|
Getting your Trinity Audio player ready...
|
Introduction:
The Indian stock market buzzes with hidden gems- portfolios built by seasoned investors, quietly generating impressive returns. These portfolios, meticulously crafted over time, hold valuable lessons for anyone navigating the investment landscape and seeking an answer to the question- what is a stock portfolio?
Today, we’ll be taking a deep dive into one such portfolio, Rekha Jhunjhunwala’s portfolio, renowned for its consistent growth and strategic diversification. By dissecting its composition and principles, we can unlock valuable insights to strengthen our own investment strategies.
About Rekha Jhunjhunwala:
Rekha Jhunjhunwala, with an estimated net worth of $5.7 billion, is a powerhouse in finance. She was recognized on the 2023 M3M Hurun Global Rich List. Born September 12, 1963, Rekha graduated from Mumbai University and married Rakesh Jhunjhunwala in 1987.
She’s been active in the stock market for years. By 2022, she was linked to four companies: Jalaram Baba Children’s Nest Education Private Limited, Ohm Educom Foundation Private Limited, Minosha Digital Solutions Private Limited, and Rare Family Foundation (Rare Enterprises, the stock brokerage firm started by Rakesh Jhunjhunwala in 1992).
After Rakesh’s death in August 2022, Rekha inherited his valuable stock portfolio, which was valued at Rs.31,833 crore at his passing. By March 2024, Rekha Jhunjhunwala’s net worth (including the inherited portfolio value) reached Rs.37831 crore. Rekha has made notable changes to the portfolio and has also ventured into pre-leased commercial real estate. Despite these changes, she remains committed to continuing her late husband’s legacy of value investing.
Rekha Jhunjhunwala Net Worth:
As of the quarter ending June 2024, Rekha Jhunjhunwala’s net worth stood at Rs.39181.6 crores. Networth of Rekha Jhunjhunwala has followed an upward trend since the quarter ending December 2022, which was Rs.26764.48 crore.
Rekha Jhunjhunwala Portfolio:
As of the quarter ending June 2024, Rekha Jhunjhunwala’s latest portfolio held the following stocks:
| Company | Holding Value (In Rs.Cr.) | Holding Quantity | March 2024 | June 2024 |
| Crisil Ltd. | 1,675.50 | 3,923,000 | 5.40% | 5.40% |
| Federal Bank Ltd. | 710.5 | 37,109,060 | 1.60% | 1.50% |
| Geojit Financial Services Ltd. | 192.1 | 17,218,500 | 7.30% | 7.20% |
| Jubilant Pharmova Ltd. | 784.9 | 10,472,000 | 6.60% | 6.60% |
| Raghav Productivity Enhancers Ltd. | 100.6 | 1,143,852 | 5.10% | 5.00% |
| Agro Tech Foods Ltd. | 147.2 | 1,788,759 | 7.50% | 7.30% |
| Nazara Technologies Ltd. | 570.8 | 6,403,620 | 8.50% | 8.40% |
| Aptech Ltd. | 276.7 | 13,536,376 | 23.30% | 23.30% |
| Canara Bank | 1,503.80 | 133,213,000 | 1.50% | 1.50% |
| Valor Estate Ltd. | 489.2 | 25,000,000 | 4.70% | 4.70% |
| Escorts Kubota Ltd. | 686.6 | 1,750,388 | 1.60% | 1.60% |
| Fortis Healthcare Ltd. | 1,479.10 | 30,725,000 | 4.10% | 4.10% |
| Indian Hotels Company Ltd. | 1,705.30 | 29,507,965 | 2.10% | 2.10% |
| NCC Ltd. | 2,422.10 | 78,333,266 | 12.50% | 12.50% |
| Sun Pharma Advanced Research Company Ltd. | 139.1 | 6,292,134 | 1.90% | 1.90% |
| Tata Communications Ltd. | 804.9 | 4,500,687 | 1.60% | 1.60% |
| Tata Motors Ltd. | 4,196.70 | 42,391,000 | 1.30% | 1.30% |
| Titan Company Ltd. | 15,418.80 | 47,311,470 | 5.40% | 5.30% |
| Va Tech Wabag Ltd. | 612.2 | 5,000,000 | 8.00% | 8.00% |
| Wockhardt Ltd. | 225.4 | 2,902,005 | 1.90% | 1.90% |
| Singer India Ltd. | 35.5 | 4,250,000 | 7.00% | 7.00% |
| Jubilant Ingrevia Ltd. | 272.7 | 4,874,500 | 3.10% | 3.10% |
| Star Health and Allied Insurance Company Ltd. | 1,048.10 | 17,870,977 | 3.10% | 3.10% |
| Metro Brands Ltd. | 3,424.50 | 26,102,394 | 9.60% | 9.60% |
| Karur Vysya Bank Ltd. | 731.7 | 34,823,516 | 4.30% | – |
(Source- Trendlyne)
Apart from her stock portfolio, Rekha Jhunjhunwala has also stepped into real estate investments. She purchased the Rockside CHS, a 9-apartment sea-facing building worth Rs.118 Cr. as of April 2024. In November 2023, Rekha Jhunjhunwala made significant real estate acquisitions through Kinnteisto LLP. She bought four floors in ‘The Capital’ building at BKC, totaling 1.26 lakh square feet. She also purchased the 8th floor of the Boomerang building in Chandivali, covering over 68,195 square feet. These key office spaces cost Rs.740 crore in total.
Jhunjhunwala emphasized the strategic positioning of these properties, especially in BKC, one of Mumbai’s most expensive commercial zones, making them secure investments. The properties are leased to top-tier tenants, ensuring good returns.
Rekha Jhunjhunwala Portfolio Analysis:
- By the end of June 2024, Rekha Jhunjhunwala slightly reduced her stake in Raghav Productivity Enhancers Limited by 0.1%. This change came after a tough year for the stock. The company, known for producing Silica Ramming Mass, saw its stock price fall by over 15% in 2024.
- She also reduced her stake in CRISIL by 0.08% in the June quarter, bringing it down to 5.36% from 5.44% in March 2024. This decision followed a lackluster performance by CRISIL. Over the past year, CRISIL has returned 13%, underperforming the Nifty, which has seen 25% returns in the same period. Year-to-date, CRISIL shares have gained less than 1%.
- In the March quarter, stakes in Canara Bank dropped from 2.1% to 1.5%. However, the June quarter saw no further changes. As of the June quarter of 2024, Canara Bank’s stock has gained 38% since January 2024.
- Rekha Jhunjhunwala also reduced her holdings in Fortis Healthcare, NCC, and Tata Telecommunications. Meanwhile, during the March 2024 quarter, she added KM Sugar Mills Ltd to her portfolio. She bought around 5 lakh shares, making up a 0.54% stake in the firm.
- Rekha Jhunjhunwala likely earned Rs.224 crore in dividend income from her portfolio for the quarter ending March 2024, valued at Rs.37,831 crore. From the March quarter shareholding pattern, she earned
- Rs.52.23 crore from Titan Company,
- Rs.42.37 crore from Canara Bank,
- Rs.27.50 crore from Valor Estate,
- Rs.17.24 crore from NCC, and
- Rs.12.84 crore from Tata Motors.
Other companies she holds stakes in, like CRISIL, Escorts Kubota, Fortis Healthcare, Geojit Financial Services, and The Federal Bank, brought in nearly Rs.72.49 crore in dividends, according to Ace Equity data.
- The sectoral distribution of her portfolio as of quarter ending December 2023 was as follows-
Rekha Jhunjhunwala’s Investment Philosophy:
Learning from Rekha Jhunjhunwala’s portfolio, you can gather valuable investment advice:
- Diversification: Rekha Jhunjhunwala’s portfolio includes stocks from various sectors like banking and finance, construction and real estate, FMCG, healthcare, and hospitality. This diversification spreads risk and offers potential gains from different sectors.
- Long-term Investing: She inherited her stock portfolio in 2022 and has held onto many stocks for a long time. This shows a long-term investment approach, focusing on the growth and value of the companies she invests in. This approach is also seen in other star portfolios like Radhakishan Damani’s portfolio.
- Focus on Quality Stocks: Her portfolio includes well-known companies such as Tata Motors, Titan Company, and Indian Hotels Company. This emphasizes a focus on quality stocks with strong fundamentals and growth potential. Quality companies often show sustained growth and profitability, making them well-positioned for long-term appreciation and potential dividends.
- Active Portfolio Management: Her active participation in managing her portfolio is evident from her increased stake in Titan Company, earning her over Rs.2,400 crore in two months. This proactive approach helps adjust investments based on market conditions, economic trends, and company-specific factors. However, this dynamic approach involves constant monitoring and adjustments.
Conclusion:
Rekha Jhunjhunwala’s portfolio is a great example for aspiring investors. Her journey from inheriting her late husband’s portfolio to becoming one of India’s top billionaires highlights strategic investment decisions and wealth creation in the stock market is a guide for many who aim to build wealth through the stock market. We can learn valuable insights from her journey and apply them to our own investment strategies for financial growth and success.
FAQs
Who is the investor Rekha Jhunjhunwala?
Rekha Jhunjhunwala, an Indian investor, is the wife of the famous Rakesh Jhunjhunwala. She actively manages their investment portfolio and is known for their substantial holdings in various Indian companies across sectors.
How much is Rekha Jhunjhunwala worth?
As of June 2024, Rekha Jhunjhunwala’s net worth is Rs.39181.6 crores.
Who are the richest investors in India?
The list of the top 5 wealthiest investors in India includes-
Radhakishan Damani
Raamdeo Agrawal
Ramesh Damani
Ashish Dhawan
Mohnish Pabrai
*Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as recommendation or investment advice by Research & Ranking. We will not be liable for any losses that may occur. Investment in securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL, and certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
I’m Archana R. Chettiar, an experienced content creator with
an affinity for writing on personal finance and other financial content. I
love to write on equity investing, retirement, managing money, and more.
