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Vijay Kedia Success Story| Investment strategy of Vijay Kedia।

               Today we will talk about a successful stock market investor vijay kedia and his investment philosophies. Vijay kedia was born in stock broking family and since childhood he has been interested in stock market. Even today he calls stock market as his first love. And since the age of just 14 he had been trading in stock market along with his grandfather. When he was 14, his father died. He couldn't start a business due to the lack of money and he ended up with joining up his family business of stock broking. But he was not interested in his stock broking business, so at the age of 19 he started trading in stock broking. He made a good profit from trading in the beginning. Then he thought that he can't ever suffer loss in stock market.

Vijay kedia success story.

            But after a year and a half he started suffering loss. Then he realized that his initial success was just his luck. With the idea of earning huge money in short span, he would suffer big losses in the beginning in stock market. Initially he used to trade with a small amount. When he made a profit he would trade with big amount. And this would continue. But some days, 1 or 2 bad trades ate all the profits earned through good trades. And this happened multiple times for him. Once in Hindustan Motors he suffered huge loss of 70000 rupees in just 2-4 days. That time he hadn't much money so his mother asked him to sell her jewelry. But luckily his losses recovered soon and hence he didn't have to sell his mother's jewelry. After that he felt bad and left trading in stock market. 



             Then he started to supply materials to the tea garden in kolkata but his business failed. Then he started trading in stock market. And after some time he realized that he didn't make much profit even after trading for 10-11 years. Whatever profit he would earn would eventually end up getting into losses. That's why in 1989,he decided to abandon trading and focused completely on investing. If you don't know the difference between stock market trading and investing then i want to say that in trading you can hold the stock for short term. Traders make profit from the movement of stock's price. And on the other hand in investing, investors analyze the stock and want to hold the stock for long term or more than one year. 


          When vijay kedia wanted to learn investing then there was not enough source to learn the market and also then most of the investors didn't want to share their knowledge easily. In this point vijay kedia learned the stock market from two way. The first is TRIAL & ERROR. It means try first and if you fail then learn from mistakes. And the second is OBSERVATION. He observed the success and failure of other investors and learned from their failure. As for example once his friend faced huge losses in stock market. His friend told him that he faced huge loss because he invested in high pe ratio stock. When vijay kedia heard this he started to analyze his friend's failure. He came to know from it that high pe ratio stocks may be very dangerous. In the beginning of his investing career he used to read magazine,newspaper and company's annual reports. And he had kept himself updated reading this. Even today he reads business magazine, newspaper and company's annual reports. And he also watches the interviews of ceo 's and directors and these are his hobby. 


                Vijay kedia knew that most of the stock market related activities take place in mumbai. He he moved to mumbai from kolkata in 1989 and he stayed there as paying guest for two years.  Punjab Tractors was the first stock of his investing career. In 1989 he invested 35000 thousand rupees in punjab tractors.


In next 3 years stock price was increased about 3-4 times. Then he invested in ACC after selling all the shares of punjab tractors. By then acc was priced ar rs 300. Acc 's stock price was increasing but soon it reached 3000 rupees because of Harshad Mehta's bull run. At rupees 3000 vijay kedia founded acc more valuable.

So, he sold all his acc stock and bought an apartment in mumbai's suburban area. With the rest of money he bought other some stocks. 


              He suffered a huge loss after Harshad Mehta scam when the market crashed. About this he said that he invested in many stocks without inspecting company's management and quality. And those stocks immediately fell when the market crashed and he had to pay for his mistakes. Then he decided not to compromise even a little with his investment philosophies. The logistics that he bought at 14 rupees sold it in 500 rupees. And he hot about 5000% return on it. Besides this he earned multi-beggar returns from many stocks. He bought Atul Auto at an average price between 5-10 rupees. In the starting 4-5 years atul auto didn't witness any movement at all. But vijay kedia had full belief on his conviction and company's management. And in the next 5 years atul auto's share price exceeded at 500 rupees. This tells us about mr vijay kedia's patience and he even says that every investors must have 3 qualities. Knowledge to find the good stocks, courage to buy them in sufficient quantities and patience to hold the stocks because most of the time market takes too time to show stock's real value. 


          Always the first priority of vijay kedia is company's management. He gives more weightage on company's management. To understand why the company's management is so important he once gave an example. He says that if Highway is company's growth and car is company then passengers are its shareholders and driver is its management. If car,road and driver is good then he drives good and safely reaches their destination. And even if the car is marcedez and the highway is good but the driver is bad then you can guess what would be the condition of that car as well as passengers. Hence the role of management in the company is pretty crucial. He says that investors must inspect company's management quite well. 


            When the economy, industry or company were suffering through hard time, how was the management's performance? And how did they run the company during hard time? According to him if management run the company quite well in bad time then that management have the potential to take the company forward quite well in good times. You must also look for the future projection of the company. i.e whether the company is ambitious to its future growth or not, it must be checked. When the management changes its focus or company's product or when mr kedia finds the company to be overvalued then he thinks of exiting from that stock. Mr kedia plans his investments strategies quite carefully and invests accordingly. 


            Many of his stocks pics have even failed but he learned from those mistakes to make big profits. Therefore he says that he paid a big price for what he is today and how successful he is. He faced many losses and took several years to understand the whole mechanism. If i am here today, then most credits go to my mistakes as i am here today because of what i learned from mistakes. For new investors he suggests them to keep a fixed income because the stock market is quite volatile. For this you can't depend on it and you must read about businesses to keep updated yourself. Because the information and knowledge will help you to find the best stocks. He believes that investors must look in stock market as an investment. You must not view it as a thing that can turn you millionaire overnight. Because to earn an excellent return in stock market you must possess the skills,patience and experience. So the word is tough.


            Vijay kedia has witnessed a lot of ups and downs in his stock market career. But even in hard times he followed his passion with preservation to achieve success. Today vijay kedia holds a net worth of more than 1000 crores. Mr kedia stays active on twitter and shares his experiences. 


          If you have any query related to mr. vijay kedia's sucess please comment below so that the topic can be covered.


Best wishes to invest.



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