Money & Me: ‘I wish I had spent more in my 20s’

Gautam Aggarwal, managing director of Gautam General Trading, picks an Emirates Hills villa he renovated and sold as his best investment

Gautam Aggarwal, managing director of Gautam General Trading, says he's been a big saver from childhood. Antonie Robertson / The National

As a third-generation businessman, Gautam Aggarwal had to undergo a trial by fire on many occasions.

The managing director of Gautam General Trading, a rice trading business, Mr Aggarwal has learnt to never rest on his laurels and get complacent. Instead, he remains laser-focused at work.

Mr Aggarwal, 35, came to the UAE in 2006 from the city of Amritsar, in the north-western Indian state of Punjab.

He completed his bachelor of commerce in finance from the University of Wollongong in Dubai and a leadership certification from IMD Business School, Switzerland.

He joined Gautam General Trading in 2010 as territory sales head and worked as country manager in Nigeria.

From 2013 to 2016, Mr Aggarwal led the company’s African expansion and opened operations in six new countries.

As chief operating officer and head of business development, he spearheaded the Gulf market expansion and also set up new offices in Oman and Mumbai.

Since his appointment as managing director in 2020, his initiatives have included expanding into new markets. These include Saudi Arabia, the Philippines and South Africa, among others.

Mr Aggarwal, who’s passionate about cricket and skiing, lives in Bur Dubai with his parents, wife and six-year-old daughter.

Did wealth feature in your childhood? What did you learn from it?

Being a third-generation business, it's never a straight line up, there's always ups and downs.

When I was born, the family had a lot of wealth and properties, but there were some liabilities, too. There was wealth, but we weren't in the upward cycle then.

I learnt that it's very important to be humble, hardworking and be focused at work. When the company starts doing well, a lot of people – even when they're humble and hardworking – lose focus, and that's when the business performs poorly.

All these three aspects are important in life for everyone and to grow business and wealth.

How did you first earn? What did your first job pay?

My first job was a part-time internship at university. I did two internships. One was at Gitex and the second was online marketplace Tejari, which paid me about Dh3,500 ($953) a month for up to 30 hours. Gitex paid Dh5,000 for four days of work.

Any early financial jolts?

I joined the business in 2010, and in 2012 we had a lot of losses. The strategy was not correct and we lost focus. It was almost coming to a point where we might have had to close the company and maybe pivot to India. It was very stressful.

It taught me to never give up and how to handle stress at work. It also taught me to differentiate between loyal and disloyal friends and team members. It made me very strong, resilient and value success even more.

It enabled me to focus a lot on my business and life, even when I'm doing well, and not be complacent.

How do you grow your wealth?

We, as a family and me personally, are doing very well. We have a substantial investment account. We work with credible advisers to grow our wealth in the investment account.

We started withdrawing dividends from the business a few years ago only. A majority of money still lies in cash, but we have invested in fixed income, which means bonds, and alternatives like private equity and private credit.

We would like to invest more in equities. Since the stock market is high right now, we are happy to keep it in cash and receive 5 per cent to 5.5 per cent returns each year until the Fed drops interest rates.

The second way to grow wealth is by growing the business. Most wealth of family businesses would lie in their business itself. Probably 80 per cent of our wealth would come from our businesses, 10 per cent to 20 per cent would be sitting outside, maybe in investment accounts or properties.

The third way is by controlling your urges. Sometimes you want to buy a fancy car or explore places. Controlling those urges helps grow your wealth.

Are you a spender or a saver?

I'm a big saver, right from my childhood. I remember I had half a million Emirates Skywards miles before Covid. I would travel a lot, but I would not use these miles. So, I've always tried to save, not just money, but other things as well.

Have you been wise with money?

Yes, but I wish I would have spent a little bit more in my 20s. I did not spend as much as I could have.

What has been your best investment?

We bought a villa in 2018 in Emirates Hills, Dubai. We put a substantial amount of money in renovation. But after the villa was renovated in 2021, we felt that the family's requirements had changed.

The market was good and we were able to sell the villa for a very good profit. This was one of our best investments.

Any cherished purchases?

I've a couple of watches that I love and wear every day – two Rolexes and a Patek Philippe.

Apart from that, I love my Tesla car. Its autopilot feature is good for Dubai traffic and you can put the AC on in advance, especially during summer.

I love cars and watches. I had a Porsche 911, which I sold last year. I'm looking to buy a sports car soon.

Any key financial milestones?

I've had an objective since I joined the company to have some money as reserves, separate from business. We have it now with an eight-figure investment account. I hope that I can grow it to a nine-figure investment account in a couple of years.

What luxuries are important to you?

I like splurging on travel as it rejuvenates me. Being able to afford the best health care is very important. Whenever I or anyone in my family fall sick, I would like them to get the best health care, whether it's in the UAE or elsewhere.

Also, the freedom to pursue passions is a luxury I cherish.

What are your financial goals?

We are very happy with the state of our finances today, but we want to grow it further.

How do you feel about money?

Money is important, but it's one of the multiple facets of life. Health, relationships with family and friends are important. So is having fun at sports.

If you're not able to afford good education for your kids, food on your plate, shelter or clothing, then money is the only important thing in life.

Once you cross the middle-class life, I think money is not super important for happiness. It's important to be more balanced about life.

Beyond the middle-class or upper-middle class life, all that money does is provide you a sense of entitlement and ego satisfaction.

In my state today, I don't think money is very important. But when you're working hard, money always becomes one thing that you keep running after, but I tell myself not to do it.