on August 13, 2003
while i find kiyosaki's (RK) earlier 2 books (rich dad/poor dad and CF quadrant) very motivating and helpful in changing my mindset, i am finding his message repetitive. there is nothing substantially new in this book. pleasant fun inspiring reading, but bottom line: vague generalities, nothing that can specifically be used, other the motivational stuff. it's kind of like crack, it's a hard habit to get off reading his stuff, but, in the end, i think his advice is awfully dangerous stuff. i became rather skeptical of what he was writing when he started strongly pushing multilevel marketing (MLM) towards the end of CFQ, truly slimy stuff that MLM. looking into this guy's story some more, i'm learning that this guy's book only started taking off when Amway started pushing it, thus he feels he owes them something. then there's all this stuff about the rich dad being a fake. people who have looked into the story can't figure out who he is. he has said rich dad died, then changed his story that he is still alive and in hiding. people in hawaii have tried to figure out who rich dad is, but basically it seems that either the guy is a figment of RK's imagination, or the accomplishments of "rich dad" have been widely overstated. RK also tried to pass it off that rich dad was a "composite" of several people he knew. after that, i lost all respect for this guy, he's really just another Carleton Sheets. people who have tried to research RK's real estate dealings (all supposed to be on the public record) state that his records can't be found, and RK's answers to specific seem to be extremely evasive. his statements in his books about his real estate deals seem to be very exaggerated, possibly completely fictional. this guy is a quack, his books are how he makes his money now. that said, believe it or not, i would STILL recommend the first book in his series(RD/PD) for the general financially uneducated public (like me), because it is STILL a good book, from the point of inspiration. of course, i didn't know he was such a quack at the time. anyway, i'll never buy any more of this guy's products, he's stolen enough money from me. i regret buying this last book.
on August 9, 2002
I have a read a number of the negative reviews and I think I understand their criticism, so I wanted to give my perspective and why this book is so important to me. What Kyosaki brings front and center in this book is the fact that the way an investor looks at a business (he creates) is as a vehicle to generate income using OTHER people's assets. The CEOs of the last three startups I worked for pitched ideas to OTHER investors and VCs which then gave them MONEY to start the business. They took some of that money as a salary, some as dividends and used this money to invest in. The power in this is that they didn't work really hard for someone else, save their money and invest, they took other investor's (and some of their own) money hired other people to work for them and invested the dividends and salary.
Additionally, he makes clear that there is risk in investing, but the best way to reduce this risk is to increase what he calls your financial intelligence. What he means by this is the knowledge and wisdom about the whatever investment vehicle you are using that you will gain by reading about it, taking advise from experts in the field (seminars, classes) and probably most important doing it making mistakes and learning from those mistakes.
He makes it clear in the book what his rich dad told him: "most people will try these things, not do very well and give up", "the best advise to give the average investor to be more successful is not to be average", "focus less about having the best product or service or idea and instead focus on having the best SELLING . . ."
He also states in several places very valuable pieces of information that gave me insight into how he thinks and works. He stated how he became rich by learning about owning corporations and LLCs and LLPs and used them to invest in real estate. He gave a due diligence list that he uses to evaluate apartment buildings. He even confesses at his 30% success rate in investing in different investment vehicles.
The most important thing I learned from playing CF 101 was that you have to play the game to be rich. I have become rich in the game and gone bankrupt sometimes, but I would not have any chance at financial freedom if I did not play at all.
So I would recommend you use this book as a guide and not a hand book. It will help to give you some of the emotional intelligence to deal with the pressure and risk involved with investing. But if you don't start or you give up you will never be rich.
on June 20, 2004
I have read many books on investing and picked the ears of mnay successful investors as well as so called experts. But aside from Peter Lynch's excellent books, I have never found so much powerful information as I did in Rich Dad's Guide to Investing.
Robert Kiyosaki and Sharon Lechter have produced another winner right where Rich Dad Poor Dad and Cashflow Quadrant left off. This is must reading for investors who want to make money, not just circulate it.
on October 11, 2006
Although Kiyosaki's books are more "mind-altering" than "how to" type books, the third book in the Rich Dad Poor Dad series goes over some of the same concepts and ideas covered in earlier and later books. The Cashflow Quadrant, the contrasts between his two dads, etc-. Moreover, he uses too many metaphors and analogies, i.e. the 3 "e"s of successful invesors, the 7 investor controls, the Business Triangle, and so forth...
In general, although Kiyosaki's books are a good place to start looking with regard to becoming indepently wealthy, but may be too simplistic or may lack direction for those ready to proceed to the next stage.
on September 19, 2009
Yes RK is a highly motivational speaker and can stimulate the rest of us to seek to improve our financial IQ...we just should not leave it all to him. It is very clear to me, having read only one of his books,(Before You Quit Your Job), that he uses one book to market the other in addition to his games and seminars, yet he offers no actual concrete recipes...as another reader put "vague generalities". Even his trained associates Sharon Lechter and her lawyer husband have their advise cropped down to generalities in their exerpts in order to tempt you into reading yet another RichDad book. As with investing, our reading needs to be well diversified as well!
on May 17, 2015
I am a very average 30-year-old middle-class woman, and financial stuff does NOT come easily to me-- My strengths are in the arts and language subjects; math and sciences are very difficult for me. The book series has honestly made these daunting topics and concepts understandable! I can honestly say that I now have a decent understanding of the world of investing, finance, business, corporate/business/tax law, economics. The TV news anchor talking about finance makes sense now-- I know more than a little about investing, stock markets, real estate markets, etc. And the best part is that I actually enjoyed reading the books, lol!
There's a lot of crap online about the author and his teachings; a lot of nay-sayers who call him a liar and whatever... Don't believe them. I'm not saying I take every single Rich Dad concept as absolute gospel (I think the rich should pay more taxes, for one!) but I do think my financial life is going to be very different now, and it'll be for the better.
Looking forward to reading another book, and also taking some free workshops and online seminars.
on June 30, 2004
According to the quote on the back of this book by Sharon Lechter;
"We can all have three types of financial plans; one is to be secure, one to be comfortable, and one is to be rich. RICH DAD'S GUIDE TO INVESTING is an inside look at an entrepreneur's financial plan to be rich."
I found the advice in this great book to be a lifesaver during the recent Clinton Bear Market and The Clinton Recession. While I saw many people lose money, massive amounts of money, I was able to shift assets into other investments and even securities and continue to make money while everybody was screaming BEAR MARKET.
I heard a statistic that during the 1987 stock market crash, while many lost their their fortunes, some became millionaires that very day. WHY? HOW? It certaintly wasn't from following conventional advice.
Kiyosaki is controversial. He is unconventional and that is great. If in fact everybody accepted his ideas, then I would be worried.
Rich Dad's Guide To Investing is a great book for anyone who thinks like an entrepreneur - who has or wants to create the millionaire mindset.
This book allows you to look inside the mind of a millionaire. But more than that, to look inside the philosophy of not just one rich man, but the philosophy and mindset of what creates millionaires.
Chapter 37- How a Sophisticated Investor Thinks is alone worth the price of the book.
on June 8, 2004
First off, I must say that Mr. Kiyosaki's previous book, "Cashflow Quadrant", changed my entire outlook on life and money (for the better). In my mind it is a classic with books like "Think and Grow Rich". With that being said I was very anxious to read his followup, "Guide to Investing". Unfortunately it was a tremendous let down. To sum up the writing style:
1. Extraordinarily repetitive. Many of the exact same stories and quotes from his rich dad provide needless filler for much of the 400 pages over and over and over. A lot of groundhog-days reading this book.
2. Many chapters end in "the rest of the book will tell you exactly how the rich do [blank]..." Unfortunately, the next chapter tells you exactly the same thing and it just never seems to happen.
3. Although I think most of the educational offerings produced by his company are wonderful financial teaching aides, the ongoing infomercial hawking his board game is almost enough to ask for a refund on the book.
Overall it seems to me like the book was rushed to print with messages that are never answered or drawn out over chapters upon chapters. There are some hidden gems though in the book (too bad there aren't Cliff Notes...). Unfortunately, it was a real fight to get through the book and find them. The comments from his co-author, Sharon, are much more succinct and sum up a lot of the repetitive stories and missed messages that Kiyosaki attempts to convey.
There are much better books to spend your time reading in my mind. Specifically "Cashflow Quadrant" and "Think and Grow Rich" among many others I am sure. Happy reading!
on April 14, 2004
Poor and middle class people seek to build their income, while the rich seek to build their assets, which generate income. That's the key difference between rich and poor according to Robert Kiyosaki's Guide to Investing. He spends only a little time talking about the specifics of different investments, but a lot of time discussing the philosophy of investment.
The crossroads really begin when a young person leaves school and enters the world of work. That is when he or she has to choose between the four occupational quadrants, "E" (Employee), "S" (Self-Employed, or Star), "B" (Businessperson) and "I" (Investor). Anyone who wants to get rich needs to end up as an "I," but it is easiest to get there from the "B," business, quadrant. (It's hardest to get there from "E," the employee quadrant, while "S" is an intermediate case.) Businesspeople have to do many of the things that investors do, such as reading and mastering financial statements, and sizing up prospective jobseekers. (Managers of a company in which you own stock are really your employees.) This advantage is so large, that it often outweighs the advantages initially enjoyed by better-trained, higher-paid "S's" (like Robert's biological "poor dad"). On the other hand, Robert's mentor, "rich dad," morphed from a "B" into an "I," and got rich first before he became well paid.
Paradoxically, rich people typically invest in small, private companies (including their own) through private equities and limited partnerships, while middle class people invest in large, public companies through publically-traded stocks and mutual funds, or what "rich dad" called "sanitized investments." Poor people hardly invest at all. Rich people can function as "angels" or venture capitalists more because of their greater sophistication than because of their money, and can therefore catch small companies during their period of highest growth, before the IPO (initial public offering). On their own, people can also become rich by creating their own assets (Bill Gates and his "operating systems" are a case in point), and then become "selling shareholders" of such assets (e.g., Microsoft).
This book is just a bit wordy, and therefore not as "punchy" as the other books in the series (many of which are five-star efforts), which is why I'm giving this one four stars instead of five. Still, despite a few minor faults, it is a valuable guide to becoming a businessperson-investor. Or as Warren Buffett put it, "I am a better businessman because I am an investor, and I am a better investor because I am a businessman." Take it from the world's second richest man.
on April 3, 2004
Prior to reading (...and applyiny) the advice in Rich Dad's Guide to Investing I was like a gerbel in a cage going nowhere with my investing. I was loosing money, not making money and my broker wasn't making me feel any better by reminding me that all of his clients were loosing money, everybody is loosing money, the market is down and so on.
I recalled a saying by Will Rogers:
"I am not so worried about the return on my investment as I am on the return of my investment."
Listening to brokers was causing me to loose money.
Rich Dad's Guide to Investing gives you all the keys you need to get to where you want to go. It's not theory, it's how the rich invest. It is how the rich become rich.
I also recommend Rich Dad's Prophecy which since it has been written has been 100% accurate. That is a pretty good batting average. I'd count on the rest to be accurate as well.
If you are serious about making money investing, read and apply Rich Dad's Guide to Investing and Rich Dad's Prophecy my two favorite Rich Dad books after of course Rich Dad Poor Dad.