Jio BlackRock Launches Open-Ended Overnight Fund At Rs 1000 Per Unit

Mumbai, June 16, 2025: Jio BlackRock Mutual Fund, a joint venture between Reliance Industries’ Jio Financial Services and global asset management behemoth BlackRock, has officially launched its first investment product: the JioBlackRock Overnight Fund. This open-ended debt scheme, designed to invest exclusively in overnight securities, is being offered at a New Fund Offer (NFO) price of ₹1,000 per unit. Following the NFO period, the fund will be available for continuous subscription and redemption on all business days.

Low-Risk, High-Liquidity For Short-Term Returns

The Jio BlackRock Overnight Fund is tailored for investors seeking regular income aligned with overnight call rates while prioritising exceptionally low interest rates and credit risk. It is classified under a Potential Risk Class of A-I as per SEBI’s classification matrix, signifying the lowest possible credit and interest rate risk. This makes it an ideal option for parking surplus funds for very short durations.

The fund’s investment objective is to generate income from a portfolio primarily composed of debt and money market instruments with overnight maturity. This includes instruments such as Tri-Party Repo (TREPS), reverse repos in government securities, and short-term Government Securities (G-Secs) and Treasury Bills (T-Bills). Crucially, the scheme explicitly prohibits investment in equity, derivatives, REITs, InvITs, or structured obligations, further solidifying its low-risk profile.

Investment Details and Liquidity

During the NFO, investors can apply via physical forms or online platforms, including ASBA (Applications Supported by Blocked Amount) through designated Self-Certified Syndicate Banks. After the NFO, transactions can be made through CAMS, MF Central, BSE StAR, NSE NMF II, MF Utilities, or directly via the AMC’s website and mobile app.

Fund Management and Compliance

The fund will be co-managed by Mr. Arun Ramachandran, Mr. Vikrant Mehta, and Mr. Siddharth Deb. All of them are experienced fixed-income professionals with deep experience across leading asset management companies.

This launch marks Jio BlackRock’s first scheme under its new asset management venture. The scheme complies fully with SEBI’s Mutual Fund Regulations, including the updated guidelines under the SEBI Master Circular dated June 27, 2024. The fund will not levy entry or exit loads and will incur no additional expenses from investor accounts during the NFO period, as all such costs are covered by the Asset Management Company (AMC).

Regulatory Features and Investor Safeguards

• No swing pricing or side pocketing applied initially, though provisions exist per SEBI rules.
• The fund will not engage in short selling, securities lending, or credit default swaps.
• Investors can use SIP, STP, SWP, Pause, and Top-up facilities, adding flexibility even to short-term deployments.

Target Corpus and Future Expansion

The fund aims to raise a minimum of ₹20 crore to become operational, with no cap on the maximum amount to be raised as it is an open-ended scheme. While an Income Distribution cum Capital Withdrawal (IDCW) option is not currently offered, the AMC has indicated it may be introduced in the future.

Share Price Effect

At around 2:45 P.M., on June 16th, the shares of Jio Financial Services were marginally up by 0.05%, or ₹0.15 and were trading at ₹294.20.

What’s Ahead?

Jio BlackRock’s debut with an ultra-safe overnight fund signals its intent to build trust with conservative investors first. More diversified schemes, such as liquid, ultra-short, or hybrid funds, may follow soon. Investors can expect a broader product lineup as the AMC builds scale and brand presence in India’s growing mutual fund landscape.

About the AMC

Jio BlackRock Mutual Fund, a joint venture between Reliance Industries’ Jio Financial Services and the global asset management giant BlackRock, is registered with the Securities and Exchange Board of India (SEBI) and headquartered in Mumbai. The overnight fund marks the beginning of its product pipeline as it prepares to roll out a diversified range of debt and equity schemes in the coming months.

For portfolio disclosures, expense ratios, and performance updates, investors can visit the AMC’s website at www.jioblackrockamc.com.

Note: This is not a guaranteed return scheme. Investors should consult their financial advisers before investing.

REF: https://www.sebi.gov.in/filings/mutual-funds/jun-2025/jioblackrock-overnight-fund_94603.html

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