Non Performing Asset(NPA)

NPA refers to classification for loan which aren’t recovered by banks or other financial institution. The bank provides loan to various industry segments. Some of them leads to failure other turns to profit. Here low success rate is not fruitful like in the investment world as the interest on loans doesn’t turn thousand times like the investment in markets. The loans whose interest or principal amount payment remained due for more than 90 days is considered NPA.

Turning the wheels, there will be stocks in your portfolio which are too like NPA whose value is deteriorating with time. However, you won’t be willing to remove them as you have the last hope of the share price bouncing back, but it will be a black swan event. People don’t want to proved wrong. They will extend the argument to the point until they win. Such clashes create misunderstanding result in broken relationships.

Time is the most important asset one has. God hasn’t given someone more or less. The difference is how we use it.

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If you look back to past decades of your life, you can come across many non performing habits that you have formed. One is so indulged in them that it even becomes difficult to accept them as wrong doings. For instance, we all know waking up at around sunrise is the best time, still if we don’t make efforts to change our sleep cycle, the fault is ours. You may not get the desired result. Results take time. However, not attempting to achieve the goals is lack of disciplined life. The lack of will to change. The lack of doing the right thing. Compounding doesn’t differentiate between good or bad. It will compound the bad habits the same way it will compound the good ones.

Like Steve Jobs, you can too connect the dots. Look into the past decade of your life and observe the events which have transformed you the way you are.