Jio Financial Services Ltd, the newly carved out financial services unit of billionaire Mukesh Ambani’s group, and BlackRock on Wednesday announced an agreement to form a 50:50 joint venture with a $150 million investment each to enter the asset management business in the country.

“Jio BlackRock combines Jio Financial Services’ knowledge and resources and BlackRock’s scale and investment expertise to deliver affordable, innovative investment solutions to millions of investors in India,” they said in a statement.

The partnership aims to transform India’s asset management industry through a digital-first offering and democratise access to investment solutions for investors in India.

“Jio BlackRock brings BlackRock’s deep expertise and talent in investment management, risk management, product excellence, access to technology, operations, scale, and intellectual capital around markets, while JFS contributes local market knowledge, digital infrastructure capabilities and robust execution capabilities,” it said.

Together, the partnership will introduce a new player to the Indian market with a unique combination of scope, scale and resources.

JFS and BlackRock are targeting an initial investment of $150 million each in the joint venture, it said.

Rachel Lord, Chair & Head of APAC, BlackRock, said India represents an enormously important opportunity.

“The convergence of rising affluence, favourable demographics, and digital transformation across industries is reshaping the market in incredible ways.

“We are very excited to be partnering with JFS to revolutionise India’s asset management industry and transform financial futures. Jio BlackRock will place the combined strength and scale of bothof our companies in the hands of millions of investors in India.”

Speaking on the transaction, JFS president and CEO Hitesh Sethia said: “This is an exciting partnership between JFS and BlackRock, one of the largest and most respected asset management companies globally.” PTI