Friday, October 8, 2010

Interview of Rakesh Jhunjhunwala

Excerpts........

So what would you tell retail investors watching you today? Just buy equities at current levels, wait for a correction, buy some equity and some gold, what was a good portfolio allocation according to you?

A: Have faith in India and invest in MIPs.
Q: MIP or SIP?
A: Systematic Investment Plan or Monthly Investment Plan. I think that is the best way.
Q: Mutual funds?
A: I think for a retail investor, don’t trade please.

Q: Why do you say don’t trade? Is there a risk of a correction in the near term?

A: Because I think 98% of retail people lose money in trade. Whether correction - no correction, bull phase – bear phase. Everyone has a sad story. The proof is in the statistics and we know people will say, you trade yourself but stop others from trading, I say dad used to drink whisky and asked us to refrain from it.

Q: What about HNIs? What would you tell them who are slightly more sophisticated?

A: Don’t trade.

Q: Don’t trade still?
A: Invest, have faith in India. It doesn’t change. It’s the same. Expect a reasonable return, invest for the long term, take expert advice, have faith in equities and India. That’s what I have done.

Q: But you have traded also and created a lot of wealth for yourself.
A: I have traded because it’s my 24 hour profession and I am doing it for the last 25 years. Trading goes against basic human nature. You have got to die 1000 deaths and 1000 egos in order to be a good trader. It’s not easy for every human.

For full interview...


For video


No comments:

Chronological order

Followers