Can a student surpass the achievements of the teacher when he is not being actively taught by him. Does the question remind you of Ekalavya - the curious character of Mahabharata. A model learner who achieved through distance learning what others could not achieve despite being direct attendees of Guru Drona classes. But why I am telling you this here? The idea is to prime you for the belief that you can aspire to be great by following greats. Lack of direct access is not a road block as was not for Ekalavya. I hope now you know where this is going.
Indian retail investors most often look towards stock market wizards like Ramesh Damani, Rakesh Jhunjhunwala, Ashish Kacholia, Vijay Kedia, Dolly Khanna, Porinju Veliyath and likes for inspiration. They are self-made billionaires who have seen the markets through roller coaster rides, survived to tell the tale and have made a fortune out of sheer common sense and hard work. They are real life examples who prove that if we stick to the basic rules of the stock market, we also stand a chance of attaining great heights.
As with Ekalavya, we do not have direct access to the Gurus. However, can we learn and imitate the success of Indian great investors just by looking at their day to day activities in the stock market. This is the answer we are seeking in this article. We will try to make sense of their day to day activities while simultaneously looking for data points which might lead to profitable opportunities for our own portfolios. So lets begin our journey to become the Ekalavya of Financial markets by looking at the most recent quarter activities of different great investors. The first table below lists the stocks where they have made fresh entries in this quarter. The second table lists changes in their existing holdings (increased or decreased stake from previous quarter). Hopefully you got a hang of their new interests and renewed interests together with stocks which are looking less promising to them from here on.
Moving on, here are some other key highlights of latest quarter. If you believe smart money knows each other and flows together, following list must look very interesting to you. It's a list of stocks where multiple investors are doing clustered buying. Rings a bell? The chart is interactive and you can click on the bars to identify the group of investors showing common interest in the stock. A quick pointer here - assign less weight to clustered buying when it's happening within the family and more weight in case investors are not related.
If you want to analyse the aggregated sectoral exposure, then you can do the same below. Again the chart is interactive and you can click on the bars to get the second level details of who is holding what. For some cases the data can be overwhelming to read, however that's the whole point of this chart - it lists sectors and industries which appear to be worthy of holding for long term as there is a lot of interest from different parties.
So who is the most active of them all and what kind of stocks and industries they invest in? Have a look at the chart below and click on the bars to figure out the level of diversification and capital employed in different stocks and sectors. You should do a comparative analysis of the kind of returns each one is generating from their holding. This will surely help in pin pointing the ideal once to imitate.
Now move on to companies where the capital is concentrated - the companies where the holding is substantial. Companies with high holding by a particular investor are more often than not their conviction buys. They must have put in so much at stake because of some things which they can see and we can't. Having said that, these conviction buys are also the riskiest buys as if future does not unfold as expected then could have disastrous effect on once portfolio.
Is it a shared conviction? Are other deep pockets like fii and mutual funds also cross holding these stocks? Let's find out. Here is a table showing all the stocks which is held by all the three types - top Indian investors, FII's and the Mutual Fund Houses. I am tempted to call it a triple engine stock list. The rows are clickable and will reveal the details of who is holding and how much - so please help yourself.
But what if I want to slice and dice the holding of a particular investor or company. If this is what you are thinking then, you can track top Indian Investors more than 1% Holding in various companies below. If you liked any particular investor or company from above analysis, this is the right time for a historical deep dive. Here you will find out since how long a particular investor is holding a company. The longer the holding period, higher the conviction level.
Although not complete, but here is a quick look at some recent quarter 1% holding data (latest 50 rows). This table updates once we capture more recent quarter data during the result season. Keep a watch on daily basis as you might see interesting names pop up in this table. You can click on rows to check how historical holding in the stock has been fluctuating for this particular investor.
So far so good. We had a look at share holding data of great investors from various angles. This data gets updated in the result season every quarter. But is there any way to track activities of these gurus on daily basis. In market, what matters is the speed of info. Data with daily update frequency will any day be more valuable that data with quarterly update frequency. Although we do not have access to complete personal portfolio of these investors, we do have the limited valuable ability to track their daily activity through bulk deals. Let's harness this power. You can track Top Indian Investors large buying and selling in various companies on daily basis using the filters below.
Here is a list of all the recent activities by these investors on daily basis. If there is a new transaction for a particular day, it will be reflected in this table at EOD. If i would have to rate all the tables on this page, then this would have the highest ranking for tracking on daily basis. The data has speed (updated on daily basis) plus these wont get reflected in above tables before end of quarter. So if you are planning to deploy a investment strategy which is based on imitating the greats, then this is the table you should start with. Watch the name popping in the list, do a second level analysis of why people are taking interest and hopefully you will have a worthy candidate for your watch list.
How to use Top Indian Investor Portfolio Tracking Tool for Maximum Benefit
What is the difference between a common retail investor and an investment legend? The majority of retail investors chase short term profits in large cap stocks, while the legends such as Ramesh Damani, Rakesh Jhunjhunwala, Ashish Kacholia, Vijay Kedia, Dolly Khanna, Porinju Veliyath, Sanjay Bakshi and likes invest for longer term often in more off the beat stocks. Investment gurus are better off because they do their own research and base their investment decisions on sound principles, like value, performance corporate governance and growth potential.
Having said that, we feel there's no reason why retail investors can't apply these methods and achieve far higher compounding rates of return on their capital.
The reason why most don't get above average returns is that most of retail investors do not have enough time to read, study and apply these principles as stock investment is not their primary job like the aces.
So what can retail investors do to get investment returns like the legends? An easy way out is to simply follow what the legends are doing in real-time. Buy what they buy when they buy and sell what they sell when they sell. This leads to the next question - How to find out what they are buying and selling on a day to day basis?
Here “Top Indian Investors Portfolio Tracking Tool” comes handy. With the help of this tool, you can filter what stocks they are buying and selling on daily/quarterly basis. No doubt, amount of data is overwhelming. Having said that, it does offer you the opportunity to pick and choose as per your personal preference. Don't like a name, simply jump over to next one for second level analysis. Soon you will have a worthy list of stocks, which you can commit to for long term.