“No reason why we can’t reach millions of customers”: Rob Goldstein on JioBlackRock AMC’s India opportunity

He said the opportunity lies in investing that aligns portfolios with individual objectives such as retirement or major life events, supported by automated portfolio construction and rebalancing.

• JioBlackRock aims to reach millions of Indian customers in coming years
• India's asset management sector lags in tech-led personalization, says Goldstein
• JioBlackRock hit one million customers in seven months since launch

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Rob Goldstein, Chief Operating officer at BlackRock says that JioBlackRock AMC could reach millions of customers in India in the coming years, pointing to the country’s scale and the scope to expand participation in capital markets. "I think we'd all agree that the mutual fund industry (in India) needs to be a lot bigger than under a trillion dollars, which it is today," he said, adding that in many regards India's opportunity in the space is just beginning.

“I don’t see any reason why, as we look forward one year, three years, five years, there can’t be many millions of Indians benefiting from the capabilities,” Goldstein said adding that many more people need to enter the capital markets in India and take “advantage of benefits of compounding returns.” He made these comments during a fireside chat during a JioBlackRock event in Mumbai on February 4.

Goldstein said India has embraced technology-led personalization across much of the consumer economy, but financial services and asset management have lagged behind.

“A lot of the use of technology in India for so much of the consumer experience is highly, personalized,” he said, adding that this level of customization has yet to be fully reflected in investing.

He said the opportunity lies in investing that aligns portfolios with individual objectives such as retirement or major life events, supported by automated portfolio construction and rebalancing.

Goldstein also highlighted the impact of incremental gains over time, noting that small reductions in costs or modest improvements in returns can materially change long-term outcomes.

“If you could save 10 basis points year after year with regard to expenses, and if you could generate half a percent, 1%, 2%, 3% of extra return, the effect could be profound,” he said.

JioBlackRock launched its Asset Management Company in India about seven months ago and has reached one million customers, a level of early scale Goldstein said would be difficult to achieve in most global markets.

“There are very few places in the world where that would even be a thing, that would even be an aspiration,” he said.