A market investor who is being closely watched by market participants is Rajiv Khanna. Khanna has identified several multi-baggers, mainly mid and small caps in the past few years and his portfolio now consists of more than 40 stocks. Who is Rajiv Khanna and how did he make it to Forbes list of wealth wizards 2015?
Who is Rajiv Khanna?
The 67-year old Madras IIT graduate has been identifying multi-baggers for last 15 years. He started investing after selling family's Kwality Ice Cream business to HUL in 1994. His portfolio includes more than 40 stocks. His identified multi-baggers include Hawkins Cookers, Relaxo, Liberty Shoes and Nilkamal.
Khanna's Investment Mantra
The investment mantra for the man is simplicity and sixth sense to identify themes among things one consumes in day-to-day life. All he considers is staying invested in good companies for a long-term.
Meet Rajiv Khanna
Khanna’s first job was at Jagajit Industries where he worked for 11 months. He then switched to work as a research analyst in industrial explosives at ICI Paints from 1971-1977 and also launched pilot project with ICI Paints from 1977-1980. He then started expanding his family business in Kwality Ice Cream, South India from 1980-94 but eventually sold Kwality stocks to HUL in 1994. He continued as minority shareholder in Kwality from 1995-2008 and started his own milk business, Sona post 2008. Sona has a topline of Rs 75 crore with 100 employees and takes up 90 percent of his time.
From dairy to D-street
Rajiv Khanna started investing his wife's money in stock market in 1997-98. He invested in a lot of IT companies between 1998 and 1999. He also lost a of lot of money from investing into IT companies in 2000 meltdown but made a fair comeback into equities in 2003. He made 200 times in Unitech when he sold his stake in the company.
As an academician, he studied Fiemcare balance sheet suring the time his daughter was using company’s cosmetics and bought stocks in Fiemcare, which made 10 times returns. He made early investment in the company called Carnation, now known as Zydus Wellness and bought into a lot of companies which came across in his day-to-day life.
He also invested in Heritage Foods in 2009-10. His early buys were TTK Prestige, Relaxo, Liberty Shoes and bought into midcap IT companies like Nucleus Software and RS Software. He bought into Satyam at Rs 100 per share after the big crash and lost upto Rs 1 crore in Satyam after stock crashed to Rs 25 per share.
THE GURU'S GURU
He follows Peter Lynch and is currently reading Value Investing by James Montier.The Great Diwali Discount!
Unlock 75% more savings this festive season. Get Moneycontrol Pro for a year for Rs 289 only.
Coupon code: DIWALI. Offer valid till 10th November, 2019 .