ETMarkets Trade Talk: Boy with broken knee made crores by running after momentum stocks
About 25 years later, his equity portfolio has grown at an astounding pace to about Rs 15 crore. With a large following on Twitter, YouTube and Telegram, Bansal is not only a trader and investor but also advisor, trainer and mentor to thousands of newcomers on the Street.
Edited excerpts from a chat with Delhi-based Rakesh Bansal on his journey:
You studied pharma and also did an MBA but ended up being a trader, investor and trainer. Tell us more about this journey of yours and what brought you to the market?
I did B Pharma not by choice but by accident. I was preparing for MBBS entrance but could not clear it and landed for pharma. Since B Pharma is not a course after which one can do something big, so I chose to do MBA. Since I was not a pass out of a premium institute, I failed to get a job. At that time, the economy was also going through the Asian financial crisis which made things more difficult.
I thought of doing business but then had no family money. I realised that if there is a place to make money with little capital, then it is the stock market. My father introduced me to the market in 1997.
I gradually learnt the art of investing, trading and speculating with market veterans at
and SMC. Later on, I started working independently and even started advisory services.
At what point did you decide that you will start training and mentoring others?
I started during Covid time when many lost their jobs. My aim is to help others generate extra monthly income so the middle class can live happily with family. I feel the market has potential to shift lower income ones to middle income and middle incomes to higher income.
I share my live trade setup with students as just making a video is not enough to learn.
You suffered a knee injury a few years ago in an accident. How tough was your fight to walk freely when no cure was available?
I have a disability with zero right knee mobility. I can’t run, cycle or take public transport. While flying also, I take a corner seat on the left side. It’s the same for movie halls as well. I did physiotherapy from 1993-1997.
The tragedy happened in 1992 and I was in bed for a year. I went to college on crutches with a caliper. The love and struggle of my father and mother and motivation by my wife helped me in scaling new heights. My wife is my main strength.
On a typical day, what is your trading and investing strategy?
I am not a long-term animal who holds for 10 years. I want to make money within 1.5-2 years. So I look at technicals, which is my core strength. F&O is an addiction but not a compulsion for me. I trade to chase the momentum.
I take big bets on largecaps and like good dividend paying stocks. But I am not the one who is hunting for hidden gems which I can’t track later on. I also don’t do intra-day trading and BTST (buy today, sell tomorrow).
What does your portfolio look like?
Out of my total capital of around Rs 15 crore, most of it is held in the form of ETFs. Nifty Auto ETF is now my biggest exposure. Other ETFs include those in infrastructure, CPSE and Hang Seng index. I am also doing regular SIPs in silver which is going to do very well because of heavy demand coming from EVs and the solar industry. The demand is exceeding supply. Stocks in my portfolio include
, and .
Why this fascination with ETFs?
ETFs are wonderful. I invest on the basis of strong fundamentals and technical charts. I time my entry and exit. It is possible to get good double-digit returns.
What would be your advice to a newcomer on Dalal Street who is looking for some extra income while studying or doing a full time job or business? Is part-time trading a viable option?
Both trading and investing are full-time jobs and by full-time I mean you need full focus. I do not encourage people to leave their jobs and start trading full-time. Take some money out of your trading account every month and enjoy. Trading is a serious business and it can change your fortunes.
(Disclaimer: The Economic Times doesn’t endorse any product or service that may be offered by the expert. Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
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