Cover Story

Published: Dec 29, 2021
Updated: Dec 29, 2021

An Investment Wizard

Mr. Amit Mehta entered the world of investments purely by chance after Dena Bank offered him his late father’s job. While working there, Mr. Mehta honed his investment skills to such an extent that he subsequently quit his job and became a full-time stock broker. With the support of his wife Krutika, he set up his first stock-broking firm and went on to become a household name in Surat and even across the country.

Today, Mr. Mehta’s 7-company KA Group has spread its wings overseas and offers a vast array of financial services to thousands of satisfied clients. His philosophy is succinct: Earning and saving are not enough – systematic investing with strategy and proper asset allocation makes your money work for your safer future.

Mr. Mehta has earned a lot of respect and praise for its highly valuable research-based portfolio consultancy services which are unique in the investment space of Gujarat.

Rather surprisingly, Mr. Mehta’s entry into the world of investment consulting was accidental. After his schooling in Chikhli near Valsad, he took up mechanical engineering with the thought of becoming an engineer. When he was half-way through his studies his father, who was working in Dena Bank, died suddenly. This unforeseen circumstance presented a problem of livelihood for the family. Amit was their only hope and, when the bank offered him his father’s job, he jumped at the opportunity, discontinuing his studies.

While working at the bank, Amit started dabbling in the stock market. Then, when his stock broking passion started becoming lucrative, he quit his bank job so as to work full time as a stock broker.

Krutika Mehta – Managing Director

She has vast experience of 17+ Years in Financial Service Industry. She overseas the team operations and also looks into all other aspects like, IT, HR and Legal division of the group.

With its enviable human resources, the KA Group offers a vast product basket for clients, including a ‘KA Portfolio Doctor’ service, financial planning, retirement planning, portfolio management services, insurance planning and tax planning. Amit Mehta is not your average stock broker buying and selling stocks for his clients. He strives to inculcate the investment habit among his clients. As he points out, “Only earning is not enough. One must learn to invest also. After all, investing is very important, if not critical, to make your money work for you. You work hard to earn your money and your money should work hard for you.”

SAFETY NET

Expounding his principles further, Mr. Mehta says, “We explain to our clients that earning money is not enough. You have to resort to financial planning so that you can met your future requirements without any difficulty. And merely saving is also not enough as your saved money will not be enough to catch up with the rising inflation. What is the value of a rupee today will not remain the same tomorrow. While saving is a positive activity, if your saved funds are invested, it will earn more money for you. Again, investing does not always mean speculation. Speculation is always risky, but scientific and systematic investing based on expert advice will multiply your saved money to meet your future needs. I believe that investing is essential to achieve your financial goals. It is the only way to make money so as to make your future better. By making investments, you are also saving and accumulating a corpus for a rainy day.”

Mr. Mehta notes that “this counseling approach has been praised by several of our clients and they have benefitted a lot. Needless to say, many clients have been with us for the last several years.”

‘We are aiming at global reach’ — Amit Mehta

Rich experience in investment councelling has helped the KA group go from strength to strength, avers Mr. Amit Mehta clear-headed conscientious and ambitious Chairman and Managing Director. In an interview to Corporate India, Mr. Mehta points out that during the last 14 years of its existence, the KA group is managing investment around Rs 450 crore. “Viewed in the context of satisfied clients and their growing business, we aim to reach the Rs 1,000-crore mark within the next 4 to 5 years. During this period, our company will go public and get enlisted on a stock exchange,” he maintains.

Excerpts from the interview:

Corporate India: You have achieved a remarkable growth despite being a first-generation entrepreneur. What are the factors responsible for this growth?

Amit Mehta: We don’t restrict ourselves to simply helping investors in buying and selling investment products. Ours is a comprehensive and holistic approach. We provide scientific and systematic investing advice to suit our client’s temperament, requirements and goals. We also provide personalised advice and suggest investment options for the best possible returns. Again, in our dealings there is always clarity, cleanliness, transparency and trustworthiness in investment transactions. What is more, we have appointed highly proficient investment experts. Needless to say, all our verticals have given us a big boost

CI: Historical Low to Historical High! At this point of time, what would you suggest to investors in Equity?

AM: First of all rebalance and re-allocate your investment portfolio. Equity Market is at above 39 P.E ratio which is very high. As per my opinion equity portion should be only 25% in investor’s portfolio. Investors should meet their advisor and prepare clear strategy to follow on and review portfolio at regular intervals.

Meet The Team

Portfolio Doctor on call !

One of the most popular services of the KA group is the ‘KA Portfolio Doctor service’, which Mr. Mehta claims is India’s first professional and personalized portfolio review service. This is a service under which expert guidance is provided for new investments as well as to review old investments at regular intervals. Most Important thing when and how to enter and exit from each asset class is given special attention in this service.

Says Mr. Mehta, “Under this service, our experts analyse the client’s existing investments, examine the current and future prospects of these investments, and revise asset allocation if necessary.”

KA Portfolio Doctor strictly works on 3A’s which is Right Advice, Proper Asset Allocation and Timely Action, Also makes investors follow these 3A’s because without these things it is not Possible to Generate Returns and Achieve Financial Goals.

Right Advice :- Right Advice stands for Suggestions and Guidance at right time. i.e Which Stocks or Funds to Buy, When to Enter and Exit, Goal Achievement Plan etc.

Proper Asset Allocation :- Proper Allocation and Selection of Asset from various Asset Class. i.e How much Portion of Equity, Debt, Currency, Global Markets, Gold, Real Estate Etc.

Timely Action :- Actions at Right Time. i.e. Review and Rebalance of Investment Portfolio when needed.

These 3A’s with Personal Touch increases the Probability to multi fold returns.

He elaborates, “If the yield on one’s investments is low, there must be certain reasons which include unprofessional advice and improper asset allocation. KA’s ‘doctor’, who is a knowledgeable investment counselor, will give personalized and professional advice and help in suggesting proper allocation and re-allocation. If some investor had invested without proper goals, the ‘doctor’ will build a strategy based on one’s goals. When someone has invested in many schemes, the ‘doctor’ will help in selecting the best-performing schemes. What is more, the portfolio doctor will review one’s portfolio at regular intervals and help the investor achieve better returns. If an investor has unrealistic expectations, the ‘doctor’ will guide him/her to make the right decision at the right time so as to achieve better returns.”

KA Portfolio Doctor provides different strategy for different class of Investors like NRI, Ultra HNI, HNI and Retail Investors. KA Portfolio. Doctor focuses in all Asset Class like

PD in Equity :- As we know Equity Market in Uncertain and full of volatility, it is necessary for investor to have proper knowledge before investing. But today investors just try their luck and invest blindly in scrips recommended by their friends, relatives or colleague. They don’t have proper understanding of which stocks they are buying, which industry it belongs etc. So, it all needs a well experienced financial advisor to manage portfolio and give them proper advice. KA PORTFOLIO DOCTOR Helps in doing so. It provides a ready strategy according to their profile, risk appetite and Goals.

PD in Real Estate :- It is necessary for investor to have proper knowledge before investing in Real Estate. Many Investors have bad experiences with it as they make mistake in What to buy ? Why ? What should be the Price ? etc. There is lack of detailed research and study in it.

In Real Estate, Research of our experts help investors and educate them well before investing. There are four purpose for investing in Real Estate as mentioned below :-

Category A ; - Invest for earning higher returns.

Category B ; - Invest for Rental income as well as good liquidity.

Category C ; - Invest for Residence or Use.

Category D : - Invest for Second home (Farm House)

If investor selects it well, he will surely meet his motive of Investment.

PD in Others :- In Asset class like Currency, Commodities, Debt etc. also Portfolio Doctor helps investors as what portion should they keep in their investment portfolio.