Mukesh Ambani Bears USD 1.9 Billion Every Trading Day

Mukesh Dhirubhai Ambani, an Indian Business Magnate. Almost everyone in India knows him and his firms. He is the largest shareholder of Reliance Industries Limited which is a Fortune 500 company. Reliance Industries can also be said to be India’s most valuable based on its market value.

Volatility in Sensex

When we look at the state of the stock market these few days. It can be seen that it is very volatile. The bears seem to be the rage these days. It can be said that the Indian Mughal Mukesh Ambani has also seen a negative impact on his portfolio. As of last week, Mr. Ambani has once again maintained his tag of being the richest Indian for the eleventh time.

But, in the four trading sessions, where Sensex was volatile, Mr. Ambani has lost as much as $7.7 billion. It means that he has lost almost $2 billion on each trading day. To be precise, the amount lost in each trading session was $1.926 billion. When it is converted into Indian currency, it amounts to 14,245 crores on each trading day. While he’s rich through and through, he has also lost a significant amount in the last trading days.

Decrease in Ranks

According to Bloomberg, Mr. Ambani’s net worth which was $47.2 billion on September 29, it is currently $39.5 billion on October 5. That is quite a significant decrease. Although his net worth is currently $39.5 billion, losing 2 billion is not less. Even for a billionaire like Mukesh Ambani. With the latest fall in the stock market, Mukesh Ambani in the global billionaire index currently ranks 18. This is also a significant increase in the ranks from his previous 12 in the world.

Reason for the crash

So, with Mr. Ambani’s net worth currently at $39.5 billion, he has reduced in the billionaire index ranks by a drastic six places and currently ranks 18th richest in the world. As on September 28, Mukesh Ambani from the previous data was the 12th wealthiest person in the world. The reason for the crash in the Indian equity markets in the past few days can be because of the foreign investors. The foreign investors have pulled out over Rs. 9,300 crores which can be  $1,25,44,77,000 which then lead to the tenacious fall in the rupee and subsequent rise in the price of crude oil.

The latest resignation comes following a net discharge of over Rs 21,000 crore from the capital markets (both equity and debt) last month. Preceding to that, the foreign investors had put in a net amount of Rs 7,400 crore in July-August which can be amounted to $99,83,34,000. This amount is not only a significant decrease in the stock market. But, it also impacts the Indian economy a lot. With the fall of rupee and increase in the crude oil price, normal people are already not able to afford the fuel for everyday use. If the situation does not improve, it is quite difficult in the business world as well as the common people.

Chetan Mittal: