Mumbai: Veteran investor Rakesh Jhunjhunwala passed away on Sunday morning at the age of 62. Rakesh Jhunjhunwala was suffering from several health problems and was discharged from the hospital a few weeks ago. He was last seen at the launch of Akasa Air. Jhunjhunwala’s relatives took him to the hospital on Sunday morning after his health deteriorated, where he breathed his last. An investor with a Midas touch was called the Warren Buffet of India.
He was a trader as well as a chartered accountant, and one of the richest men in the country. Rakesh Jhunjhunwala was the chairman of Hungama Media and Aptech, as well as the director of Viceroy Hotels, Concorde Biotech, Provogue India, and Geojit Financial Services. Recently he launched Akasa Airlines. Billionaire investor Rakesh Jhunjhunwala had invested $50 million in Akasa Air for a 40% stake.
Rakesh Jhunjhunwala started trying his luck in the stock market when he was in college. He joined the Institute of Chartered Accountants of India, but after graduation decided to dive into Dalal Street for the first time. Jhunjhunwala invested Rs 5,000 in the capital in 1985. That capital had increased to Rs 11,000 crore by September 2018. After hearing his father discussing the stock market with friends, Rakesh Jhunjhunwala became interested in it.
Who was Rakesh Jhunjhunwala
Jhunjhunwala started dabbling with the stock market when he was in college. He enrolled at the Institute of Chartered Accountants of India but after attaining the degree, he decided to plunge headlong into Dalal street. In 1985, Jhunjhunwala invested Rs 5,000 as capital. By September 2018, that capital had inflated to Rs 11,000 crore.
Jhunjhunwala developed an interest in the stock market after listening to his father discuss it with his friends. Quoting his father, Jhunjhunwala said his father told him to read newspapers regularly as it was the news that made the stock market fluctuate. While his father allowed him to dabble in the stock market, he refused to give him financial aid and forbade him to ask friends for money.
But Jhunjhunwala was a risk-taker right from the start. He borrowed money from his brother’s clients and promised to return the capital with higher returns compared with bank fixed deposits.
He earned his first big profit in 1986 when he bought 5,000 shares of Tata Tea at Rs 43 and the stock rose to Rs 143 within three months. He earned over three-times profit. In three years he earned 20-25 lakh.
Over the years, Jhunjhunwala successfully invested in Titan, CRISIL, Sesa Goa, Praj Industries, Aurobindo Pharma, and NCC.
After the 2008 global recession, his stock prices fell by 30% but he eventually recovered from the loss by 2012.
Rakesh Jhunjhunwala’s personal life and education
Jhunjhunwala was born on July 5, 1960. He grew up in Mumbai, where his father was posted as an Income Tax Officer. After graduating from Sydenham College in 1985, he enrolled at the Institute of Chartered Accountants of India. He is married to Rekha Jhunjunwala, who is also a stock market investor.
