Rakesh Jhunjhunwala, was widely regarded as India's Warren Buffet. A real businessman, an accurate trader, a prolific investor, and a renowned chartered accountant – he was claimed to be the 36th richest man in India as per Forbes' Indian Rich List, before he passed away in Mumbai recently, at the age of 62. What he has left behind can be an asset of a lifetime for all those who indulge in the world of investments financially.

As a company of investors, all our members have attended many of his sessions where we all got an opportunity to listen and interact with him. The sessions were more relevant as these were anchored by fund managers of MFs, and not the media guys.

Patience is a virtue

To be a successful investor, you must recognise that investing is a long-term commitment. RJ was known for his immense patience and the way he handled his shares, which he held for years. He claimed to invest in a company's business rather than its stock, and he did not sell shares even while stock market downturns were on. He had experienced so many stock- market cycles that he was not worried about short-term declines.

It is critical to realise that a company's fundamentals regulate its stock price over time. In most situations, the share price represents the company's growth potential over the next five to seven years. An investment must be accompanied by proper research and an awareness of the company's potential for growth and the business possibilities for the future.

Takeaway: There is no greater virtue than patience when it comes to engaging in the stock market. Be aware and patient.

Do NOT chase stock exchange of Big Bs

Rakesh Jhunjhunwala firmly believed that one should stick to the fundamentals rather than hearsay. Before investing in a stock, consider the corporate governance, financials, and management. RJ always invested while using his investing intellect and following the investment principles.

When investing, one should pay attention to the balance sheet, the cash flow statement of the company, fundamental analysis, and so on. It is not a good idea to imitate others.

In most cases, the news reports regarding a company's purchase of a certain stock typically bursts out after they leave or when they are preparing to sell the stock. The theory is that, by the time the media reports the story, those who were profiting off of these investors' goodwill, have already earned their money and are preparing to leave. They are unable to act on what they learn in the media unless they study the market well or do a careful analysis of every new notion offered to them. Takeaway: Do not follow the rat race. Accept that there's no ‘formula for success’ when it comes to investing. Make your own informed decisions. Emotional investing in stocks can prove hazardous Emotional investing is one of the most common blunders investors make. One should be practical and rational while making investments, and not become anxious when the market falls. RJ also stressed that to win, investors must learn to conceal their emotions and operate like a machinery.

Takeaway: If you want to be a consistent investor, you must overcome your instincts and impulsiveness

Learn lessons from the past

RJ always stated that any mistake we make in our lives is always a life lesson for us. For instance, he always felt Reliance Power, Jet Airways, and SpiceJet were wonderful firms, but these companies turned out to be terrible investments. His biggest learning from this was that some companies are too aggressive to be lucrative, and if the marketers of such enterprises aren't dedicated enough, it become a ready formula for catastrophe. RJ admitted making numerous blunders in his career, but he never regretted since these fuelled his drive to work harder and uncover excellent stocks to invest in.

Takeaway: As an investor, be willing to accept risks and learn lessons from your mistakes.

Be passionate about investment as a subject

RJ believed that individuals who carry the love for the education of the stock market can do their research well by reading and interacting with others within the investment industry, and become capable of making an informed choice. RJ's interest in the stock market began when he was a child. He used to inquire about the stock industry with his father and was captivated by how prices fluctuated regularly. Despite his early mistakes, his enthusiasm for investment encouraged him to make wise judgments and stay motivated as an adult. He questioned the system and provided them with genuine advice simply because he was eager to see his investment pay off.

Takeaway: Investors must develop love of learning and gaining knowledge about the market.