Rakesh Jhunjhunwala, often known as ‘Big Bull’ or “Indian Warren Buffett” is one of India’s biggest billionaire business magnates, stock traders, and investors along with being the Chairman of Hungama Media and Aptech. He also holds and sits on the Board of Directors of firms such as – Viceroy Hotels, Concord Biotech, Provogue India, and Geojit Financial Services. Rakesh Jhujhunwala has witnessed a long and bumpy road to success and we are here with a glimpse into his journey that will surely motivate you.
When Father Both Supported And Denied Him
Born on July 5th, 1960, Rakesh grew up in Mumbai where his father was posted as an Income Tax Officer. His interest in the stock market was instilled in him by his father as he used to talk to Rakesh about stocks, fluctuations in stock price and made him read newspapers. He then decided to pursue a career in the stock market.
After completing his graduation from Sydenham College in 1985, he moved on to get enrolled at the Institute of Chartered Accountants of India and after that, he proposed his desire to take the stock market as a career in front of his father. His father turned out to be very supportive of his choice, except he refused to help Rakesh with any kind of finances.
How He Coped With The Challenges And Emerged As A Diamond
He later borrowed Rs. 2.5 lakhs from his brother’s clients and promised to return the capital with higher returns compared with bank fixed deposits. Jhunjhunwala entered the world of the stock market when he was in college and after attaining the degree, he decided to plunge headlong into Dalal Street. He started his career in the stock market by investing Rs 5,000 as capital in 1985 and by the time of September 2018, that capital inflated to Rs 11,000 crore.
Jhunjhunwala was a risk-taker right from the start and in the next few years he gained his first big profit of Rs 0.5 million in 1986 when he bought nearly 5,000 shares of Tata Tea at just Rs 43 and the stock later rose to Rs 143 within three months. He earned over three-time profit. In three years the stocks rallied to 20-25 lakhs.
Jhunjhunwala’s Visionary Design Making
Rakesh runs a privately-owned stock trading firm called RARE Enterprises.
The name of the firm is derived from the initials of Rakesh and his wife Rekha Jhunjhunwala.
During his long successful career in the stock market, Jhunjhunwala has invested in numerous notable companies. One of the prominent companies is Titan in which he reportedly holds about 4.8% stock. Similarly, he has invested in CRISIL, Aurobindo Pharma, Praj Industries, NCC, Aptech Limited, Ion Exchange, MCX, Fortis Healthcare, Lupin, VIP Industries, Geojit Financial Services, Rallis India, Jubilant Life Sciences, etc.
Contribution To The Community
Being the Big Bull of the Indian stock market, Jhujhunwala indulges in philanthropic work like nutrition and education. He also plans to give away 25% of his overall wealth to charity by the year 2020.
Rakesh Jhunjhunwala has his fair share of contribution to the community as he contributes to St Jude, which runs shelters for cancer-affected children, Agastya International Foundation, and Arpan, an organization that helps in creating awareness among children on sexual exploitation.
He also contributes to the Ashoka University, Friends of Tribals Society, and Olympic Gold Quest. He is currently planning to build an eye hospital in Navi Mumbai, which will perform 15,000 eye surgeries free of cost.
What Drives The Big Bull Of India?
He currently has holdings in 37 stocks and his current net worth is estimated to be Rs 19, 695.3 crores. With being the Chairman of an Indian digital entertainment company namely Hungama digital media he has produced movies like Shamitabh, English-vinglish, and Ki and Ka.
Reaching upto such a high position in one of the most competitive markets of the world is not an easy task nor does it happen overnight. Rakesh beholds certain leadership qualities and values that have made him what he is today.
Rakesh Jhunjhunwala does not believe in comparison. He just sits tight on his investments, he doesn’t care whether the stock he has owned is going up or down.
He believes in thoroughly understanding the assignment. Mr Jhunjhunwala does his whole research before investing in a stock, and once he has done the homework, he invests in the company and sits on his investment for a really long time. His average holding period is more than 3 years.
He has a sharp vision for the future and doesn’t rush into things. He doesn’t sell the stock just because it has risen 100% over a year unless there are serious challenges with the future growth of the company. During the crisis in airline stocks, SpiceJet lost 50% in value but he didn’t sell a single stock.
Overall, the success story of Rakesh Jhunjhunwala is something to get inspired by. His visionary and peak skills have gained him the title of Big Bull in India and he surely has come a long way with impeccable work to become what he is today.