Nikhil Kamath is a financial wizard and the Co-Founder of Zerodha, India’s first online brokerage firm in 2010. The bootstrapped startup which Nikhil started along with his brother Nithin has a valuation of over INR7000 crores making Zerodha the largest retail brokerage platform of the country.
Zerodha aims to revolutionize Indian financial market access by adopting a transparent, ultra-low fee with a proprietary tech-driven strategy. The organization has over three million users and facilitates orders worth $10 billion per day contributing to about 15% of the daily equity volume in India.
Nikhil Kamath – a school dropout, existential crisis and the turning point
Nikhil Kamath’s story began at the age of 14 when he dropped out of school confused of what he would do next with his life. And today, in his 30s, he stands as an astute investor and among the country’s youngest billionaires.
Nikhil narrates his school dropout story as a combination of various factors including his love for chess since the age of 5, and his inclination towards business in the 9th grade. Soon after he left school, he got a job in a call centre at the age of 17. The drive for making money was anyway the prime factor which eventually landed him to where he is now.
Nikhil has always been a naturally gifted stock broker and trader. He thanks his passion for chess as an aid of creating an environment in the head that allows a certain framework of pre-decided rules to ultimately help him apply to the stock market and finance. Equating chess with trading, Nikhil says that he follows some strict rules to be safe in the market as well as to win in a game of chess.
Nikhil on stock market, equity and trading
Unlike in chess, stock market activity is often not predictable and not ruled by definite patterns. However, the basics remain the same and hence easy to figure out. Equity trading is essentially understanding human psychology, to understand what investors, promoters, and leaders are doing, and getting an idea of everything that has an effect on what happens to the underlying companies.
Nikhil on Zerodha and millennial investors
Nikhil, being a relaxed, intellectual and visionary person, wanted to do broking but the cost and availability of proper trading was something off-putting. Hence, Zerodha came as a change with the low cost of flat 20 rupees as a USP! The shift in USP from cost to technology soon followed and added further value to the organization.
Incorporating tech through finance is something that makes Zerodha stand out inspiring several other entrepreneurs in multiple other domains to use technology.
Nikhil believes that the newer generation is more gifted than the previous ones. He also believes that as the generation progresses, it gets more equipped and blessed with ideas, and hence to keep pace with the generation next, the current generation has to keep learning to be smarter and updated.
Nikhil’s regrets, decisions, and willpower
Nikhil has his own insecurities of not going to college. He regrets that he couldn’t make friends in college like the rest of his generation, and that’s the only regret he has for his school dropout story. However, he adds that he had always kept himself updated with reading and learning.
While he feels dropping out of school was indeed the turning point in his life igniting a fire inside to prove himself to the world, he definitely doesn’t recommend dropping out to people as not everyone is that lucky nor determined.
Nikhil’s suggestions for the young investors
Nikhil feels that volatility and explosiveness is something that is attracting the newer generation towards the market. He suggests that at 22 or 23, the appetite for taking risks must be higher. The young generation must always be updated with new skills or training related to finances to get experienced as they grow up.
Nikhil Kamath at Bull Run Summit
Nikhil Kamath joins us at Bull Run Summit from 23rd to 25th July to share his experiences and investment ideologies. He joins Jack Schwager for an exclusive session.
Register at https://www.bullrunsummit.com/ to join Nikhil Kamath at the BULL RUN SUMMIT.
Mahendra Kumar Jajoo is the Head of Fixed Income of Mirae Asset Investment Managers (India) Pvt Ltd. Jajoo has an experience of over two decades in the field of financial services, including 12 years of experience in Fixed Income funds management. He is responsible for supervising all debt schemes of Mirae Asset Investment Managers (India) Pvt Ltd.
Prakarsh Gagdani is the new age investor who believes that there are no shortcuts for success with money. As an investor, one has to have the basic principles that govern wealth the right way, and patience is certainly the key. He is the Founder and CEO at 5Paisa.com, India’s first listed fintech company.
“Trading Is My Passion, Trading Is My Life” – says Avadhut Sathe. Trading in the stock market since 1991, Avadhut has witnessed the Bull and Bear market cycles for more than two decades. He stands out as a stock market trader, trainer and mentor at Avadhut Sathe Trading Academy where he helps people to fulfil their dreams of financial freedom.