JioBlackRock Flexi Cap Fund: A Systematic Approach to Investing

The Investment Approach

The investment approach of the Scheme is to generate long term capital appreciation by investing in equity and equity related instruments across market capitalization.

The Systematic Approach

Unlike traditional investment approach that rely on human judgment and fundamental analysis, the JioBlackRock Flexi Cap Fund will use a systematic approach. The systematic approach involves utilizing inputs from the Fund Managers and signal research scores shared by BlackRock Inc., which are based on various factors such as fundamental momentum, quality, sentiment, and valuations. Such signal research scores are derived using big data (which includes traditional data and alternative data), and leverages machine learning, a form of artificial intelligence and advanced data analytics, which are constantly being improved. Signals are selected based on their economic rationale and demonstrated statistical relevance.

Does this sound complicated?

Let’s explain it another way. Systematic investing removes the bias that fund managers typically bring as human beings. It follows a disciplined approach that uses data and information to build a portfolio that has potential to compound value over time. Does this mean that the fund just runs on autopilot? Absolutely not. Our Fund Managers constantly monitor portfolio risk and exposures, check that the systematic output is in line with market trends and sentiments and aims to remove any human biases.

Systematic Investing: An Investment Strategy that Learns and Improves

Technology, the explosion of data, and artificial intelligence (AI) are shaping the investment strategies of the future. The digitization of the global economy offers valuable data sets, and advanced techniques that enable us to process these into novel investment insights.

Systematic investing combines human knowledge, experience, and creativity with the efficiency of machines. In a traditional strategy, you usually have a limited set of research analysts that can consume a limited number of research reports and news on a particular stock/ sector on any given day. Think of this systematic strategy as being able to consume multiple research reports and news article written about every single stock within consideration, every single day. This unique blend of technology and human expertise can help to overcome human behavioural biases and allows systematic investing approaches to generate new insights and create investment models that can learn and improve.

Example of the Use of LLM in Signal Research

Source: Internal. For illustrative purposes only. LLM stands for Large Language Model. Large Language Models (LLMs) can analyse financial news, earnings calls, and social media chatter to detect sentiment shifts—adding another layer of insight to the investment process.

The Role of the Fund Manager

While the systematic approach relies on data and algorithms, the human touch is still crucial. The fund manager plays a vital role in deciding which companies to include in the fund. Additionally, they ensure that the output of systematic approach is in line with the expected risks, exposures and market trends. In volatile periods, they can intervene to further reduce risk or curtail the exposure to any factor they deem appropriate.

Bottom Line - Why invest in the JioBlackRock Flexi Cap Fund Now?

The Indian equity market has grown by 12.91% over the last decade, with an explosion of information that is humanly difficult to evaluate in real-time. The JioBlackRock Flexi Cap Fund leverages BlackRock's innovations to harness this data at scale and in real-time. This makes it an ideal choice for investors looking for a modern, diversified investment strategy that aims to combine the human expertise and machine efficiency

Investing doesn't have to be a complex or daunting task. With the JioBlackRock Flexi Cap Fund, you can complement your portfolio with a differentiated approach.

*Nifty 500 10-year CAGR returns sourced from NSE Indices as of 31st August 2025.

Disclaimer

*The systematic approach involves utilizing inputs from the Fund Managers and signal research scores shared by BlackRock Inc. Such signal research scores are derived using big data (which includes traditional data and alternative data), and leverages machine learning, a form of artificial intelligence and advanced data analytics, which are constantly being improved. Signals are selected based on their economic rationale and demonstrated statistical relevance.

For detailed investment strategy, refer to scheme information document of the scheme.

*Investors should consult their financial advisors if in doubt whether the product is suitable for them.

The above product labelling assigned during the New Fund Offer (NFO) is based on an internal assessment of the scheme characteristics or model portfolio and the same may vary post NFO when the actual investments are made.

This document is for informational purposes only and does not constitute investment advice or constitute an offer or solicitation to sell or buy any securities. This document is for intended recipients only. The views expressed herein are based on internal data, publicly available information and other sources believed to be reliable. The document does not have regard to specific investment objectives, financial situation and the particular needs of any specific person who may receive this document. There is no assurance that any investment strategy or Scheme will achieve its objectives or avoid losses. Certain statements in this document may contain forward-looking information, including projections, estimates, and other statements regarding future events or the future financial performance of the Scheme. These statements are based on current expectations and assumptions and actual results may differ materially due to various risks and uncertainties. The value of investments may fluctuate and there is no assurance or guarantee that the investment objectives of the Scheme will be achieved. Past performance of the sponsors, asset management company or any Scheme of the fund does not guarantee or indicate future results/returns. Neither the AMC, Trustee Company, sponsors or its affiliates nor any person connected with them shall accept any liability arising from the use of this document.

Investors are advised to read all scheme-related documents carefully before investing. Investment in mutual funds involves risks, including the possible loss of principal.

The recipient(s) before acting on any information herein should make his/her/their own investigation and seek appropriate professional advice and shall alone be fully responsible / liable for any decision taken on the basis of information contained herein.

Mutual Fund investments are subject to market risks, read all scheme related documents carefully.