Who was Rakesh Jhunjhunwala and how he became a big bull of Indian stock market. He was also known as Dalal Street Mogul. From a small CA how he became India's richest man, know behind it.
New Delhi: ‘India’s Warren Buffet’ and One of the country’s most successful investors and legendary businessman Rakesh Jhunjhunwala passed away this morning. He breathed his last at Mumbai’s Bridge Candy Hospital. Earlier, he was admitted to the hospital after his health deteriorated. Doctors were trying to save him, but his life could not be saved. It is being told that he died due to multi-organ failure. It was only after his health deteriorated that he was admitted to Mumbai’s Bridge Candy Hospital last evening.
Story of Rakesh Jhunjhunwala and how he became Dalal Street Mogul:
Rakesh Jhunjhunwala was born in the year 1960 in Mumbai. His father worked in the Income Tax Department. Along with this, his father also used to invest money in the stock market. Rakesh Jhunjhunwala did a CA course from the Institute of Chartered Accountants of India in 1985. Like his father, he was also fond of investing money in the stock market.
When he asked for money to invest in the market, his father refused. After this, the first step was taken in the stock market in the year 1985. Rakesh Jhunjhunwala started investing in the stock market. A risk-taker right from the beginning, Jhunjhunwala invested Rs 5,000 as capital in 1985 and by September 2018, his capital had inflated to Rs 11,000 crore.
The ‘Big Bull’ of Dalal Street earned his first big profit in 1986 when he bought 5,000 shares of Tata Tea at Rs 43. The stock rose to Rs 143 within three months and he earned Rs 20-25 lakh, a three-times profit.
Over the years, Jhunjhunwala successfully invested in some of biggest stocks including–Titan, CRISIL, Sesa Goa, and Praj Industries.
His stock prices fell by 30% after the 2008 global recession, but he eventually recovered from the loss by 2012.
Included in the list of 50 richest people of India
Forbes releases the list of the world’s richest people every year, which also includes the name of Rakesh Jhunjhunwala. He is included in the list of richest industrialists of India. He was the 36th richest person in India. His total net worth is 40 thousand crores. He is called the Warren Buffett of India. In today’s time, his profile included many companies like TV18, DB Realty, Indian Hotels, Indiabulls Housing Finance, Escorts Limited, Titan etc.
Tata competes with Akasa Airlines
Jhunjhunwala started his own airline a few days back, which is named Akasa Air. The interesting thing is that through this airline, he was going to give competition to the country’s biggest aviation sector company Tata. Recently Tata also bought Air India. In such a situation, there was going to be a direct competition between Tata and Akasa Air.
Jhunjhunwala’s latest stint as an investor and promoter was Akasa Air, that was launched just last week. He called it “not a low-cost airline “but a “frugal airline”. Shortly after the launch, even as Jhunjhunwala said he was ready for failure, he was confident of aviation stocks rising in the near future. Even as many remained cautious over the Indian markets amid a current global slowdown, Jhunjhunwala remained positive that Sensex and Nifty would continue to grow despite the challenges. “I think the (domestic) stock markets will grow regardless of global developments,” he said in a recent interview. He also added that the pace at which Dalal Street will grow will be a tad bit slower.
Jhunjhunwala will be missed by the country and more so, by the investor market, for his vision and confidence as an investor and his optimistic outlook for the Indian market. He will be remembered as the ‘Big Bull’ of Dalal Street and Índia’s Warren Buffet’.