Meet Nikita Daga, a 1% Club member since August 2023 and Business Head at Bearing Logistics in Delhi. Born in Varanasi, Nikita comes from a close-knit family that deeply values relationships, culture, and education. In December 2019, she got married and has a 21-month-old-daughter.
Deeply inspired by her father’s successful yarn and textiles trading and distribution business, Nikita has started her own entrepreneurial journey by taking up the business head’s role in her husband’s business specialising in industrial bearings. Earlier, after completing her studies, she had worked at Cinepolis and ANS Commerce gaining valuable experience and insights.
Nikita joined the 1% Club to fine-tune her financial knowledge and expand her skills. She aspires to generate a sustainable passive income through her learnings at the club while helping her husband grow his business.
Read further to know more about Nikita’s journey. Edited Excerpts
What led you to start saving or investing?
Growing up in a Marwari family, I was taught the importance of savings from an early age. When I began earning my salary in 2017, we started with small Systematic Investment Plans (SIPs) and Fixed Deposits (FDs). My father had also secured our family’s future by investing in LIC and Mediclaim policies. Our financial strategy primarily focused on insurance and fixed deposits. To maximise my savings, I chose to live in a rented PG with shared rooms.
What mistakes did you make at the beginning of your financial journey?
I began investing in Mutual Funds initially with little understanding of how to choose the right funds. With no prior experience, I started by randomly selecting Mutual Fund companies for my investments. I didn’t know that there was a proper calculation to choose the right Mutual Funds. Taking help of YouTube videos, I tried to understand a few concepts but nothing was very specific to what I wanted. This led to me picking stocks with less knowledge about graphs and investing in the wrong stocks at the wrong time.
Have you had any interesting experiences while investing?
During the early days of my investment journey, I encountered an interesting incident when I decided to explore mutual funds. I randomly picked funds based solely on their past performance, hoping for high returns. I vividly remember investing in a fund that had shown impressive returns over the past year. However, soon after I invested, the market took a downturn, and the fund’s value dropped significantly.
Initially, I was anxious and unsure of what to do. However, this incident taught me the importance of understanding market cycles and the need for a diversified portfolio. I realised that past performance doesn’t guarantee future success. Also, research and a well-thought-out strategy are crucial in investing.
As a result, I started learning more about risk management and diversification. This experience helped me become more patient and disciplined with my investments. It was a turning point that shaped my approach to investing, emphasising long-term growth over short-term gains.
What’s your current asset allocation?
Mutual Funds: 12%
Stocks: 33%
Bank Savings: 15%
Fixed Deposits: 34%
Govt Savings Schemes: 6%
Stocks and Mutual Funds are giving me good returns. I have also purchased Life insurance and Mediclaim.
What are your short-term and long-term financial goals?
My short-term goal is to gain 30% plus return from my equity portfolio. My long-term goal is to become financially independent by the age of 40.
What have you learnt since joining the club?
Joining the 1% Club has been a transformative experience in my financial journey. Through Sharan Hegde’s master class, I’ve selected mutual funds that gave impressive returns of over 30%. His teachings have provided a clear framework for identifying the best mutual fund companies, greatly enhancing my investment strategy.
The stock market, once a daunting prospect, has become much more approachable thanks to Shashank Udupa’s weekly sessions. His in-depth analysis and interactive Q&A sessions have significantly improved my stock-picking skills, resulting in substantial returns. The process of investing in the stock market is now not only more profitable but also more engaging.
The knowledge I’ve gained from the 1% Club has empowered me across all aspects of my financial journey. For instance, when applying for a car loan, I was able to negotiate the insurance premium down from Rs 60,000 to approximately Rs 30,000, thanks to Sharan’s insights into car insurance. Understanding concepts like the No Claim Bonus (NCB) and what’s included in the insurance policy ensured that I was well-prepared and couldn’t be misled.
Being part of this club is truly a blessing, providing invaluable guidance and wisdom that I apply in all areas of my financial life.
Also Read: How This Business Owner Took Control of His Finances After Losses in F&O, IPOs
Have your returns increased since joining the club?
Yes, my returns have improved drastically. Mutual funds are giving me more than 30% returns and my stock market portfolio is giving me 15% plus returns, which was less than 10% before joining the club.
How has joining the Club added value to your life?
As a daughter-in-law, influencing financial decisions was never my strong suit, and I often felt less confident about it.
Joining the 1% Club has truly been a blessing, transforming my confidence and capabilities in every aspect of my life. Now, my husband relies on me to plan his investments and savings, trusting my ability to handle our finances better. He even entrusts me with managing our money, acknowledging my expertise.
Whenever we consider borrowing loans, securing insurance, or making significant financial decisions, my family actively seeks my advice. They have come to appreciate the importance of being informed in this area and avoiding being misled. This new role has brought immense value to my life, and I couldn’t be more grateful to the club for empowering me with the knowledge and confidence to make such a positive impact.
Disclaimer: The above content is based on the information provided by Nikita Daga. The 1% News doesn’t independently verify non-public data reported by interviewees.
