Rakesh Jhunjhunwala Portfolio – SensexPanel

Rakesh Jhunjhunwala was a renowned Indian billionaire investor, trader, and chartered accountant.

Rakesh Jhunjhunwala was a renowned Indian billionaire investor, trader, and chartered accountant, often referred to as the “Big Bull” of the #Indianstockmarkets. Born on July 5, 1960, he started investing in the stock market while he was still in college, during the early 1980s. With an initial investment of just ₹5,000, his investment value grew to be worth billions of dollars over the decades, making him one of the most successful and respected investors in India.

Apart from his investments in the stock market, Jhunjhunwala was also a promoter of several companies. He was involved in the founding of Rare Enterprises, an asset management firm named using the first two initials of his name and his wife’s name, Rekha Jhunjhunwala.

He passed away on August 14, 2022, leaving behind a legacy in the Indian financial markets that continues to inspire and guide future generations of investors.

Rakesh Jhunjhunwala’s investment philosophy

Rakesh Jhunjhunwala’s investment approach was characterized by a mix of long-term investing and active trading, underpinned by a deep understanding of the stock market, a keen sense of business acumen, and an unshakeable belief in India’s growth story.

His investment philosophy is distilled into several key principles.

1. Long-Term Investing: Jhunjhunwala was a firm believer in the power of compounding and the importance of holding investments over the long term. He often emphasized the value of patience in investing, advising investors to give their investments enough time to mature and yield substantial returns.
2. Fundamental Analysis: He placed a strong emphasis on fundamental analysis, focusing on companies with robust business models, good governance, strong balance sheets, and competitive advantages in their respective industries.
3. Diversification: While Jhunjhunwala took concentrated bets in certain sectors, his overall portfolio was diversified across various industries such as financial services, technology, retail, and pharmaceuticals. This diversification helped mitigate risks while allowing him to capitalize on growth opportunities across different sectors.
4. Risk Management: Despite his aggressive investment style, Jhunjhunwala was mindful of the risks. He often spoke about the importance of risk management and the need to be prepared for market volatility. He was known to invest only what he could afford to lose, a principle that helped him navigate through tough market conditions.
5. Market Trends and Economic Indicators: Jhunjhunwala had a keen eye for market trends and economic indicators. He believed in investing in sectors that stood to benefit from India’s economic growth and demographic trends.
6. Value Investing with a Growth Perspective: He combined the principles of value investing with a focus on growth, looking for companies that were not just undervalued but also had the potential for significant earnings growth in the future.

Jhunjhunwala’s Investment Portfolio

Rakesh Jhunjhunwala publicly held 20 stocks with a net worth of over Rs 42,695.7 crore as of Dec 2023. Jhunjhunwala’s investments span several key sectors, notably including financial services, healthcare, construction, and real estate. These choices reflect his strategy of leveraging India’s economic growth and demographic trends, focusing on sectors with long-term growth potential due to increasing demand for better housing, healthcare, and financial services.

Notable Holdings

Rakesh Jhunjhunwala’s notable holdings as of December 2023 include a wide range of companies. Here is a list of his notable holdings.

Titan Company Ltd.

#Titancompanyltd ., a part of the Tata Group, is a leading Indian consumer goods company known for its watches, jewelry, and eyewear. Rakesh Jhunjhunwala’s significant investment in Titan, with a 5.37% stake valued at ₹17,609.11 crore, reflects his confidence in its business model and growth potential. Titan is renowned for its strong brand presence, innovative products, and extensive retail network, making it a key player in the luxury and lifestyle segments in India.

Tata Motors Ltd.

Rakesh Jhunjhunwala’s investment in Tata Motors Ltd., with a 1.60% stake valued at ₹4,992.22 crore, showcases his strategic investment in the automotive sector. #TataMotors is a leading global automobile manufacturer, known for its diverse portfolio, including passenger cars, trucks, vans, coaches, buses, luxury cars, and construction equipment. Jhunjhunwala’s stake in Tata Motors highlights his belief in the company’s potential for growth, especially considering its emphasis on electric vehicles and global expansion.

Canara Bank

Rakesh Jhunjhunwala’s investment in Canara Bank, holding a 2.07% stake valued at ₹2,182.35 crore, illustrates his confidence in the banking sector’s potential. Canara Bank Bank, a leading public sector bank in India, is known for its wide range of financial services and products, catering to various customer needs, including retail, corporate, and international banking. This investment underscores Jhunjhunwala’s strategy of diversifying his portfolio across different sectors, including financial services, where he anticipates growth and value.

The Federal Bank Ltd.

Rakesh Jhunjhunwala’s investment in The Federal Bank Ltd., with a 3.02% stake valued at ₹1,108.52 crore as of December 2023, showcases his strategic investment approach in the financial sector. The #FederalBank, a major Indian commercial bank in the private sector, offers a wide range of banking services and products to various customer segments. This investment aligns with Jhunjhunwala’s philosophy of investing in fundamentally strong companies with a growth potential, leveraging the bank’s robust presence and operational strengths in a growing financial market.

NCC Ltd.

Rakesh Jhunjhunwala maintained a consistent stake of 13.09% in NCC Ltd., valued at ₹2,093.15 crore. NCC Ltd. also known as Nagarjuna Construction Company Limited, is a leading construction and infrastructure company in India. It operates in multiple segments of the industry, including building and housing, transportation, electrical, and water & environment. #NCCLtd. is involved in various projects across the country, from highways and bridges to power plants and water treatment facilities, reflecting its comprehensive expertise in the construction sector.

Sensexpanel.in provides practical tools for Indian stock market investors, including portfolio building, stock research, and analysis features. It offers top stock picks and sector-specific recommendations, along with prebuilt portfolios inspired by notable investors like Rakesh Jhunjhunwala.

Additionally, investors can assess stock health and performance through a scoring system based on extensive checklists. Investors can customize their portfolios based on their investment size and preferences, including aggressive, moderate, or conservative approaches, and select specific sectors for targeted stock recommendations.