Some life lessons of Rakesh jhunJhunwala a 54th richest person in India.

Today when I was browsing I came up with a Name known as Rakesh jhunJhunwala he is a Indian stock trader I became curious to know about him because of his name fame ......then I thought why shouldn't I share about him

 In my this post ...the thing which made me curious to know about him is as under...

Rakesh  Jhunjhunwala an Indian famous stock trader .......As per Forbes, he is the 54th richest person in India, with net worth of USD 3 billion (as of 1 June 2018).we all know that learning should never stop whether you are young or old .....even we have a lot more to learn from Rakesh Jhunjhunwala......

Rakesh Kumar Radheyshyam Jhunjhunwala(born 5 July 1960) is an Indian Billionaire Investor and Trader. He is a Chartered Accountant. He manages his own portfolio as a partner in his asset management firm, Rare Enterprises.Jhunjhunwala has been described by India Today magazine as the "pin-up boy of the current bull run" and by The Economic Times as "Pied Piper of Indian bourses".

He says few lessons of his business those are as under....

•I have learnt two things about the press and wives. When they say something – don’t react.

Investors often go by stock recommendations in the newspapers and media all across but they seldom study the fundamentals of the business concerned. Such investors often end up making losses, as they are unable to gauge the factors which may hit a particular stock.

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•Anticipate trend and benefit from it. Traders should go against human nature.

Many-a-times, traders or investors follow the herd mentality by buying the stocks in which most of the other people are buying. This is not a good practice as the objective of investment may vary from person to person and from time to time. So do ask yourself why you are buying a particular stock.

•Invest in a business, not a company.

Generally, investors do the opposite, that is, if a stock of a particular company excites them they buy it, without knowing the details of the business and without studying the nature of the business.

•Make the investment when the stock is not popular.

Most investors lack this acumen because often they do not want to examine or investigate a business before buying shares. People buy shares of a company when it becomes as popular — when the street vendors also start talking about it.

•If you see an opportunity, grab it today!

Don’t wait too much for the right time. If there is an opportunity where money can be made then grab it immediately before it is gone. But this doesn’t actually mean that buying a bread without looking on its expiry date.

•Learn from mistakes. Learn to take a loss.

Investors should always make a deliberate attempt to learn from the mistakes which they make in stock markets as every mistake will be a lesson in itself. Investors should also learn to digest losses because one’s profit is loss to other and vice-versa.

•Always go against tide. Buy when others are selling and sell when others are buying.

Try to buy on dips at the time when market are correcting. Through this you will end up buying more quantity against the people who buy when the market rallies. When most people are selling, then you may get a stock at cheap prices!

•Emotional investment is a sure way to make loss in stock markets.

Don’t stick to a company on the emotional front for silly reasons such as: “this was my father’s favourite company”, or other such reasons. Always fall in love with the business which has potential to grow and make your money grow. Try to keep your emotional quotient away and proceed as a rational person.

•Blindly following stock picks by big investors is not a wise thing to do.

Investors habitually get into following the rumors of investment by big names, for instance deciding to buy a stock if a big investor has bought it. This doesn’t necessarily guarantee a good return. Most often the news stories of a big name buying into a specific stock breaks out after their exit or when they are nearing selling the stock.

•Give your investments time to mature. Be patient for the world to discover your gems.

People usually buy and sell stocks in quick succession. Investors do practice this for short-term gains but end up making losses. Seek an investment for a longer time horizon and let your investment mature.

•Have some cash in hand so that you can grab the opportunity when it occurs.

Always have some spare cash in hand in order to grab an opportunity as and when it arrives. Very often, investors put all of their money in the stock market, which is a bad practice as the history suggests that flexible returns are always cyclical in nature.

• Rakesh Jhunjhunwala, share bazaar, road chaap,” he said. “[Remember] The worst of mistakes are made in the best of times. In Harshad Mehta’s time, if I could short sell and earn Rs 50 crore, [it doesn’t mean] I can earn that kind of money every year. So, when success comes, don’t extrapolate it. Be paranoid about it.”(source-Economic times)