| One of the key to riches is to be financially literate. | | | | funds and a few individual stocks. Drive by fear, |
| This was what the Rich Dad taught in Robert | | | | these are people playing not to lose. Most of us, fall |
| Kiyosaki's book, "Rich Dad, Poor Dad". | | | | into this category. We want to protect our capital. |
| Does wealth then come automatically once you | | | | We are low risker takers. Of course, a balanced |
| became financially literate? | | | | portfolio is definitely a lot better than no portfolio. It |
| Not necessarily and not certainly. Robert Kiyosaki | | | | seeks safety through diversity. It is important to |
| believes that despite attaining a certain level of | | | | have a financial plan for security and comfort first. |
| financial literacy, personal obstacles can prevent even | | | | However, if you have any desire to become wealthy, |
| the most financially literate from attaining their | | | | you need to focus and not diversify. |
| financial goal. These people will still continue to work a | | | | You must put a lot of eggs in a few baskets rather |
| full time job, living from paycheck to paycheck | | | | than putting a few eggs in many, as advocated by |
| instead of living a life which they dream of. | | | | Robert Kiyosaki. |
| Robert Kiyosaki listed the top 6 personal obstacles to | | | | If you are frightened by the prospects of failure, |
| your financial success as | | | | then play it safe first. Continue to keep your day job |
| 1. Fear | | | | until you have accumulated enough money resources |
| 2. Cynicism | | | | to buy bonds and mutuals. Consult with your financial |
| 3. Laziness | | | | advisor or planner to see what your portfolio should |
| 4. Bad Habits | | | | be if needed and adjust accordingly as you goes |
| 5. Arrogance | | | | along. You work at attaining your security and |
| 6. Disappointment | | | | comfort first before working on attaining your |
| 1. Fear | | | | financial goal. Your journey to your financial goal will |
| The main reason why 85% of the world struggle | | | | be therefore be very much slower and take a very |
| financially is fear - The fear of losing money. But fear | | | | long time. |
| is not the real issue here. The real issue is how you | | | | If the prospect of failure, however, inspired you to |
| handle fear. Robert Kiyosaki explained. | | | | carry on fighting for your financial success, may be |
| Robert Kiyosaki understood from his Rich Dad that | | | | you should challenged yourself to change your |
| the primary difference between rich people and poor | | | | financial habits. |
| people is how they manage the fear of losing money. | | | | As it says "No risk, no gain". Higher return in |
| When suffering a loss in finance, some would just | | | | investment is usually accompanied by higher risk level. |
| give up. Others will try to transform the loss into a | | | | If you want high return in investment, you need to |
| win. | | | | face higher risk level. Do not play it safe anymore. |
| As John D. Rockfeller said, "I always tried to turn | | | | You will need to increase your risk appetite and learn |
| every disaster into an opportunity." | | | | to taken on some calculated financial risks based on |
| Winners are those who are inspired by failures. | | | | your financial literacy. |
| Losers are those defeated by failures. In short, the | | | | As Robert Kiyosaki puts it, "Increase your financial |
| rich will still act in spite of fear. | | | | knowledge and then learn to take some calculated |
| Robert Kiyosaki commented that people are so | | | | financial risks. The more financial education you have, |
| afraid of losing money, they played it too safe and | | | | the more you can manage and minimized the risk." |
| eventually do not attain their financial success. If they | | | | Managed the risks well and the gain will follow, and |
| have some cash, most people would go out and bug | | | | you will be on the fast track towards your financial |
| big houses, big cars and other "ego" toys. Or they | | | | goal. |
| would go on long vacations, which they justified as | | | | In the next few articles, I will carry on to describe |
| they deserved it, rather than investing. | | | | the rest of the personal obstacles to your financial |
| If not, they invest all their money in balanced | | | | success as defined by Robert Kiyosaki. |
| portfolios - in CDs and low-yield bonds and mutual | | | | |