Rakesh Jhunjhunwala‘s 10 commandments for investors (tips on how YOU can be a great investor):
Rakesh Jhunjhunwala is not a legend for nothing. Not content with telling us what techniques we should adopt whilst picking our portfolio, he also tells us what mental attitude we should cultivate to be a successful investor.
(i) Be an optimist! The necessary quality for investing success;
(ii) Expect a realistic return. Balance fear and greed.
(iii) Invest on broad parameters and the larger picture. Make it an act of wisdom, not intelligence.
(iv) Caveat emptor. Never forget this four-letter word -R-I-S-K.
(v) Be disciplined. Have a game plan.
(vi) Be flexible. For Investing is always in the realms of possibilities.
(vii) Contrarian investing. Not a rule, not ruled out.
(viii) Its important what you buy. It’s more important at what price you buy.
(ix) Have conviction. Be patient. Your patience may be tested, but your conviction will be rewarded.
(x) Make exit an independent decision, not driven by profit or loss.
Each of the said 10 commandments deserves to be etched in stone and read and re-read everyday by anyone who aspires to reach the heights of Rakesh Jhunjhunwala!!
