Pearls of wisdom from Basant Maheshwari

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All large investors started small. If the corpus was built on salary or non-market related income then you always seek risk averse strategies. If you start on inherited wealth you’ll do below average to average returns. You have to start poor. Having nothing to lose is an advantage!

The first 10 Lakhs needs a lot of self control. You have to stop spending to reach here. The next 15 Lakhs needs skill. You have to grow what you’ve saved. From 25 Lakh to 50 Lakhs it’s self control. You have to stop thinking of buying a home, car, Holiday, TV etc. 

if you’ve hit 50 Lakhs wealth creation will become a habit. But it’s not the end. You have to still be hungry for more. You can’t buy ETF's and large cap stable names. You have to look at growing not protecting. And the best wealth decisions won’t come out of a consensus opinion. 

The final trick is to see if you are doing well and people are scaring you off. ‘Bech de’ if that’s happening you are ok. If you are not doing well and people are scaring you - take their advice. Even the best of advice need not be followed if the market thinks you are doing ok. 

The best part of to face isolation. You have to become a market ka keeda. Social gatherings where no one talks market should be a burden after the first 45 minutes. If that’s so you are on. These questions will always come, you only talk markets. They are affirmations. 

When work becomes passion wealth follows. Friday evenings should be boring, weekends more, Monday morning - exciting. Days when markets are shut should appear longer than when they are open. You shouldn’t look forward to the NSE holiday list except for when you’re traveling. 

Getting rich is a process. Most of us can’t take that pressure and wind up to just staying comfortable. The risks always appear smaller once the returns have been made. 5 yrs of controlled risk creates 50 yrs of wealth. But you have to live on the edge - betting all that you have.

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