of JFS (Jio Financial Services) to drive digital delivery of products,” JFS Chief Executive Office and President Hitesh Sethia said.

The companies are targeting initial investment of $150 million each in the joint venture, which will have its own management team.

The joint venture will launch operations after receiving regulatory and statutory approvals, according to the statement.

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