Jio Financial Services shares trade higher after announcement of firm entering insurance segment

Jio Financial Services shares: A day after Reliance Industries Limited Chairman Mukesh Ambani announced that Jio Financial Services (JFS) would enter the insurance segment, the stock of the demerged financial services arm of the oil-to-telecom conglomerate traded higher by 2.48 per cent at Rs 216.90 in the morning deals on Tuesday (August 29, 2023). 

In RIL's annual general meeting (AGM) on Monday (August 28, 2023), company chairman Ambani said that JFS would enter the insurance segment to offer simple and smart insurance products through categories such as life, general, and health insurance through a seamless digital interface. 

Ever since the JFS shares got listed on August 21 on the bourses, they have failed to live up to the hype around them at the time of launch.

The stock was down more than 20 per cent after the first four days in the stock market.

The shares continued their lacklustre show on Monday as well, closing 0.28 down.

But when Ambani announced later on Monday that JFS would make a foray into the insurance segment, there was speculation that it might start the day on a higher note.

On Tuesday, the prediction turned out to be true. It is yet to be seen if the share carries momentum throughout the day.