Mukesh Ambani, Reliance Jio Financial announces joint venture with Blackrock in preparation to create panic in this sector.
Jio Financial Services, recently separated from the Reliance Group, is now all set to create a stir in the asset management sector of India. The company has started this with the announcement of a major joint venture. Reliance Group’s financial services company Jio Financial Services Ltd (JFSL) and BlackRock on Wednesday announced setting up a 50-50 per cent joint venture, saying the two companies would invest $150 million each.
A statement issued by both the companies said that the Jio BlackRock venture would venture into the asset management business within the country. Through this partnership, it is intended to bring about a paradigm shift in the asset management industry in India. Jio BlackRock will leverage JFSL’s resources and knowledge, as well as BlackRock’s investment expertise, to provide affordable and innovative investment solutions to millions of investors in India, according to the statement.
Both JFSL and BlackRock will make an initial investment of $150 million each in the new venture. “Jio Blackrock will leverage the combined strengths and scale of both companies to serve hundreds of millions of investors in India,” said Rachel Lord, Head of Asia-Pacific, Blackrock.
JFSL President and CEO Hitesh Sethia termed the partnership with BlackRock, one of the world’s prestigious asset management companies, as “exciting” and said that Jio BlackRock will prove to be truly transformative.