Jio finance being added to nifty 50, still a mystery?

Jio Financial Services Limited (JFSL) was listed in August 2023 after being demerged from Reliance Industries Limited (RIL) to unlock the value of RIL’s financial services business. JFSL formed a joint venture with BlackRock, the world’s largest asset management company. Both parties committed to investing $300 million (₹2,500 crore) each as an initial investment to build a “digital-first asset management business.” All of this seems promising, but what exactly is Jio Finance trying to become? As of now, only ₹117 crore has been invested in JFSL, with more to come over the next several years. It is currently expanding into multiple sectors: 1. Asset & Wealth Management. SEBI has approved JFSL to launch its first mutual fund in 2025. 2. Lending & Credit Services. Plans to offer consumer loans, SME financing, and secured loans. 3. Insurance. Exploring potential entry into life, health, and general insurance with a digital-first approach. 4. Payments & Banking. Jio Payments Bank, a joint venture with SBI, is already operational, offering UPI and banking services. 5. Stock Broking & Advisory. Launched Jio BlackRock Broking Private Limited to offer stock trading and advisory services. 6. NBFC. JFSL has NBFC status, allowing it to lend directly without being a bank. Expected to enter housing finance, auto loans, and SME loans. Here's where the real uncertainty comes. JFSL is in every sector and no doubt might disrupt this too being a conglomerate but a company like jio which is barely operational is replacing Bharat Petroleum a well established company While JFSL is expanding aggressively, its business strategy lacks clear direction. JFSL holds a 6.1% stake in Reliance Industries Limited (RIL). With RIL’s current market cap at ₹17.4 lakh crore, JFSL’s stake alone is worth nearly ₹1.4 lakh crore. However, JFSL’s own market cap was initially just ₹20,000 crore, which means that its valuation was massively inflated due to its RIL stake, rather than its core financial services business. JFSL is trying to enter every financial sector at once, asset management, broking, lending, payments, insurance, NBFC, and fintech instead of focusing on one vertical and expanding from there Even its Jio BlackRock AMC got SEBI approval, yet the mutual fund is still not operational, and its revenues, profits, and assets remain uncertain and nothing is sure about the company's balance sheet yet about what's happening. Added to Nifty 50 But Does It Deserve It? Despite its lack of execution, JFSL will be added to the Nifty 50 on March 28, 2025, replacing BPCL. Zomato will replace Britannia in the same reshuffle, might make a post on it later. JFSL’s inclusion is primarily based on its free-float market capitalization, not its financial performance. It recently corrected due to overvaluation. Despite holding only 6.1% of RIL, it was given an inflated market cap and is now being added to Nifty 50. Jio Financial Services just seems to me like a reliance backed company without any plans in the near future just going into every sector possible but at this point the company just seems too new to be added to the nifty 50, what are your thoughts?