Wisdom From India’s Warren Buffet – Rakesh Jhunjhunwala – Strategy With RS
Do you have Rs 5000 to spare? Do you wish to make it Rs 5000+ crore? Of course, over time!
Sounds too good to be true? Then let me introduce you to Rakesh Jhunjhunwala (RJ), who has over years achieved this miracle.
Let me share with you his ‘leadership mantra & wisdom’ following which he has earned the crown of being labelled India’s Warren Buffet?
1. You cannot make money on borrowed knowledge: A young interviewer was interviewing RJ on a business channel. As the interview was winding up, she posed a question to him, ‘I cannot let you go till you give me tips for making money on stock market?’ RJ gave her a benign look & said, ‘Young lady I can give you a tip for making money but you cannot make money on borrowed knowledge’. The lady nodded at RJ & closed the show! Lesson for you: To be successful, you should attempt to understand the ‘Why’ of things instead of just knowing ‘how’ of things.
2. You cannot join all the parties in town: These days, many stock prices are touching their 52-week highs. Seeing this would make many of you feel miserable at the lost chances! Lesson for you: It is humanly impossible to join all parties in town; a wise person chooses with prudence the party she wishes to join & thereafter stays invested in it for long periods of time!
3. Hold tight on to your investment: You should give your investment time to mature because it is only over time that stock market rewards ‘patient’ investor.
4. Learn from your mistakes. Learn to take a loss: No matter how brilliant you are in identifying stocks which lay golden eggs; there will be occasions when you would end up picking a dud! Do not fret – learn from your mistakes & most importantly learn to take a loss!
5. Inculcate an investor’s, not a trader’s mindset: An investor measures his investment in years not days. While a trader measures his investment in days! Bottom line: Patience is a virtue & stock market bountifully rewards patient investors.
6. Compounding is the 7th wonder of the world: Remember that compounding is not a get rich scheme. It takes time to take deliver results!
7. Invest in a business, not a company: Remember to invest in a business, not in a company! Let me get Warren Buffet to share his thought on this – if you are right about the business, you don’t have to worry about anything else.
Do you agree with the investment philosophy of Rakesh Jhunjhunwala? Do share your investment philosophy & make the discussion richer.
Friends I am doing my next workshop – Becoming the Next Celebrated Leader –
on 23rd July’17 (Sunday) between 10 – 2 pm at Lower Parel, Mumbai.
If you wish to book your seat please click on the link here