Jio Financial forms JV with BlackRock for investment advisory services; shares in negative territory

Shares of Jio Financial Services, the financial arm of oil-to-telecom conglomerate Reliance Industries (RIL), were trading around 0.5% lower at ₹335.25 apiece on the BSE in the morning trade on Monday, September 9, as the company on Sunday said it has formed a joint venture with BlackRock Advisors Singapore to undertake investment advisory business.

Jio BlackRock Investment Advisors was incorporated on September 6 to carry on the primary business of investment advisory services, subject to regulatory approvals.

The company will invest ₹3 crore towards an initial subscription of 3,000,000 equity shares of face value ₹10 each, it said. The Certificate of Incorporation was received from the Ministry of Corporate Affairs on September 7, 2024, it added.

Last month, Jio Finance Ltd, an NBFC arm of Jio Financial Services, said it is in the advanced stages of launching home loans, which have been rolled out in beta mode.

Besides, the company is going to roll out other products like loans against property and loans on securities.

Jio Financial Services Q1 FY25

The company reported a 6% decline in consolidated net profit to ₹313 crore in the first quarter ended June 2024. It had earned a net profit of ₹332 crore in the same quarter a year ago.

The company's total income rose marginally to ₹418 crore as against ₹414 crore in the June quarter of the previous year. Total expenses increased to ₹79 crore from ₹54 crore in the same quarter of last year.

Earlier this year, the company received approval from the Reserve Bank of India to operate as a Core Investment Company (CIC).

Jio Financial Services stock performance

In a year, shares of the company have gained 35%. In comparison, the benchmark NIFTY50 has rallied over 24% during the window.