Jio BlackRock to Launch First ETFs in India by August
Jio BlackRock Asset Management plans to launch its first equity-focused exchange-traded funds (ETFs) in India by August, according to company objectives. The joint venture between Mukesh Ambani’s Jio Financial Services and BlackRock seeks to replicate the global success of passive investing in a market where ETFs are still nascent.
The firm has amassed approximately 180 billion rupees ($1.9 billion) in assets under management within roughly a year of its launch. It achieved this by establishing a foundation in active equity funds, debt-index funds, and cash.
Why is Jio BlackRock expanding into ETFs?
The move leverages BlackRock’s global scale, as the firm oversees about $5.1 trillion in ETF assets globally. These assets represent more than a third of BlackRock’s total assets under management.
Sid Swaminathan, managing director and chief executive officer of Jio BlackRock Asset Management, told Reuters that ETFs are a “long-term play.” He noted that while the Indian market is predominantly institutional, retail investors are beginning to increase their involvement.
How does the Indian ETF market compare to the U.S.?
Data from the mutual fund industry association shows passive mutual fund assets in India stood at 15.20 trillion rupees in April. This figure represents about 18.5% of the industry’s 81.94 trillion rupees in average assets under management.
In contrast, equity index funds and ETFs account for approximately 45.3% of long-term mutual fund and ETF assets in the United States.
Swaminathan stated that more innovative strategies and tighter bid-offer spreads could improve liquidity and increase retail participation in Indian ETFs.
What is the strategy for GIFT City and complex products?
Jio BlackRock intends to launch products in the Gujarat International Finance Tec-City (GIFT City) within the next couple of months. This low-tax financial hub competes with international centers like Dubai and Singapore.
For these GIFT City products and other special investment funds, the company is using a distributor-led model rather than a digital-first approach. This decision reflects the continued importance of advisers in selling higher-ticket, complex offerings.
What market conditions are influencing these launches?
Market volatility has shaped the timing of these priorities. Swaminathan noted that India’s benchmark Nifty 50 has fallen 11.1% so far in 2026, driven by moderating earnings growth, higher oil prices, and foreign outflows.
This downturn contrasts with the MSCI’s Asia-Pacific ex-Japan index, which has risen 18.2% during the same period.
What may happen next?
The entry of a global leader in passive management could lead to increased competition among India’s top asset managers. If retail participation grows as Swaminathan expects, the percentage of passive assets in the Indian market may rise toward levels seen in the U.S.
The upcoming GIFT City launches may serve as a test case for how the joint venture handles high-net-worth distributions outside of its digital channels.
Frequently Asked Questions
When will Jio BlackRock launch its first ETFs in India?
The company plans to launch its first equity-focused ETFs by August.
What is the current size of Jio BlackRock’s assets under management?
The firm has amassed about 180 billion rupees ($1.9 billion) in assets under management in roughly a year since its launch.
Why is Jio BlackRock using a distributor-led model for some products?
The company adopted this model for complex offerings and GIFT City products because advisers continue to play a key role in selling higher-ticket products.
Do you believe retail investors in India will shift toward passive ETFs as quickly as they have in the U.S. market?