Re-visiting Rajesh Khanna on his 7th Death anniversary From Investor’s Perspective


19th July 2019





Re-visiting Rajesh Khanna on his 7th Death anniversary From Investor’s Perspective



Greetings from Hitesh! 7 years have passed since the first Super Star of Bollywood passed away on 18th July 2012. Today I am going to see Mr.Khanna purely from Investor’s perspective. I am sure there is a lot to learn from him. I will cover his strategy first and then investment lesson so that it becomes easy to relate to it.



Excellent Story Selection: -



Just see few names of the movies…Aradhana, Amarprem, Safar, Anand, Mehbooba, Avtar, Sautan, Daag, Aap Ki Kasam, Namak Haram, Kudrat, Akhir Kyo, BAWARCHI …the list will go on. (those who have not seen this movie, can read the synopsis of this movie on the web)



A unique point in his entire movies is an excellent and sensible story. You can relate to most of his role in real life. (He was not the stereotype Angry Youngman, beating 20-50 people which is utter nonsense)



Investment Lesson: - Choose businesses which has a solid fundamental. The businesses you can understand. The businesses you can relate yourself to. If you have gone for the excitement of K-10 stocks, Infrastructure, Housing, and Retail stories...you know what happened to those companies.



Innovations at its Best: -



Film Industry had Dilip Kumar, Raj Kapoor, Dev Anand and other great actors when he entered the Bollywood. He had a very difficult task to succeed. If you study the story of his movies...he had innovated with his roles in each of his movies. Innovation requires a lot of Vision and Guts. He used his vision, guts in carving a niche for himself. 



Investment Lesson: - At any given time…the market is full of big and powerful players….you need to be innovative in your investments. Most investors go for A group shares/ Mutual funds/ SIPs etc. Now, if you do what others do….you will also get what others get. If you want to earn an above-normal profit, you need to invest innovatively.



Excellent Music: -



Whether you are a fan of Rajesh Khanna or not, there are 100% chances that you like the music and songs of his movies. When you innovate and when you choose the story which is of a day to day life, it needs some big attraction to pull the people, he did it with songs and music.



Investment Lesson: - Most investors invest for capital appreciations, that is the price should move up once they invest. If the price does not move or go down, they feel tensed up. Smart investors know that price will move up sooner or later if your business is doing fine and they look at Dividend yield / Bonus or rights possibility. It was reported that Mr.Rakesh Jhunjhunwala had Rs.60 Crs dividend income in 2010-2011. Today it must be much more.







Keeping the Team Constant: -



If you study his movies, you will find that he had kept his team of heroin/music/director/singer and director constant for a long period of time. When you work in a team for a longer period of time….it leads to chemistry/comfort levels and fast executions.  Rajesh Khanna had 8 movies with Mumtaz as a lead pair and all were super hit. R D Burman was the musician for most of his movies….and Kishor Kumar was the singer.



Investment Lesson: - Smart investors know this….and they invest with 3-5 years’ time frame in their mind. They ride the rally for an extended period of time. Rakesh was investing in Titan from Rs.40 to Rs.900. We also advise our clients to work with us for a minimum of 3 years.



Pareto Principle:-



This is popularly known as 80-20 rule. This rule can be observed in his movie life also. Out of 180 odd movies he had acted, he had given 35 hits….and out of 35….15 back to back hits from 1967 to 1673. His success ratio works out to 20%. He did not get much success from 1975 to 2012. Still, when he left, it is reported in Media….he had an estate worth of Rs.200 Crs.!! What he generated in 8 years (1967 – 1973) not only lasted for 37 years (1975 – 2012)…..but he could leave Rs.200 Crs also.



Investment Lesson: -



Your portfolio will also have some gems….you need to hold on to them…Rakesh became The Rakesh because of Titan. Crisil and Lupin. You need to hold on to your winning horse and need to add more to them as long as they are winning.



Another lesson is to get most out of the market situations……you are too small to create the market…..you need to get the best when the market is also at its best. We have been telling from 2009 that the market will be touching new highs. Now, the market has touched 40000. Recently, on June 21, 2019, we had come out of our BOLD call on the market -  








My Personal Call:-



I want to convey my personal call with his song…..



zindagi ke safar mein,guzar jate hain jo makam
woh phir nahin aate,
woh phir nahin aate
zindagi ke safar mein,guzar jate hain jo makam
woh phir nahin aate,
woh phir nahin aate



If you have missed 2009-2017, you will be losing an opportunity of life if you again miss 2020 to 2026. Do you want to miss this opportunity also? If not, start investing now. If you need help, approach us.



Wish you all a Happy Weekend.





Follow me on Twitter @hiteshmparikh Or on Whatsapp - +91-9869425399.

Live With Passion…Invest With Passion.



Hitesh Parikh.




Comments

Post a Comment