There is more than one close connection that Sahil Gilani has with business, apart from just being a part of the family that co-founded Gits Food. His grandfather was the founding editor of Vyapar, a business newspaper! That was way back in 1949, but this close contact with the business community led him to become an early stock market investor. “That’s really why a large part of our assets is held in equities,” says Gilani.
“The idea is to find stocks that can fetch an annualised return of 20%, allowing us to double our money in three to four years,” he says. The approach of not giving in to panic during falls and not turning overly bullish at the peak has helped Gilani in good stead. “Investments have to be devoid of emotion,” he says.
While reinvesting in Gits Food is top priority for the 34-year-old, the frequency, of late, has come down. The company, synonymous with instant mixes and ready-to-cook items, is largely debt free. However, as a responsible investor, Gilani has diversified his bets by picking up stakes in start-ups as well. “It is 10% of our total portfolio but will continue to grow. We have backed players operating in the FMCG space since it’s a business we understand well.”
Besides his own PMS manager, Gilani relies on a counsel of personal finance experts to identify investment opportunities. Though he is guided by the best in business, Gilani is also open to advice, including from friends and family. “It has helped me better understand the opportunity in the start-up and angel investing space,” he says.
While equities continue to be in the top deck of allocation, real estate is out of favour. “Our exposure will be need-based. Poor capital appreciation and lower rental yields do not match our investment goals,” he points out. For now, Gilani is excited about start-ups. “Who knows, we might just end up finding a good fit for Gits,” smiles Gilani