Stating that he is keeping away from investing in startups as it is difficult to understand their business like the one presented by cab aggregator Uber, he said, "though many of them talk about innovation, there is little uniqueness in them and many of them are like 'me-too' companies." The only savings the big bull has now is a fixed deposit of Rs 50,000 in a bank and Rs 1 crore in public provident fund, while rest of huge investments are in equities, he said.
"I must put 5-10 per cent of my money into (savings products)... age is catching up, and I should limit my risk appetite," Jhunjhunwala told the Tiecon summit on Wednesday.
The ace investor is reported to have a net worth of over $2.7 billion or nearly Rs 19,000 crore.
Jhunjhunwala said he will also leave 5 per cent of his fortune in fixed deposits for his two kids, which cannot be touched by them but can ensure easy survival even if they blow the rest of the fortune in gambling in Macau. He loves gambling and added the time is not far when all the states in our country will legalise the same as Goa.
Admitting that his short-term plays made him who he is, the outspoken investor compared share trading to a mistress and longer-term investing as a wife and recommended investors to keep both happy.
Terming investing as a serious business, he advised non-professional investors like the salaried class to invest through the mutual funds route and keep aside not more than 10 per cent for self-investing if excitement is what they are looking for.
On the bloodbath in the midcaps last year, in which he lost heavily, Jhunjhunwala said investors should blame themselves for the mistake of investing at such high valuations.
He, however, quickly added that there was no fundamental issue with any of those stocks which bore the brunt of the market mayhem and the problem for investors was only high valuations.
The passion for investing and the eat-drink-sleep- dream stock markets routine is the secret behind his fortune, he said, admitting that he cannot be anything else but a stock market player.
Blaming the IL&FS crisis on multiple issues including lax regulation, he expressed satisfaction with the corporate governance practices in companies saying those are 5,000 times better than the olden days.
The investor said he wants the BJP to return to power after the summer elections because of the change in attitudes brought about by Prime Minister Narendra Modi, and also supported its issues like uniform civil code, Ram temple or buying property in Jammu & Kashmir.