Rakesh Jhunjhunwala was the self-made stock-market emperor. He died at the age of 62. During his four-decade career, this self-made investor billionaire was recognized as “India’s Warren Buffett” for his long history of investments in undervalued but profitable corporations.
The prosperity of Jhunjhunwala, an accountant, arrived at the investment outlet to symbolize the chances established by the roaring development and wealth production that emerged from India’s economic liberalisation in the 1990s.
He was outspoken and relentlessly positive about the possibilities for India’s frugality and corporations. As a result, the stock market emperor obtained a loyal following of marketable investors who nearly tracked his announcements, suggestions, and trades as participation in the stock market ultimately made them prosperous.
The early life of Rakesh Jhunjhunwala
Jhunjhunwala was born in 1960 in the northwestern state of Rajasthan. He was from a middle-class family, and his father was a tax officer. The stock market king was acquainted as an accountant and started subsidising Dalal Street, the Mumbai address of the Bombay Stock Exchange, back in the 1980s. He reportedly began investing with Rs5,000, which is $63 in equity.
Jhunjhunwala made a title for himself by exceeding bets on companies such as Titan, a Tata-owned watch and jewellery maker, and Crisil, an Indian rating agency.
Jhunjhunwala and his spouse, Rekha Jhunjhunwala, have compelled investments in the share market via their trading company Rare Enterprises. Rare Enterprise was founded in 2003 and it is based in Mumbai. Their company, Rare Enterprise, obtained its name from the first two initials of his and his wife Rekha’s names which are ‘Ra’ from Rakesh and ‘Re’ from Rekha. This is a private capital investment and asset management company that invests in biotechnology, education, digital entertainment, healthcare and hospitality.
The latest reports on the shareholding pattern noted that Rakesh Jhunjhunwala and their assistants publicly acquired 32 stocks with a total value of over ₹31,904.8 crores as of the year 2022.
Jhunjhunwala was recognized for his never-ending affection for Titan Company which is Titan Industries, till 2013, which started 21 years ago. The shareholding acknowledgment record of Titan corporation indicates that Jhunjhunwala, with his wife Rekha, carried a 1.57% stake in Titan corporation in the month of June of the year 2002. Jhunjhunwala’s latest exposure to the bourses occupied a 5.1% stake in the watch-to-jewellery market that is Titan Company.
In July of 2022, his largest investment was in Titan Company and its worth is ₹ 11,086.9 crores and is attended by Metro Brands for 3,348.8 crores and Star Health and Allied Insurance Company, which is for around ₹ 7,017.5 crores.
Fortunes of Rakesh Jhunjhunwala
Jhunjhunwala was the first Indian to evolve to be a billionaire by just stock market investing in a frugality long overlooked by family-owned industry houses. His prosperity currently stands at $5.8bn, and this is according to Forbes.
Jhunjhunwala furthermore captivated the scrutiny of commercial investors for his colourful and occasionally profanity-laced pronouncements on Indian stocks, along with his tendency for luxurious cars and whiskies.
Jhunjhunwala’s portfolio furthermore comprises–
- Escorts Kubota Ltd
- Crisil Ltd
- Anant Raj
- Man Infraconstruction
- Agro Tech Foods
- Canara Bank
- Aptech Ltd
- Edelweiss Financial Services Ltd
- Indiabulls Housing Finance Ltd
- Fortis Healthcare Ltd
- Jubilant Pharmova Ltd
- Jubilant Ingrevia
- Karur Vysya Bank Ltd
- D B Realty Ltd
- Orient Cement
- Prozone Intu Properties Ltd
- Va Tech Wabag
- Dishman Carbogen Amis Ltd
- Federal Bank Geojit Financial Services Ltd
- Autoline Industries Ltd
- NCC Ltd
Why Rakesh Jhunjhunwala Was Dubbed As ‘India’s Warren Buffett’
Warren Buffett is one of the massive investors and corporate tycoons in the US and the existing CEO of Berkshire Hathaway, which is frequently referred to as the “Oracle of Omaha ”. And through his successful investment records, his Indian companion, Rakesh Jhunjhunwala, evolved to be another the “Oracle of Dalal Street ”. The resemblance between the two individualists was their midland touch and the crucial proficiency to assess market modifications and invest accordingly. Rates of shares would soar in the minute, but these pioneers would also purchase them. The Indian bull was one of the initial eras of investors who profited from the 1991 liberal reforms.
- In 1985, when Rakesh was just 25, he purchased his first shares of Tata Tea at Rs. 43 per share. During three months, the rate increased to Rs. 143 per share. On the other hand, Warren Buffett acquired his first share when he was just 11 years old and filed his first share when he was only 13 years of age.
- Rakesh Jhunjhunwala acquired a long catalogue of corporations comprising Tata group’s Titan Company Ltd. The stock of this acquired company is the largest ownership in Rakesh Jhunjhunwala’s name, in terms of proportion. Warren Buffett, too, operates Berkshire Hathaway, which acquires dozens of corporations, including restaurant chain Dairy Queen, Insurer Geico, and battery maker Duracell.
- Big Bull furthermore acquired Tata Motors, Geojit Financial Services, and Indian Hotels and had newly summarised his company Star Health and allied insurance on the stock trades.
- Rakesh Jhunjhunwala experimented in the aviation area with Akasa Air which took its first flight this year.
- Warren Buffett’s father was a US Congressman; on the other hand, Jhunjhunwala’s father was an Income Tax Commissioner.
The considerable resemblance between the two was their long-term investment techniques. Both investment tycoons gave identical guidance when it came to investments.