Prudential Financial Inc, one of the largest U.S. life insurers, and India's most valuable real estate firm, DLF, are to set up an asset management joint venture, the two firms said in a statement.

Prudential will have a 61 percent stake in the proposed firm and DLF the remaining 39 percent, it said on Tuesday.

We expect a total investment of $50 million, DLF's vice chairman Rajiv Singh told reporters, referring to the hopes of both firms.

Singh expects to get clearance from the regulators and plans to start operations next year. DLF plans to launch a real estate investment trust once Indian authorities permit, he said.

He also said the two companies also expect to start a life insurance business next year.

(Reporting by C. Jacob Kuncheria, Editing by Mark Williams)