Has anyone tracked the buy/sell patterns of superstar investors like Vijay Kedia, Ashish Kacholia, Sunil Singhania, Radhakishan Damani, Rakesh J, etc.? They all started with humble beginnings and are now billionaires just by investing.
What if retail investors follow/clone their trades? Obviously there would some price difference as share price would increase/decrease after their trades, but still was wondering if anyone has analyzed the returns following them.
The people you mentioned may have started small, but they may have had it all along. For someone who did not have it like them, but to reach their scale, it takes decades of learning and practice and dedication. A lot of people use Buffett’s name or picture casually, as if he is one among us.
Emulating in good times can be beneficial, but if the tide turns for bad, would we let go off them, pick new names, or feel indebted and still continue with the old ones despite seeing losses?
Hi Patel,
I been doing it quite sometime now. Just diversify properly as its a cloning and we are not tracking companies quarterly result closely. I have generated good return (outperform nifty easily) partially due to lucky by having few 4 to 10 baggers and never booked profit until superinvestors holding goes down below 1%. Be patient, when downturn comes , superinvestor’s companies can also go down to 40 to 80 % (yes, its 80%; for example NCC went down to 20INR from 100INR, RJ stocks). Add when they add at lower level. Try to clone their mid size to big bet (avoid smaller bet - possibly they are not serious or not tracking company closely; like RJ’s team buying 5 to 10 CR worth of stocks, its not even 1% of his portfolio ). It won’t be exact CAGR we can generate as our % allocation will differ ( I try to divide allocation in 3 parts ; Large bet of superinvestor lets say I invest 1 lakh, Middle 50K and smaller bet invest 25K ). You can be more aggressive if your tracking particular sector closely and believe that sector will outperform market. Check superinvestor recent holding if they have bought any company in hot sector maybe you can bet heavy on that particular company (track it closely if its more than 10% of your portfolio). I buy 15 companies of superinvestor and always have 30% cash to add on those names when major downturn comes. 70% of my portfolio is in SIP mode in mutual funds. I don’t touch it no matter what happen to market. Indeed , I would increase SIP amount by 10 to 30% if NAV drops below 20%. Just manage your risk and keep it simple when we clone. Hope this is helpful !
Thanks
I think its a great idea to have a look at the stocks these investors are buying in and then doing your own research into it and see whether you like the business and fundamentals yourself. Have come across some great companies like this. Another green flag for me is when they are increasing their holding in these companies.
Hello @1Pranav thanks for your reply and welcome to the forum!
I have few queries…
(1) How to track the buy/sell of superstar investors? I see in news something that Mr X has bought/sold holdings. I may be missing few transactions obviously as not all transactions of superstars comes into news.
(2) Someone told me to see the shareholding patterns published every quarter. But how to track the shareholding patterns. Obviously one cannot go through thousands of companies shareholding patterns. Is there any data inputs which says that Mr Ashish Kacholia has made so and so changes?
(3) Rather than shareholding pattern, wouldnt it be wise to follow bulk/block deals? Even in this how to track deals of particular superstar?
Since the share price has obvious run up post superstar investments, I think it would be prudent to trade as close as their trading time. So how to do that?
Thanks!
You may check this…
I was just going through Mr Ashish Kacholia’s networth and it gave XIRR of just 11% from Dec 2015 to Dec 2019 (4 yrs!). Not considering till March 2020 because of downturn due to corona.
Same with Vijay Kedia.
Informations are available free on Trendlyne or stockedge. I am sure there will be plenty of other websites tracking those data. If you prefer buying stocks right after superstar buy then you can choose subscriptions service option to get real time Alert. Depends on which investor you are following, Most of them holds stocks for long term (few years ) . Buying at the same day they bought will generate superior results, I doubt. In bear market you feel lucky that you are buying after free quarterly data published and those stocks are down 5 to 20%. In bull market you feels this is no brainer strategy buy on the day they buy and you are up 5 to 20 % before free data get published.
I am interested in knowing where did you get their XIRR results? Please let me know (11% XIRR seems not right )
We can see there net worth grow but fresh money input is hard to figure out. I have asked service providers if they can provide CAGR or XIRR data but they haven’t responded.
In my case I might have generated good results because of right picks ( just by luck , no real analysis done) . Tata motors at bottom fishing RJ stocks, Birlasoft , Max India , all cargo Ashish dhawan picks. Elecon Vijay kedia.
Thank you
As per the Trendlyne link mentioned in post above, the networth of Ashish is Rs 393 crs on Dec 2015 and Rs 591 crs on Dec 2019. This gives XIRR of 11%
I’m huge of fan of Sunil singhnia. Closely tracking him bought hindware , carysil , route , mastek , stylam , ethos, uni parts, Ion Exchange. And got almost 30% plus gain in all these stocks. Small and excellent business.
But exited Hindware and Carysil once their PE enter over value zone. ( Sold)
Both company posted poor q1 result waiting for correction.
Route promoter sold entire share in company. (15% profit Still Holding)
Sunil ji bought Landmark cars at 650. Poor results this quarter if it goes below his buying price will enter.
Remaining stocks holding.
We can’t track these investors because we do not know their portfolio or allocation except disclosed > 1% ones. Even within that > 1% universe, it’s difficult to understand the intent and rational. We can however research the stocks on their own merit.
They may have huge capital parked in a large cap, significantly impacting their allocation but we will not know.
We can use as reference point , we as retail investor don’t have capacity to analyse management quality in microcaps . Once big investor invest, we can consider looking the stock whether it fits in ur profolio.
At end of the day, u have to do your own research.
I tracked RJ in past and got titan 15 yrs back its big multibaggers in my Portfolio. Second rwcent example i followed Vijay kedia jee nd bought Tejas@90 and elecon @180 both giving handsome returns its big multibagger. I most of time go for vijay jedia jee bew buys.
Sometimes I wonder on what basis these Superstar investors make buy call. For eg., Vijay Kedia’s investments into Atul Auto, Patel Engineering, Repro, etc. Ashish Kacholia too has few stocks with low ROEs and stagnant financials.
Many times, since these companies are small, we get to know about them because they cross 1% threshold mandatory for disclosure. Otherwise they may have some other large cap portfolio, which we dont come to know. Sometimes, even promoters may be using clout of these investors to pump up share price of their company by investing promoter’s money in the name of superstar investors. All may not be like that.
Fair chances they may have more information than other small retail participants. Be patient if you are cloning them. Don’t exist due to market volatility unless they reduce stake substantially. Superstar’s stocks can fall too (20,40 even 80% if its SME ). Keep eye on bulk deals if stake is below 1% you may find buy information in bulk deals data.
Patel bhai they mostly visit company discuss with them future plan ,understand their debt pisition see their order books nd client’s details and mist importantly the fiture of that secotr nd industry after that only they put money. I hv most of time tracked and invested when Mr Vijay kedia put money in particular stock like Tejas, patel,elecon engg and i really got 3 to 4× mostly
Sharma Sir,
Buying Titan or Tejas was a great no brainer smart thing to do.
But inquisitive what percentage of your portfolio weights were they when you first bought and if you haven’t sold what’s are they now ?
And how it’s attribution has been to overal portfolio?
Thanks a reply will.helps understand better and learn faster
Dear i still hold titan it rose from 35 k to 27 lkh i still hold tejas eith 800% profit…i m not big investor dear but small dmall money i put for wealth creation
