Jio Blackrock gets Sebi nod to launch four passive funds. Details here
Reliance Industries’ subsidiary Jio, in partnership with global asset manager BlackRock, has secured approval from the Securities and Exchange Board of India (SEBI) to launch passive index mutual fund schemes. This approval enables both companies to broaden their presence in India’s expanding mutual fund sector by providing investors with cost-effective, index-based investment options.
The mutual fund has been authorized by SEBI to introduce four index funds: the JioBlackRock Nifty Midcap 150 Index Fund, JioBlackRock Nifty Next 50 Index Fund, JioBlackRock Nifty Smallcap 250 Index Fund, and JioBlackRock Nifty 8-13 year G-Sec Index Fund.
About the funds
Among these, three funds will focus on equity indices, while one fund will track a debt-oriented government securities index.
These new fund offerings will give investors diversified access to mid-cap, small-cap, and next 50 stocks, along with government securities maturing between 8 and 13 years.
All four schemes will be available exclusively as direct plans, offering only the growth option. The minimum lump sum investment amount is ₹500, with subsequent investments allowed in any amount. For systematic investment plans (SIP), the minimum installment is ₹500, with additional contributions accepted in multiples of Re 1.
The equity-oriented funds—JioBlackRock Nifty Midcap 150 Index Fund, JioBlackRock Nifty Next 50 Index Fund, and JioBlackRock Nifty Smallcap 250 Index Fund—will be managed by Tanvi Kacheria, Anand Shah, and Haresh Mehta, respectively.
The debt-focused JioBlackRock Nifty 8-13 yr G-Sec Index Fund will be overseen by Vikrant Mehta, Siddharth Deb, and Arun Ramachandran.
Passive index funds aim to replicate the returns of specified market indices, serving as an economical alternative to actively managed schemes. Given the growing investor interest in passive investment products both globally and within India, SEBI’s clearance is expected to enhance competition among asset management firms.
JioBlackRock
Jio’s move into the mutual fund industry represents a strategic diversification beyond its established operations in telecom, digital services, and retail. At the same time, BlackRock, recognized as one of the world’s leading asset managers, is steadily increasing its footprint in the Indian financial market through partnerships and new fund offerings.
This launch is part of Jio BlackRock’s larger plan to roll out close to a dozen equity and debt mutual fund schemes in India by the end of 2025. The company intends to capitalize on India’s massive mutual fund industry, currently valued at ₹72.2 trillion ($844 billion), by utilizing its robust digital distribution network to bypass traditional channels.
Since the joint venture began, it has raised more than $2.1 billion through three debt mutual fund schemes, drawing investments from 90 institutional investors and 67,000 retail investors.
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