BlackRock and JFS are set to form a 50:50 joint venture – to be known as Jio BlackRock – focused on delivering tech-enabled access to affordable investment solutions for investors in India.
The innovative partnership is set to benefit millions of investors, pending regulatory and statutory approvals.
According to the businesses, the aim is to “revolutionise India’s asset management industry and transform financial futures” through combining the scale and investment history of BlackRock, with the technology resources and local market knowledge held by JFS.
Rachel Lord, chair and head of APAC at BlackRock, highlighted the important opportunity presented by India: “The convergence of rising affluence, favourable demographics, and digital transformation across industries is reshaping the market in incredible ways […] Jio BlackRock will place the combined strength and scale of both of our companies in the hands of millions of investors in India.”
The introduction of Jio BlackRock as a new player in the market brings a unique opportunity, said the businesses, which confirmed that they are targeting initial investments in the JV of $150 million each. Once in operation, the new business will have its own management team.
The aim of the partnership is to democratise access to investment solutions for investors in India, with a customer centric and digital-first approach.
Hitesh Sethia, president and chief executive of JFS, said: “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 digital delivery of products.”