Dr. Vijay Kishanlal Kedia is a Mumbai-based Indian investment trader. He has been in the market since he was 19 years old. Kedia and his business, Kedia Securities Pvt. Ltd., are the second-largest stakeholder (behind the promoter) in several publicly traded companies. Kedia has spoken as a keynote speaker at IIM Ahmedabad and IIM Bangalore. He also gave a lecture at the Bombay Stock Exchange. He has been regarded as a “market maestro” by the Economic Times. Vijay Kedia was awarded a Doctorate for Excellence in the Field of Management in 2016.
Who is Vijay Kedia
Vijay Kishanlal Kedia is a Kolkata-born Indian investor who was born on November 4, 1959. Kedia and his business, Kedia Securities Pvt. Ltd, are the second-largest stakeholder in several publicly traded companies. Kedia has delivered keynote addresses at IIM Ahmedabad, IIM Bangalore, and MDI Murshidabad. He has also been a TEDx speaker twice. He was allowed to talk at London Business School.
|Name:||Dr. Vijay Kishanlal Kedia|
|Spouse:||Ms. Manju Kedia|
|Children:||Mr. Pratik Kedia and Mr. Ankit Kedia|
|Qualification:||B.Com and Honorary Doctorate degree for Excellence in Management|
|Net Worth||725.26 Cr.|
|Founding Company:||Kedia Securities Pvt. Ltd|
Success Story Of Vijay Kedia
Vijay Kedia was born into a stockbroker’s Marwari family. He has had an interest in the stock market since he was a youngster. He began trading with his grandfather when he was 14 years old. He planned to establish his own business when his father died, but he couldn’t because of a lack of funds.
He then joined his family’s stockbroking firm. But he was not interested in stockbroking, so he began trading on the stock market at the age of 19. After entering the trading business, he made a lot of money in the first year and grew quite confident in it. However, after leading for one and a half years, lost a lot of money in the early 1990s when the Indian stock market crashed. Then he realized that his one-year success was just coincidental.
However, he learned from his mistakes and eventually became one of the most successful investors in India.
Kedia is known for his investment philosophy, which is based on fundamental analysis and value investing. He looks for stocks that are undervalued and that have good long-term prospects. He also invests in stocks that are in industries that he understands.
Kedia is a disciplined trader and he follows a strict risk management system. He never invests more than he can afford to lose and he always takes profits when he is ahead.
Kedia is a successful investor and trader, but he is also a humble man. He is always willing to share his knowledge with others and he is a mentor to many young investors.
Here are some of the key factors that have contributed to Vijay Kedia’s success:
- Early exposure to the stock market: Kedia’s father was a stockbroker, so he was exposed to the stock market at a young age. This gave him a head start in learning about the market and how to trade.
- Disciplined trading style: Kedia is a disciplined trader who follows a strict risk management system. He never invests more than he can afford to lose and he always takes profits when he is ahead.
- Fundamental analysis: Kedia is a fundamental analyst who looks for stocks that are undervalued and that have good long-term prospects. He also invests in stocks that are in industries that he understands.
- Patience: Kedia is a patient investor who is willing to wait for the right opportunities. He does not chase stocks or try to time the market.
- Continuous learning: Kedia is a lifelong learner who is always looking for ways to improve his trading skills. He reads books, attends seminars, and talks to other traders.
Vijay Kedia’s failures
- Vijay Kedia began trading with a smaller quantity, and after a tiny profit, he would go for large amount trading; as a result, he occasionally lost his whole gain owing to one large loss.
- He once lost Rs. 70,000 at Hindustan Motors within 2-3 days. His mother provided him with pieces of jewelry to assist him to recover his losses at the moment, but happily, it was regained within a few days without selling the jewelry. Because of the experience, he was dissatisfied and quit his trading career.
- Following that, he began a company providing supplies to tea gardens in Kolkata, but he failed as well. He then began investing in the stock market. He did not make the necessary profit despite having been in the trading business for 10-11 years. He realized he was simply playing a no-profit-no-loss game, so he abandoned trading in 1989 and shifted his focus to investment.
When Vijay Kedia decided to start investing, there were no resources to learn about it, and no investors were ready to share their expertise and investment mantras.
His two beginning approaches:
- Trial and error-He had the view that failure is an opportunity to learn. Do your best the following time.
- Observation-He used to watch other investors’ successes and failures and pick up tips from them.
E.g. Once, his friend suffered a major loss, and after that, he told Vijay Kedia, “I had to bear the loss since I had invested in a high P/E company by mistake.” After that, Vijay Kedia examined everything and came to the conclusion that making investments with a high P/E ratio might be risky.
Vijay Kedia’s Career as an Investor
Punjab Tractors was Vijay Kedia’s first stock in his investment career.
He started out with just Rs. 35,000 and put it all into Punjab Tractors. Punjab Tractors then increased 4-5 times in the next three years.
He invested in ACC LTD after selling all of his interests in Punjab tractors. At the time, the cost of ACC LTD. was merely Rs. 300. The ACC stock gradually climbed in value, and Harshad Mehta reached Rs. 3000 during the bull run.
Vijay Kedia thought it was more valuable at that price, so he sold all of his shares and used the remainder of the money to buy an apartment in Mumbai and other securities.
A Failure in Investing: After the market collapse in the Harshad Mehta fraud, he was once again at a loss and shattered.
“I invested without analyzing the management and quality of the firm, as a result of which those stocks sank in the market crisis, and I had to pay for my mistakes,” he added.
Following that loss, he never took his investment philosophy for granted and resolved never to compromise on those tactics. He bought AEGIS LOGISTICS for 14 rupees and sold it for 500 rupees, yielding 4000% gains. He’s had a lot of returns like this before.
He paid Rs.5-10/share for ATUL AUTO LTD. There was little progress in the first 4-5 years, but Vijay Kedia felt confident in his Atul Auto Ltd strategy and management. After a few years, their stock price reached Rs. 500. This highlights Vijay Kedia’s exceptional patience.
Vijay Kedia’s Investing Qualities
He usually advises having these three characteristics to become a successful investor:
- Knowledge-To identify the best stocks
- Courage-To buys the stocks at a good price.
- Patience- To be patient in holding that stock since the market often takes time to determine the true value of the stock.
Stock(s) Owned By Vijay Kedia
|S.No||Company||MAR 2022 %||JUNE 2022 %||SEP 2022 %||VALUE Cr.|
|1||Affordable Robotic & Automation Ltd||14.15||–||12.25||30.92|
|2||Atul Auto Ltd.||1.47||1.47||1.47||8.86|
|3||Cera Sanitaryware Ltd.||1.00||1.02||1.02||70.26|
|4||Everest Industries Ltd.||–||–||–||0|
|5||Heritage Foods Ltd.||1.13||1.13||–||19.27|
|6||Innovators Facade Systems Ltd.||10.66||10.66||10.66||13.78|
|8||Neuland Laboratories Ltd.||1.01||1.01||1.01||22.92|
|9||Panasonic Energy India Company Ltd.||1.24||1.24||1.24||2.37|
|10||Ramco Systems Ltd.||2.35||1.95||1.62||12.14|
|11||Repro India Ltd.||7.09||7.09||7.09||34.73|
|12||Sudarshan Chemical Industries Ltd.||1.44||1.44||1.44||37.66|
|13||Tejas Networks Ltd.||3.40||2.57||2.56||227.77|
|14||Vaibhav Global Ltd.||1.86||1.95||1.95||95.96|
|15||Elecon Engineering Company Ltd.||1.19||1.85||1.94||78.09|
|16||Mahindra Holidays & Resorts India Ltd.||1.02||1.02||1.02||53.36|
|17||Talbros Automotive Components Ltd.||1.02||1.02||1.02||14.84|