The Mirage of Control in Investing

Imagine standing on a beach, watching the waves crash. Judged only by the waves, the ocean looks wild and dangerous. But beneath, a powerful tide moves in one direction.

Equity markets are much the same. The daily noise of price movements tempts retail investors to believe they can surf the waves, jumping in and out for quick profits. But in chasing control, many end up exhausted, out of rhythm and far from shore.

For many investors, the ability to buy or sell anytime provides a sense of safety. But that comfort often comes at the cost of returns.

Volatility looks dangerous:

A 15–20% drop in stock price sparks panic, even if the business behind it remains healthy.

Real risks are invisible:

Inflation quietly reduces the value of idle savings but because it creeps in slowly, investors underestimate its bite.

Activity feels like progress:

Frequent buying and selling seems like ‘managing’ risk but each trade adds costs, slowly draining compounding power (if sold at loss, it doesn’t add tax cost; in fact it can reduce tax on profitable trades).

Over decades, these small leaks matter. At 12% returns, ₹10 lakh can grow to nearly ₹1 crore in 20 years. At 6%, it’s only about ₹30 lakh.

A farmer plants, waits and harvests. He doesn’t rip out the trees after one bad season. Investors often do the opposite, withdrawing money at the first sign of stress. What could’ve been an orchard turns into a barren land.

Disciplined investors take the farmer’s approach. They focus on the businesses they own, not on market volatility. They understand that wealth grows like trees - slowly, steadily and invisibly - until one day the shade and fruits are undeniable.

Here lies the paradox: the very feature that feels uncomfortable tying your money to productive businesses for years, is what generates wealth. Wealth generation does not come from liquidity but from letting compounding work quietly over time.

In chasing control of the waves, investors often miss the tide. It’s a mirage we should always be aware of.