I am in stock market for 5+ years and I had my share of mistakes and learning. One of major learning is if I am with honest management who is open, transparent and focused to increase long term shareholder value by proper capital allocation, dividend distribution, I am much better off. The biggest risk in stock market in India is unscrupulous promoters trying to use public money for private gains. Hence I felt that this should be one of the most important criteria to select stocks for investment.
Hence I started looking for place where I can find information about
- How to look for these excellent promoters/managements?
- Are there any names out there which you have come across as high integrity owners/leaders?
I will start with my experience with two names which comes to my mind.
- Ajay Piramal - Piramal Enterprises - One of the best capital allocator I came across. Very shrewd businessman with excellent minority invest friendly policies.
- Anand Deshpande - Persistent Systems - Highest Corporate governance standards. Very Humble and down to earth promoter.
My way of finding these individuals is to look at shareholder returns for past 5 years, names of other board members, auditors, glassdoor employee feedbacks, youtube videos of their speeches, if available etc.
I would invite other value pickrs to add value to discussion by their own experiences with different companies and their leaders.
Disclosure : I am investor in Piramal Enterprise and Persistent Systems for more than one year. No recent investment in last 90 days.