Rakesh Jhunjhunwala's net worth in listed firms crosses Rs 10,000 cr

 

Rakesh Jhunjhunwala

 

Ace investor Rakesh Jhunjhunwala and his family’s net worth in listed companies crossed Rs 10,000 crore mark, thanks to a sharp rally in some stocks comprising in the portfolio such as – Titan Company, Aptech, Dewan Housing Finance Corporation (DHFL), Edelweiss Financial Services, Federal Bank and Escorts.

The combined net worth of Rakesh Jhunjhunwala and his family came in at Rs 10,700 crore based on market price on the BSE as on Wednesday, March 1, 2017.

The figures are based on the family’s holdings in companies where their total stake is more than 1% for the quarter ended December 31, 2016.

As on December 31, 2016, Rakesh Jhunjhunwala & his family's net worth stood at Rs 9,156 crore.  On March 4, 2015, the day when the BSE Sensex hit an all-time high in intra-day trade, it was Rs 8,620 crore (based on March 31, 2015 shareholding pattern), the Capitaline Plus data shows.

Since March 2015, Rakesh Jhunjhunwala & his family added Tata Motors DVRs (3.43% stake), Federal Bank (2.3%) and Mandhana Retail (12.74%) in their portfolio, while increasing their holdings in Aptech and Escorts.

The recent bull-run in the broader market has boosted Rakesh Jhunjhunwala & family’s total net worth more than the market capitalisation of DHFL, Century Textiles, Thermax, Strides Shasun, Dish TV and Union Bank of India.

Thus far in calendar year 2017, the market value of listed companies in Rakesh Jhunjhunwala & his family’s portfolio appreciated by an average 17%, as compared to 9% rise in the S&P BSE Sensex.

"The sectret of success for investors like Rakesh Jhunjhunwala and Radhakishan Damani of D-Mart is that they have could spot potential multi-baggers early and held on to the stocks for a longer duration than most investors would. This strategy does create a lot of wealth over time, unlike trying to make a quick buck by doing intra-day trading," explains G. Chokkalingam, founder & managing director of Equinomics Research & Advisory.

Some stocks in Jhunjhunwala’s portfolio, such as DHFL, Escorts, Federal Bank and Titan Company are quoting at their respective record highs or close to lifetime highs. All these stocks have rallied in the range of 30% to 60% since January. The family holds equity shares of over Rs 200 crore in each of these companies, according to latest shareholding data.

In calendar year 2016 (CY16), Rakesh Jhunjhunwala purchased 2.81 million equity shares of The Mandhana Retail Ventures, which was 12.74% of the total issued and paid-up capital of the company via an off market transaction.


For a noble cause

Given that most analysts expect the markets to reach new highs going ahead, the ace investor’s wealth is likely to grow in the days ahead. Even then, Jhunjhunwala remains benevolent and has pledged last year to donate to donate Rs 5,000 crore or 25% – whichever was lower – of his portfolio on July 5, 2020 - the day he turns 60.

According to reports, he already supports a number of organisations such as Olympic Gold Quest, Arpan, Agastya and Friends of Tribal Societies – an organisation of the Rashtriya Swayamsevak Sangh (RSS) which goes to the tribal villages and imparts education and healthcare.
 

 
  Equity holding Price on BSE in Rs Company in % Rs crore 31/12/2016 01/03/2017 % chg Titan Company 8.47 3292 325.75 437.75 34.38 Lupin 1.84 1221 1483.70 1469.45 -0.96 CRISIL 5.60 801 2210.50 2005.45 -9.28 Escorts 9.16 518 296.45 461.30 55.61 Tata Motors-DVR 3.43 479 299.15 274.60 -8.21 NCC 10.20 470 80.45 82.95 3.11 Rallis India 9.95 465 191.90 240.45 25.30 Aurobindo  1.09 433 669.05 679.15 1.51 Federal Bank 2.30 348 66.90 87.90 31.39 Delta Corp 9.74 346 110.05 153.20 39.21 DHFL 3.19 332 243.70 332.15 36.29 Geometric 18.53 322 250.20 259.75 3.82 TV18 Broadcast 3.20 229 36.45 41.80 14.68 MCX 3.92 227 1266.55 1135.85 -10.32 Aptech 24.06 225 165.85 234.25 41.24 Karur Vysya Bk 3.46 211 81.80 99.90 22.13 Edelweiss Fin 1.08 125 97.60 139.35 42.78 Firstsour.Solu. 3.47 108 37.70 45.75 21.35 Agro Tech Foods. 7.56 106 461.70 572.80 24.06 Geojit BNP 9.58 99 34.50 43.70 26.67             Sensex - - 26626.46 28984.49 8.86             Top 20 holdings (valuewise) of Rakesh Jhunjhunwala & family Source: Shareholding pattern as on December 31, 2016, CapitalinePlus