Today, I will be sharing with you a tip of the lessons I learned from Robert Kiyosaki’s book “Rich Dad’s Guide to Investing,” what the rich invest in that the poor and middle class do not. Though this book carries in-depth details of investing, it also contains fundamentals of building a successful business from scratch.
“Years ago, I asked my rich dad, ‘what advice would you give to an average investor? His reply was ‘Don’t be average” – Robert Kiyosaki
It was from Rich Dad’s guide to investing that I realized that the greatest investment of all is building a business and I wrote an exclusive article about this perspective. You can read the article here: “The Best Investment Opportunity with the Highest Returns on Investments.” In Rich Dad’s guide to investing book, Robert Kiyosaki really exposed the ins and outs of financial literacy, investing with due diligence and building a business from scratch.
Who should read Rich Dad’s guide to investing? Rich Dad’s guide to investing was written for anyone who wants to take hold of his/her financial future. It was written for those who want to develop the skills to analyze investments; from stocks, real estate to commodities. If you want to become a sophisticated investor, then this book is for you. Rich Dad’s Guide to Investing: What the Rich Invest in, That the Poor and the Middle Class Do Not!
Rich dad’s guide to investing also explain in details the step by step entrepreneurial process of building a business and taking the business public. In Rich Dad’s guide to investing, you will learn:
1. The seven basic rules of investing
2. How to become a sophisticated investor
3. The ten investor controls
4. The basics of fundamental investing
5. The basics of Technical investing
6. How to keep your day job and still become rich
7. How to turn personal expenses to business expenses
8. Why rich people go bankrupt and how to avoid it
9. How to make money without money
10. How to build a business around your idea
Below is an excerpt from the Rich Dad’s guide to investing:
How to See Investment Opportunities
If you have plans on becoming rich by being an investor, I would say that having a good working knowledge of a financial statement is a minimum requirement. Not only will it improve your safety factor, it will also allow you to make much more money in a shorter period of time.
The reason I say this is because being able to read a financial statement will allow you to see investment opportunities that the average investor misses. The average investor looks primarily to price as the opportunity to buy or sell. The sophisticated investor knows that most of the best investments are not visible to the untrained eye.
Rich Dad’s guide to investing taught me that you make the most money as an investor by being financially literate as well as knowing internal strengths and weaknesses of the investment.
Table of Content
Phase One: Are you prepared to be an investor
Chapter 1: What should I invest in?
Chapter 2: Pouring a foundation of wealth
Chapter 3: The Choice
Chapter 4: What kind of world do you see?
Chapter 5: Why investing is confusing
Chapter 6: Investing is a plan, not a product or procedure
Chapter 7: Are you planning to be rich or are you planning to be poor
Chapter 8: Getting rich is automatic……..if you have a good plan and stick to it
Chapter 9: How can you find the plan that is right for you?
Chapter 10: Decide now what you want to be when you grow up
Chapter 11: Each plan has a price
Chapter 12: Why investing isn’t risky
Chapter 13: On which side of the table do you want to sit?
Chapter 14: The basic rules of investing
Chapter 15: Reducing risk through financial literacy
Chapter 16: Financial literacy made simple
Chapter 17: The magic of mistakes
Chapter 18: What is the price of becoming rich?
Chapter 19: The 90/10 riddle
Phase Two: What type of investor do you want to become
Chapter 20: Solving the 90/10 riddle
Chapter 21: Rich Dad’s category of investors
Chapter 22: The accredited investor
Chapter 23: The qualified investor
Chapter 24: The sophisticated investor
Chapter 25: The inside investor
Chapter 26: The ultimate investor
Chapter 27: How to get rich quick
Chapter 28: Keep your day job and still become rich
Chapter 29: The entrepreneurial spirit
Phase Three: How do you build a strong business?
Chapter 30: Why build a business
Chapter 31: The B-I Triangle
Chapter 32: Cash Flow management
Chapter 33: Communication management
Chapter 34: Systems management
Chapter 35: Legal management
Chapter 36: Product management
Phase Four: Who is a sophisticated investor?
Chapter 37: How a sophisticated investor thinks
Chapter 38: Analyzing investments
Chapter 39: The ultimate investor
Chapter 40: Are you the next billionaire
Chapter 41: Why do rich people go bankrupt?
Phase Five: Giving it back
Chapter 42: Are you prepared to give back
In conclusion: Why it does not take money to make money…….Anymore
This is all I can share for now. You definitely don’t expect me to divulge the deeper lessons I picked up from the book, that’s left for you to find out when you order your own copy.