Stop obsessing over 15% returns. This is what actually builds wealth, warns CA

In a world obsessed with high returns, investors often forget the human element behind the numbers. CA Nitin Kaushik highlights how chasing the “highest return” can become a psychological trap, leading to panic, poor decisions, and unrealised wealth. While spreadsheets favour flashy numbers, real-life investing is governed by emotions, temperament, and the ability to stay invested through volatility, not by chasing the next 15% gain.

Kaushik emphasises that the math behind returns assumes a robotic investor, unaffected by fear or anxiety. In reality, a 15% return often brings volatility that triggers panic selling at the worst possible moment. A return that can’t be emotionally managed is a return that will never truly materialise. Predictability and consistency in outcomes, he argues, are far more valuable than the illusion of quick gains. Stable, moderate returns allow investors to behave rationally, while aggressive or volatile strategies invite emotional reactions that erode wealth.

The principle of compounding rewards patience and steadiness over flashy performance. Kaushik explains that time compounds exponentially while returns increase linearly, making consistent investing far more effective than sporadic attempts to chase the highest numbers. A 20-year investment at a modest 10% outperforms short bursts of 20% returns, because long-term wealth grows not from timing the market, but from staying invested and letting compounding quietly work.



Success in investing, Kaushik argues, is less about market timing and more about managing your own reactions. Most people believe they are managing money, but they are often managing their response to uncertainty. Portfolios that induce constant stress and hourly checking become a high-stress second job rather than a true investment. A system designed to be predictable, stable, and even “boring” allows compounding to operate without interruption, creating wealth quietly and reliably over decades.


Observing investor behaviour over time, Kaushik notes a clear pattern: the steadiest hand consistently beats the fastest runner. Patience, consistency, and emotional discipline—more than chasing high returns—are what build enduring financial success.