A couple of months ago, I was in St Louis airport and picked up a copy of Robert Kiyosaki‘s Guide to Investing: What the Rich Invest In, that the Poor and Middle Class Do Not. Initially it didn’t appear that appealing, as Kiyosaki’s other books often seem overly simplistic and punctuated with bombastic statements that border on ridiculous.
However, I was pleasantly surprised by Kiyosaki’s Guide to Investing. Whats interesting about the book is not the actual technical recommendations that Kiyosaki makes – much of this you can get from his other books; invest in assets, not liabilities, educate yourself, etc. Whats interesting about the book is how Kiyosaki’s perspective has evolved relative to his earlier work, Rich Dad Poor Dad.
Specifically, Kiyosaki seems to have elaborated more on his theme of thinking like a rich person. This comes across in his discussion of the “90/10 riddle” – referring to the fact that 10% of the people own 90% of the nations wealth. Rich people become rich, Kiyosaki argues, by maintaining a positive affirming mental attitude, by focusing on building profitable businesses and by efficiently allocating their time to high return projects. On the other hand, the focus of the earlier Rich Dad Poor Dad is devoted to addressing common misconceptions regarding wealth – such as the false belief that owning a house is an asset, not a liability.
The changing emphasis seems to parallel developments in Kiyosaki’s own personal life. In the final chapters of the Guide To Investing, Kiyosaki professes his goal to be billionaire and outlines his efforts to learn to take start up companies public. Interestingly, Kiyosaki has recently been engaging in high end promotion deals with Donald Trump and Steve Forbes, which suggest his goals and focus on start ups rings true. In short, Kiyosaki seems to have graduated from his multilevel marketing roots to the big leagues, and it shows both in the content of his book and in his recent business dealings.
If you already have the personal finance basics nailed down, you might consider picking up a used copy of Rich Dads Guide to Investing. Its more advanced focus and easy reading style might help keep you motivated after you’ve done the obvious moves to improve your finances.
Best,
James
