Jio BlackRock Gets SEBI Nod To Operate As Brokerage Firm

Jio BlackRock JV Gets SEBI Nod To Operate As Stock Broker

SUMMARY

Jio Financial Services said in an exchange filing that the SEBI has granted Jio BlackRock the certificate to act as a Stock Broker

Jio BlackRock is a joint venture between Jio Financial Services and BlackRock Inc

With other regulatory licences in the mutual fund and investment advisory space, the stock broking licence will allow Jio BlackRock to offer holistic investment offerings to customers

Jio BlackRock, a joint venture between Jio Financial Services (JFS) and BlackRock Inc, has received approval from the Securities and Exchange Board of India(SEBI’s) to kick off operations as a brokerage firm in India.

In an exchange filing, JFS informed that the markets regulator has granted Jio BlackRock Broking Private Limited (JBBPL) the certificate on June 25 to act as a stock broker.

JBBPL is a parent company of Jio BlackRock Investment Advisers. Jio BlackRock Investment Advisers is a 50:50 joint venture between JFS and BlackRock Inc.

As Jio BlackRock Investment Advisers had received licenses from the markets regulator to operate as in the mutual fund space and also act as an investment advisor, the stock broking licence will allow Jio BlackRock to “offer holistic investment solutions to Indian customers”, said the company in a statement.

How Jio BlackRock Came To Life

The development of SEBI certifying Jio BlackRock to operate in the brokerage space comes almost a year after BlackRock and JFS signed a JV to form wealth management and brokerage ventures.

Besides, in 2023, the two entities also came together to foray into the asset management space to set up Jio BlackRock Asset Management Pvt Ltd. At the time, the two entities infused $150 Mn each as an initial investment.

In March, MobiKwik also entered the stock broking space with its wholly owned subsidiary Mobikwik Securities Broking Private Limited

Earlier this month, Jio BlackRock also received a nod from the market regulator to operate as an investment advisor in India and in May SEBI greenlit Jio BlackRock to commence its operation in the mutual fund space, completing its full stack investment offerings. In January, BlackRock and JFS infused INR 117 Cr into the mutual fund business.

The wealth management company strengthened its operations by appointing George Heber Joseph as its chief investment officer last year. Joseph was brought in from JFS where he was serving as the head of special projects.

Jio BlackRock would be competing with the likes of wealthtech giants such as Zerodha, Groww, Angel One among others to compete in India’s investment tech market which is poised to become a $70 Bn opportunity by 2030.