Wednesday, 22nd November, 2017

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MBA aspirant realizes he should rather invest in Mumbai property than his education

12, Jul 2015 By Pagla Ghoda

Mumbai: Serial CAT topper and 7 times GMAT taker Shovit Mukhopadhyay is no less than a celebrity in MBA aspirant circles and is often known as George Clooney of MBA admissions. Shovit finished his B.Tech. from a local college in Bandra in the year 2008 and started his MBA journey 7 years back. He has since than appeared in all possible MBA entrance tests in the country multiple times. He has aced some of the toughest exams such as CAT, MAT, XAT, GMAT, NMAT, JMET, SNAP, IIFT etc. He has even aced other competitive exams such as Bank P.O. and fisheries recruitment board exams multiple times.

Which is a better investment option, MBA or Mumbai's real estate?
Which is a better investment option, MBA or Mumbai’s real estate?

Even after these long years of struggle when Shovit finally got selected for a top-notch MBA program this year he decided not to go for it and invested all his savings in buying 3 plush properties in Mumbai. Faking News met with Shovit for a brief interview.

FN Reporter: Hi Shovit

Shovit: Hello sir

Reporter: 7 years of MBA aspirant experience, cracked CAT and GMAT multiple times, how do you feel?

Shovit: You would have heard a quote, “Well begun is half done”

Reporter: Yes heard that.

Shovit: It’s completely wrong. I began very well, look where I am now, not even half done. Although on a philosophical level I feel fulfilled. I believe all these years of hard-work has made me a subject matter expert in MBA entrance exams now.

Reporter: You strived hard for a top MBA degree but then rejected a top-notch MBA admission offer, why?

Shovit: You would have heard the quote, “Investment in yourself is the best investment.”

Reporter: Yes heard that.

Shovit: It’s completely wrong. Right quote is Investment in real-estate is the best investment. This is why all the money which I saved for my future MBA fee has now been invested into 3 hot properties in Mumbai.

Reporter: But this investment in MBA, was it that huge that you spared paying MBA fee and bought 3 properties instead?

Shovit: Let’s do the math here. I invest 30 lakh in a two year Indian MBA program, as fee, books, exchange program, rents etc. At my current salary CTC of 17 LPA my opportunity cost is further 34 lakhs for 2 years. So, I stand to invest 64 lakhs in next 2 years. Now I won’t get into complexities of loan etc but any 5 or 10 year loan on such an amount will alteast incur 1.5 to 2 times the expense.  I would have ended up investing/not-saving more than a crore.

Reporter: Wow

Shovit: Yes and I have not yet included a few lakhs which I have already spent over past 7 years on MBA coaching, study material and test-series etc. So instead of wasting further money I used all my savings to pay for down payment of these properties, and took loan for rest of the amount. Now the properties are on massive rent which I receive and I pay a very meagre cost in loan EMI.

Reporter: And how did you learn all this?

Shovit: Being a long time MBA aspirant makes you an expert in basic mathematics, general knowledge and politics. I just applied those concepts on my life and decided I no longer want an MBA.

Reporter: So a good-bye to the MBA world?

Shovit: You would have heard the quote: “Stop saving money and just travel.”

Reporter: Yes heard that.

Shovit: It’s completely wrong. The correct quote is stay in one place and earn huge amount of money. I am going to be in the MBA world even more now. Just remember that I am a subject matter expert on MBA admissions, colleges, post-MBA prospects etc. I am being called for motivational lectures and special coaching sessions by leading MBA coaching institutes. No point for me to now get an MBA degree and get into a fresh company in another domain and take 5-6 more years to become an expert of something else. I am infact going to start an MBA coaching by name Kotler MBA coaching center. Huge bucks to be made in this business, I have learned it the hard way.

Reporter: So entrepreneurship as well.

Shovit: Ah that’s a very strong word. I won’t call it that.

Reporter: It was great connecting with you Shovit, best of luck for your future endeavors.

Shovit: Thank you sir.