JioBlackRock Mutual Fund will open its latest offering, the JioBlackRock Arbitrage Fund, for subscription on December 9, 2025. The scheme is structured to capture arbitrage opportunities arising from pricing differences between cash and derivatives markets while maintaining part of the portfolio in debt instruments.
Positioned as a low-risk investment option, the fund is designed for investors seeking short-term, stability-focused allocation.
NFO Window and Scheme Objective
The New Fund Offer (NFO) will open on Tuesday, December 9, and after unit allotment, the fund is expected to reopen for ongoing purchases and redemptions within five working days.
The investment objective is to generate returns by exploiting arbitrage opportunities between spot and futures prices. Any portfolio portion not deployed in arbitrage strategies may be invested in debt and money market instruments.
The scheme will track the Nifty 50 Arbitrage (TRI) Index and will be managed by Anand Shah, Haresh Mehta, Siddharth Deb, and Arun Ramachandran. It will be available only in the Direct Plan – Growth option.
Asset Allocation Structure
The fund will allocate:
- 65%–100% to equity and equity-related instruments, including derivatives
- 0%–35% to debt and money market securities, including collateral or margins for derivatives
The allocation may shift depending on the availability of arbitrage opportunities.
Minimum investment starts at ₹500 for lump sum applications, while SIPs also begin at ₹500, with subsequent investments allowed in increments of Re 1.
Arbitrage Strategies Proposed
The scheme may use a mix of arbitrage and hedging techniques, including:
- Cash–futures arbitrage
- Index arbitrage
- Calendar spreads
- Hedging or protection strategies
- Merger or event-driven arbitrage
- Convertible arbitrage, where applicable
- Covered call structures
- Corporate action–based opportunities
Risk Classification
According to the scheme documents, the JioBlackRock Arbitrage Fund is categorized as “Low Risk” on the riskometer.
The offering will be available for subscription during the NFO period before transitioning to regular purchase and redemption cycles.
Disclaimer:
This article is intended solely for educational and informational purposes. The securities or companies mentioned are provided as examples and should not be considered as recommendations. Nothing contained herein constitutes personal financial advice or investment recommendations. Readers are advised to conduct their own research and consult a qualified financial advisor before making any investment decisions.
Investments in securities markets are subject to market risks. Please read all related documents carefully before investing.