JioBlackRock gets nod to start mutual fund business

The Securities and Exchange Board of India (SEBI) gave its nod to JioBlackRock Asset Management to begin operations as an investment manager, which is a 50:50 joint venture between Jio Financial Services Limited and BlackRock.

Sid Swaminathan, who previously held leadership roles at BlackRock, has been appointed managing director and chief executive officer for JioBlackRock Asset Management.

“JioBlackRock Asset Management aims to digitally deliver institutional quality investment products to investors across India and contribute to the growth of the country’s investment ecosystem. I am honoured to lead JioBlackRock Asset Management and help transform asset management in India by empowering investors to directly harness the potential of investing,” said Swaminathan, who was earlier BlackRock’s head of international index equity and head of fixed income portfolio management for Europe.

The venture plans to combine Jio Financial’s digital infrastructure and local insight with BlackRock’s investment knowledge and risk management systems. This includes BlackRock’s Aladdin platform, which is used for unified investment management.

JioBlackRock Asset Management plans to introduce offerings that will target both retail and institutional investors, and feature competitive pricing and a digital-first approach, the company said.

“India’s rapid growth is driven by a new generation with bold aspirations. Our partnership with BlackRock is a powerful combination of global investment expertise and Jio’s digital-first innovation. Together, we are committed to making investing simple, accessible, and inclusive for every Indian,” Isha Ambani, non-executive director of JFSL, said.

Meanwhile, Rachel Lord, head of international at BlackRock, stated, “The opportunity in asset management in India today is tremendously exciting. JioBlackRock’s digital-first customer proposition, delivering institutional quality products at a lower cost directly to investors, will enable more people in India to enjoy the many benefits of access to the capital markets.”

The venture will begin by rolling out products supported by data-driven strategies and global investment practices.