The Harsh Reality of Trading in Nepal: Why Young Traders Must Stop Chasing Quick Money

Article By: Raju Khatiwada

Introduction:

In recent years, trading in the NEPSE (Nepal Stock Exchange) has attracted a new generation of young investors, especially after the historic bull market of 2077/78 BS. Social media is flooded with stories of people turning small investments into massive profits. From TikTok tips to Telegram groups, everyone believes trading is a shortcut to instant wealth.

But here’s the truth: trading is not a get-rich-quick scheme. This article is a reality check for young Nepali traders who dream of becoming crorepatis overnight, without understanding the risk, skill, and discipline required to survive in the market.

1. 
   Trading is Not a Shortcut to Wealth
   The biggest myth is that trading is an easy way to become rich. In reality, trading is a profession, just like being a doctor, engineer, or pilot. It takes years of learning, practice, and emotional control.
   
   Real Example:
   In 2077 BS, a college student from Butwal made Rs. 3 lakhs from Rs. 50,000 by trading hydropower stocks during the bull run. Excited, he invested all of it into one high-flying company and within months, lost 70% of his capital.

He didn’t fail because he was unlucky; he failed because he lacked risk management and patience.

Lesson: One or two lucky trades do not make you a trader. Long-term survival in the market depends on skill, not luck.

2. No, You Can’t Turn Rs. 10,000 Into 1 Crore Just Like That
   Many young traders message me:

“Dai, 10,000 cha, aba 1 crore banaune soch cha.”

Let’s do the math:

Even if you get a 1000% return on Rs. 10,000, which is incredibly rare, you’ll have Rs. 1,00,000.

• 10,000 + 1000% return = Rs. 1,00,000
• You still need another 9,00,000 to reach 1 crore.

And here’s the reality: You won’t get a 1000% return every time.

Even the best traders in the world aim for 15%–30% per year. In Nepal, a consistent 50%–100% yearly return is considered outstanding, and even that requires strategy, control, and years of practice.

Lesson: Small capital grows slowly. Wealth comes from consistent profits + long-term investing, not miracles.

3. In Your 20s, Don’t Make Trading Your Life Goal
   Many people ask me:

“Dai, aba kati paisa lagayera trading start garne?”

My honest answer is: “Rs. 0 if you’re not ready.”
Because your early 20s should not be about chasing profits. They should be about:

• Learning new skills
• Trying 10 different things (freelancing, business, internships, content creation)
• Building a network and mindset
• Understanding how money works

If you jump straight into trading without financial literacy, you’ll likely burn out and give up, or worse, lose your savings.

Lesson: Use your 20s to explore, learn, and build. Trading can wait, your foundation cannot.

4. One Trade Will Not Change Your Life. It Might Destroy It
   Another tragic mistake is betting everything on one “sure shot” trade.

Some people put their entire savings, or even borrowed money, into one trade, thinking, “If it works, I’ll double my money.”

Real Example:
A follower once told me he invested his Rs. 2.5 lakh marriage fund into a single stock, expecting 2x returns. That stock dropped by 60% in two months. Not only did he lose money, but he also lost peace, sleep, and trust.

This is not trading -it’s gambling.
Who should trade? Only if you:

• Don’t have to pay rent or support a family
• Are you okay losing some money without affecting your lifestyle
• Treat trading as a skill-building process, not a lottery ticket

Lesson: If losing money will damage your life or mental health, you should not be trading.

Conclusion: Let Your 20s Be a Time to Build, Not Break
Trading can be a powerful skill, but only if approached with discipline, education, and long-term thinking. NEPSE is not a casino. You don’t need to gamble to grow your wealth.

Start with:

• Learning about personal finance
• Building emergency funds
• Investing in yourself, not in “tips”
• Practicing with small amounts, or even paper trading
• Thinking long-term, not overnight success

Truth:

The market doesn’t reward greed; it rewards patience and preparation.

If you want to become truly wealthy, focus on building habits, skills, and strategies. Not just profits.