Mukesh Ambani-controlled Jio BlackRock gets SEBI nod for four passive schemes, how will Reliance break new ground...

In what may be considered a significant boost to the Mukesh Ambani-controlled joint venture, Jio BlackRock Mutual Fund, the Securities and Exchange Board of India (SEBI) has allowed it to launch four passive investment schemes. These schemes are: JioBlackRock Nifty Midcap 150 Index Fund, JioBlackRock Nifty Next 50 Index Fund, JioBlackRock Nifty Smallcap 250 Index Fund and, and JioBlackRock Nifty 8-13 yr G-Sec Index Fund. One of these three schemes is an equity-oriented fund, while the other two are debt-oriented schemes. However, the stock market did not appear to be enthusiastic, as the Shares of Jio Financial Services were down 0.28% at noon on Wednesday, at a trading price of Rs 320.30.

Jio BlackRock is a joint venture company launched by Mukesh Ambani’s Jio Financial Services and BlackRock. It is planning to launch nearly a dozen equity and debt funds in India this year. The asset management firm began with a bang, collecting more than $2.1 billion through three debt mutual fund schemes. More than 90 institutional investors and 67,000 retail investors have evinced interest in the company.

It is important for India, which has a mutual fund market of Rs 72.2 trillion or $844 billion. Jio BlackRock aims to start a new kind of business by bypassing distributor channels and approaching the investors directly.