When it comes to investing, we often hear about the power of timing in the market. But there’s a less talked about aspect of timing that gives individual investors a significant advantage over mutual funds, institutional investors, and money managers. It’s the freedom to define your own timeline—your own financial year, your own milestones, and your own success metrics.
For me, that timeline is tied to my birthday. Every year on August 18th, I declare my financial results—my investing performance for the year. It’s not aligned with the financial year, the calendar year, or even the end of a quarter. It’s simply a personal milestone, and it gives me an edge that most institutional investors don’t have.
Timing is Everything
Why does this matter? Timing gives you flexibility. If I were a mutual fund, I’d be required to publish my fact sheet every month, listing my returns, portfolio updates, and performance metrics. It’s the nature of the beast—mutual funds are accountable to their investors, and that pressure often leads to short-term decisions.
But as an individual investor, I can focus on the bigger picture. My portfolio’s success isn’t judged every month; it’s judged once a year, on my own terms.
Last year, on August 10, 2024, I was ₹20 lakh short of my portfolio target value. In the next week, I managed to achieve my target. For the four months that followed, my portfolio didn’t change at all, despite investing an additional ₹10 lakh into fresh purchases. If I were running a mutual fund, this stagnation would’ve raised alarms. Investors might have pulled their money, questioning my strategy. But as an individual, I have the advantage of patience and perspective.
The Power of Staying the Course
One of the biggest lessons I’ve learned is this: as an individual investor, your greatest strength is your ability to keep your head down and just keep investing.
Market fluctuations don’t matter in the grand scheme of things. Whether the Nifty goes up, down, or sideways, it’s irrelevant as long as time is on your side. Time evens out the highs and lows, rewards consistent investing, and diminishes the impact of short-term volatility.
Many investors panic when markets dip or when their portfolio seems stagnant. But those who understand the power of time know that patience pays off. Markets move in cycles, and growth is often slow and steady, not immediate or exponential.
Institutional Pressures vs. Individual Freedom
Institutional investors face constant scrutiny. They’re judged on quarterly results, forced to justify every trade, and pressured to deliver short-term gains. This often leads to reactive decision-making, like selling winners too early or chasing high-risk bets to boost short-term performance.
As an individual investor, you don’t have to play by those rules. You’re accountable only to yourself, and this allows you to take a long-term approach. You can ride out the downturns, focus on quality investments, and avoid the noise of daily market fluctuations.
Time is Your Best Ally
The truth is, no one beats time. Not the most experienced money managers, not the most advanced algorithms, not even the biggest institutions. Time is the great equalizer, and it rewards those who stick with their strategy.
Here’s what I want you to take away:
Define your own timeline: Don’t get caught up in arbitrary deadlines or market cycles. Your financial journey is yours alone.
Stay consistent: Keep investing, even when the market feels uncertain. Over time, your discipline will pay off.
Ignore the noise: Don’t let short-term setbacks derail your long-term goals. The market may stumble, but time is always on your side.
Celebrate Your Milestones
For me, August 18th isn’t just my birthday—it’s a celebration of my progress as an investor. It’s a reminder that success isn’t about beating the market every month; it’s about achieving your goals over time.
So, set your milestones, stay the course, and trust the process. Keep your head down, keep investing, and remember: no one beats time. But if you work with it, time will make you a winner.