Jio Financial Services, a part of the Reliance Industries’ startup growth engine, has invested ₹117 crore in the mutual fund business along with the world’s largest asset manager, BlackRock. This significant investment will allow Jio Financial Services to expand its presence in the financial services sector and further diversify its portfolio.
Jio Financial Services, which was founded in 2019, has been aggressively pursuing various financial services including mobile-based payments, personal loans, and general insurance. The company has been growing rapidly, with its user base crossing the 400 million mark and its annual transactions exceeding 1.5 billion.
BlackRock, on the other hand, is one of the world’s largest asset managers with over $8.5 trillion in assets under management. The company has been expanding its presence in India, with a focus on growing its mutual fund business, which is increasingly becoming an attractive investment option for Indian investors.
The investment, which is part of Jio Financial’s Series E funding round, will enable the company to enhance its distribution channels, scale up its operations, and expand its product offerings. The funds will also be used to build deeper relationships with financial advisors, distributors, and other stakeholders in the industry.
According to analysts, this investment has the potential to catapult Jio Financial to become one of the leading players in the country’s mutual fund industry. With BlackRock’s global expertise and Jio’s local knowledge, the partnership is expected to create a strong and formidable force in the Indian financial landscape.
The investment is also seen as a significant step towards creating a digitally enabled, full-spectrum financial services company that can offer a wide range of financial products and services to its customers. With its existing strengths in mobile-based payments, personal loans, and general insurance, Jio Financial is well-positioned to leverage its digital platform to scale up its mutual fund business and offer a seamless experience to its customers.
In the words of the CEO of Jio Financial, this investment will enable the company to “scale up and leverage the strengths of both Jio and BlackRock to create a leading financial services company that can make a significant impact in the lives of millions of Indians.” With this significant investment, Jio Financial is poised to create a new era of financial services that is digital, accessible, and customer-centric.