An Investment Wizard

Published: Jan 31, 2022
Updated: Jan 31, 2022

KA Group of Industries

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.

Meet Amit Mehta, a dynamic and far-sighted investment expert and founder of the Surat-based KA Group Of Companies set up in 2006. During the last 14 years, the group has emerged as a leading financial and investment advisory entity on the domestic scene. Now, the ambitious Mr. Mehta has started expanding overseas, with the objective of turning the KA Group into an Indian financial MNC. Though his first love is the stock market, with which he has been involved for the last quarter-century, his group companies deal with varied segments of investment like mutual funds, insurance, real estate, M-Gain, currency, commodities, trading, funding, textiles, e- commerce and pharmaceuticals.

Today, the KA group consists of seven companies — KA Finsec Services Private Ltd, KA Financial Services LLP, KA Finsec General Trading FZC, KA Finsec Services Ltd, KA Financial Consultancy PTE Ltd, Krina E-Commerce Pvt Ltd and Khevna Fashions Pvt Ltd.

With overseas offices in the UAE, Singapore and the UK, the group provides investment consultancy services to its clients spread across Australia, Canada, Switzerland, Spain, Malaysia, US, Saudi Arabia, the Middle East and the UK. With evident pride, Mr. Mehta says, “By now I can boast of having a 12,000+ satisfied client base all over the globe.”

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.

SUPPORTIVE SPOUSE

Mr. Mehta sees the stock market as an extra-ordinary investment market and not a ‘satta bazaar’ as many would believe, and stresses the need for a scientific and systematic approach to make money in the stock market. To this end, he has trained a large team of in-house analysts so as to provide proper counselling to clients.

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: You are now famous even beyond Surat

AM: I am not thinking of operating in Gujarat or even India only. I would like the KA group to emerge as a global investment counselling company and become an Indian financial MNC.

CI: How is your real estate vertical performing?

AM: We are very active in this vertical also. Of late, people’s interest in this sector is on the decline. But we are waiting for real estate demand to rise and are confident of doing well in this sector too.

CI: Do you feel it was a good move to leave engineering studies and take to the financial investment field? Do you regret your decision?

AM: Not at all. I think that what we are doing is in the right direction. In today’s time, proper investment has become a very complex issue and proper and professional counseling is a welcome exercise in the service of the ordinary retail investor. And again, I have realised that investment is my favorite subject. I would like to scale new highs in this segment at the global level.

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.