The BJP’s decisive and historic win in the state of UP has surprised everyone from analysts to the common man. Before going into the reasons, it is only fair to assume that no significant success happens without a well thought-out strategy and an impeccable execution of the same. Also, it is no secret that sustained hard work accompanied by dedicated, focused and positive approach is the reality behind the cheer and celebrations of any victorious team or individual. So what are the painful efforts behind this lotus bloom? While media channels and newspapers are busy evaluating the reasons behind such a colossal mandate for this party, we look at this landmark political development from a completely different perspective. In my opinion, a post mortem of the reasons for the BJP’s stupendous success amongst other things also offers us useful lessons on how to become a successful investor.
First, an useful principle to remember is that sheer dedication and zeal can help us achieve almost anything. Till about a few months back nobody gave the BJP a chance. It was a given conclusion that it will be a fight between ‘bhaiyaji’ and ‘behenji’ – representing the SP and the BSP, respectively. The BJP minus an acceptable CM face would at best be a significant player if there was a hung house. However, with relentless campaigning, a well thought-out strategy to attract voters and a slew of social reforms like Jan Dhan, Swatch Bharat and Ujjwala Yojana that positively affected the common lives, the BJP was able to create this huge wave. Similarly, I keep meeting investors who give various excuses for not investing in stock markets or mutual funds. Whereas the truth is that they have never put in a serious effort to understand the nuances of the financial markets.
Second, is that this election was won by very careful selection of candidates and a continuous monitoring of each constituency down till the booth level. For any investment to deliver amazing results it has to be backed by sound research and very diligent and active monitoring.
The third important thing is to always keep learning from mistakes and blunders. Delhi and Bihar were terrible outcomes from the BJP’s point of view. Yet they used these debacles to learn and improve. Even the best of investors have lost money on some investments. An important thing is to not get bogged down, but to keep educating yourself and getting better at investing.
Lastly, one must back decisions with confidence. Despite media generally stating that there was no wave favouring the BJP, both the Prime Minister and the party cadre did not waver and did not leave any stone unturned. Whatever investment strategy you follow, there will be opinions for and against it. At times even the returns may not justify your decision as a correct one. However, in the long run out of the ordinary, returns are made only by investors who are able to stick to their conviction.
(The author is CEO, Invest Shoppe India Ltd)