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I was like your Dad in the GFC. Realestate schills are pure BS. I have managed property. You have to find property that has a very high value to cost ratio so that the rent is high enough just to cover maintenance. Let alone Tennant disasters and castastophe's both of which will happen.
@@anonymousdonor8084 Was a landlord for 12 years in the 70's and 80's. It was hard work to keep the money coming in and pay the bank its money, real estate taxes, insurance, maintenance, etc. Not much left after all the bills are paid. Would never do it again that way. Would of been alot farther ahead taking the money and investing it into REITs. Saw this guy touting his going into debt to make money and knew instinctively it was not as easy as he made it appear.
As a guy who sells call credit spreads on the SPX, I can't condemn him for not being risk adverse. I can say that there are far better things to gamble on than commercial real estate though!
Yes don’t just follow any financial advice or influencer. Heck my uncle lost a huge amount of money just owning stocks in 2008. I don’t like everything Robert kiyosaki says sure, but I will say he’s great because he makes people think. He got me to really think and spend time learning about how U.S. dollars are created out of thin air and that’s how banks, government and rich people steal from others. I have a friend that’s been doing a real estate fund and getting people to invest and then they buy buildings in various states. But he joined the real estate club Renatus which is $20,000 to join but it’s lifetime membership with videos made by real estate people and lawyers and they actually help you. If I had money I’d do that some day. Robert got me to eventually read the book creature from Jekyll island and then that lead me to read U.S. monetary history by Murray Rothbard.
@@starfleetcommander You don't know when this book was release do you? 1997. It was a best seller for years. Whatever money to be made from this book has been made. Now there are 100's of versions of it, not even written by him. Ofcourse you can get it for free now.
leafed through his 'books'? Lotsa extra pages, reiterated concepts with repetitive graphs over & over. Oh. That and 'buy near gov't/military complexes, to get a supply of consistently paid renters. ' - okay. the Big Secret. lol.
I'm an ex investment banker and real estate professional. His money comes from selling people classes on how to make money. Last time I checked, there was no credible information on his real estate portfolio. It is likely he tags along certain deals to be able to claim he's involved with large transactions. But for people reading this, make no mistake: you are the product. Real estate isn't the product.
100% correct. I have a friend that does this and he basically sells his "brief" knowledge as a class. Participants pay $$$ to be in his online class where he teaches them how to flip homes amongst other things. THIS is how he generates cash-flow. NOT what he is teaching.... (Which CAN work but is very market susceptible! )
I agree - I worked for brothers who were property billionaires - they eschewed Debt (only occasionally venturing into it , on a small scale, in Joint Ventures) - but the main point is that they were far far too busy to ever either write a book on how to get rich or to record youtube videos or run courses....owning that much propery requires 'stewardship' and acquisition analysis etc - that doesn't involve the need for 'How to get rich ' schemes ..It's laughable to imagine them doing that!
Kyiosaki is the man. I read his books and built a portfolio of real estate. Retired when I was 35. Its not for everyone. Many people are too buy bitching and moaning to see straight. Worked for me. Stakeholder capitalism is straight from WEF....that's Communist bullshit.
Kiyosaki has always struck me as a grifter and slimeball, but it was confirmed to me when i heard him on a podcast laughing about a gold mine that he spun up and pumped using sneaky advertising tactics. He then suckered in a whole lot of stakeholders, and then foreclosed on the mine, taking all their money. A person who could laugh and take pride in stealing money from people knowingly through a fraudulent scheme is the scum of the earth.
My favorite story from kyosaki, as told by himself, is when he threw a young mother and her children and all of their possessions out on the street on Christmas Eve for being behind on the rent. He laughed very heartily while telling this story.
@@violinfanatickamraz1403 when I first read his book twenty years ago, the thing that struck me was how he threw his real, hardworking, good family man father under the bus in favor of the (now known to be fictitious) rich dad. It left a bad taste in my mouth. Imagine working hard in a respectable line of work to provide for and raise a family only to have your kid write a book that portrays you as a looser for doing so.
I converted my 401k to a Roth IRA to avoid higher taxes in the future. I'd rather pay taxes now than be stuck paying taxes on my retirement income when I'm 59 and living off my savings
Pre-tax contributions may help reduce income taxes in your pre-retirement years while after-tax contributions may help reduce your income tax burden during retirement.
Both have their perks but you can also save for retirement outside of a retirement plan, such as an individual investment account or employing the services of a retirement planner/financial Advisor.
My CFA Julianne Iwersen Niemann, a renowned figure in her line of work. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.
Yep! Ask Levi Strauss. Or American Express. Or Wells Fargo. Or the buddies and business associates Charles Crocker, Mark Hopkins, Collis Huntington, and Leland Stanford.
@@johnc2438 This is the way the world operates. I used to hate the game, now I play it at a high level. We were born in this inverted world, so you must play the game if you want to survive. The challenge is becoming wealthy while not breaking the law and having some type of moral compass.
Warren Buffet truly has some (insightful and profitable) nuggets that he throws out from time to time. I listen and glean the information I need. Hasn't failed me yet. lol
@@guinealove3744 But he also says some very immoral stuff too, like praising cigarette companies because it's so addictive thus making people buy again and again..He also loves coke which definitely not a good thing. So for him its only what can give a good return noinvestment matter how bad impact the products have on society.
As a passive investor, is it wise to buy market tracking index funds and ETFs from companies like Blackrock, Vanguard and State Street, even when they're at all time highs? i want to invest around 600k for retirement
I think the whole thing about holding stocks for long term will always apply. So I think you should get a quality broker who is able to analyze and pick stocks that will do well in the long term, else you will be in a long bear ride.
Accurate asset allocation is crucial, I used hedging strategies to allocate part of my portfOlio to defensive assets for market downturns. Expert guidance is vital for achieving this. This approach has helped me stay finan-cially secure for over five years, yielding nearly $1 million in returns on invest-ments.
You have a very valid point, I started investing on my own and for a long time, the market was really ripping me off. I decided to hire a broker, even though I was skeptical at first, and I beat the market by more than 9%. I thought it was a fluke until it happened two years in a row, and so I’ve been sticking to investing via an analyst.
There are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’Melissa Elise Robinson for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.
@@davidflanksshell game, you minimize the significance and importance of something while becoming the very thing, liquidity, and boy do your priorities change and does that become important it's like the illusion of control chasing no risk management on 70 percent winner trades, with the same game plan losing big on 30 percent, but more false confidence. (Post course? Lol)
I lost my first wife to multi level marketing. She became obsessed with how much money she was going to make (she didn’t) and thought I was a loser to not join in. She was a fan of his.
The REASON Kiyosaki has released a new book with the words "FAKE" and "FRAUD" in the title is not because he is both (he is), but because he wants to control the search optimization around searches for "Robert Kiyosaki is a fake" and "Robert Kiyosaki is a fraud".
Here are my five rules to become rich. 1. Maximize income 2. Minimize expenses 3. Never borrow money 4. Spend as little money as possible on depreciable assets 5. Buy as much as possible appreciable assets. Got me to a million dollars in 24 years. You don't need to attend a seminar to know this.
Point 3 should be borrow money at your own risk. There's nothing inherently bad about borrowing the money, only the inability to take the right opportunities to pay it back. No risk, no reward
I have always seen RK as a typical scammer. I wouldn't buy a used car from him. Besides the BS he tries to sell you, he doesn't come across as a happy person. He looks angry, frustrated and bitter.
I sense he is an evil prowling beast seeking whomever he can destroy for his gain.
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He is trapped in a cycle of always having to find new fools to fund his lifestyle. With the age of internet, it is a lot harder to find a new supply of suckers.
I once attended a free Robert K-branded RE seminar. I then paid $400 for the next level seminar. At this seminar, they had people list ALL their assets IRA, 401-K, RE, etc to help people figure out how they can pay 10s of 1000s for some higher level program. I knew then, this is a scam. I skated.
Yeah, it just seems like the old idea that if someone knew a surefire way to get rich, they wouldn't sell it in a seminar unless that seminar IS their way to get rich.
He's a con man. I can't count the number of broke people swearing to his advice. He sold some books. Even his wife got tired of pretending and left him.
@@DarklyViolet Surprisingly, Amway has been around for a LONG time!! I know people who are still in it today. Why do you think it has lasted for so long?
The "easy money" and the "how to get rich" themes are, alas, irresistible. They mesmerize and bypass the natural common sense of many people. Gurus, "mentors" and scammers of all ilk (you mentioned a few) thrive on it.
I turned 40 today. I meet with 2 financial advisors earlier this year who estimated my net worth between 1.6 and 1.8 mil. I live in the middle of nowhere, work a bluecolor job in a very poor state, have an associates degree from a votec school. Anyone can do what I did. Most of my net worth is my 401k. The next chunk is my paid off house. I haven't had debt in years and live well below my means. I dont lose sleep over the housing market or stock market swinging.
BOOM! This is the way. Well done man, seriously. If it doesn’t make sense to you, never invest in it. And the number one investment of all time (according to Buffett) is you!
Sounds like half a story. How do you break down 1.8 mil just by working a normal job at 40? Must be through investments, or untold benefits you received. 1.8 mil not something ‘anyone can do’ with a regular job and no particular benefits to start off with.
I work in IT as freelancer and earn well today, but have been salaried before. I know for fact that it is not possible except when going independent or making risky investments.
@@kimgysen10 look up Ronald Reid. dude was a janitor who at the time of his death gave $6M to charity at his death and $2M to his kids. It can be done. Fees and risk are corrosive to longterm gains
@@davidflanks Didn't say it can't be done. But it requires an explanation and calculation. Numbers are thrown around too easily, and too much is lied about extra sources of income that not everybody can afford. I can explain where my income comes from, and know for fact not everybody can do that. A million is NOT as easily achieved as claimed here. And it will leave people wondering.
I am a middle aged Scottish female, came across this man years ago, 2 mins in and I knew he was an untrustworthy, disregardful drama queen who could not run a household budget.
I read the book years ago. What struck me was that his real dad (the poor one) was a teacher (college or school, I can't remember). His friend's dad (the rich one) was driven by accumulating money making assets. Real dad must have helped educate thousands of students over his lifetime and been a solid role model. Rich dad - got rich. One of the examples in the book was buying up small underpriced shops in a block until he owned them all then redeveloping the site at great profit (a hotel I think). I couldn't help thinking about all those small businesses, the neighbourhood, all those lives. Also, what did rich dad spend the money on? A car, a plane, a yacht, a bigger house. Poor dad made a much bigger and better contribution to society and given the minimum financial security that honest toil brings probably had a happier and more meaningful life. I wouldn't buy a second hand car from rich dad but I would from poor dad.
And lets not forget that teachers are in the top 5 professions of retiring as millionaires (ranking at number 3). Roughly 14% of all millionaires are teachers (at retirement). So you can likely contribute to society and still get rich.
@cupidok2768 he def has real estate but he didnt make his money from real estate or atleast a large part of his wealth from it, its from his courses. Real estate investment are very well documented and studied, RK's in recent years stopped preaching about realestate investment, instead pivoted to debt financing and some gold and silver bs, leveraging debt at extreme risk which almost no one would recommend. So when you are someone thats unware of the risk and hear it from a "rich" guy you think he hacked the matrix and buy his course.
Debt is cancer. If you don't do regular chemo and management, it will kill you. People wanting too many things is the problem. Just a house, some savings, and little bit investments in the long run is more than enough if you are able to live below your means. Being debt free is as liberating as it gets.
Not having a heart attack inducing phone ringing out of no where does wonder for Cardio health. My dad was such a fuckster huckster 90's he might as well grow a bushy stash. He fucked off back to HK in the late 90's, getting a "Job" with the new government. He left us with a fuck tonne of card debts, house debts, condo debts (one of his huckster unfinished schemes). So I got a pt job to help with the bills, and mom retrained in a woman's business course got a job at the cable company (a a fuck tonne of severance package shares), paid off the house (now that's generational wealth), paid off the condo as a manger. I helped. Dad? Well he got jailed for misapproprating his very generous living allowance (his apartment had a bath tub, a luxury over there (space issues), a Mazda car, a GREAT salary, and pensions. So the tramp he ditched us for he dumped her, she informed the government....Dad gets out of Jail and heads to the mainland to try his luck there, racking up debts, along the way, sowing his seeds, (some of whom I met, they all did well with good morals (accountants, regular joe but honest jobs). And same story, remarries 90's way, divorces, infidelity, the wife pays off the house and keeps the bling, and just gets kicked more and more to the curb. I only build up my credit rating to get a better deal on the house and car. So I borrow about 1000, from each source, pay that back quickly. the 1000 goes to investments, and it has the potential to double. Then you save a fuck tonne of money on larger borrows like the house and car, the house you can pimp up and sell at a higher price. Just 800 to redo the lawn, a few thousand to remodel, for appeal. Or get larger loans for well though of ventures. And grow your net worth.
Your understanding of money is the way the vast majority of people think. You are comparing consumer debt (credit cards, auto loans, etc) to leverage (debt used to buy an investment). They are simply not the same thing. If you understand how leverage works, and use it wisely it's an extremely powerful tool. Kiyosaki makes money because people ALWAYS want the "shortcut". Problem is there is no shortcut, no prosthetic. You simply have to take the risk, and understand the reward. RK's advice about gold and silver I agree with to a certain degree. Paper money is a liar's promise because it's not against the law for the government to print more money making your paper money lose spending power. If you can buy a nice used car for an ounce of gold now chances are 20 years from now the same ounce of gold will buy a nice used car. I started buying commercial real estate in 2008 right after the crash. I had a small very modest house in a great neighborhood. Was diligent and bought what I could afford. Got married, tried to sell to just buy something more suitable, and it was 2008 demand wasn't there. It was either walk away, or rent it out. So I rented it out. I still lost my shirt on that house because it took years to get back to even. That lesson though taught me it was time to buy. That's something you can't learn in a book or course. I sold all of my commercial real estate in the last two years because the market has been on fire. So I used a mixture of cash, and leverage to do that, but overall I quadrupled my initial investment in less than 15 years. So when used properly leverage can be an insanely good tool. It can also put you in the poor house. Everything has risk, and everyone has fear.
Building wealth involves developing good habits like regularly putting money away in intervals for solid investments. Instead of trying to predict and prognosticate the stability of the market and precisely when the change is going to happen, a better strategy is simply having a portfolio that’s well prepared for any eventually, that’s how some folks' been averaging 150K every 7week these past 4months according to Bloomberg.
the strategies are quite rigorous for the regular-Joe. As a matter of fact, they are mostly successfully carried out by pros who have had a great deal of skillset/knowledge to pull such trades off.
I wholeheartedly concur; I'm 60 years old, just retired, and have about $1.25m in non-retirement assets. Compared to the whole value of my portfolio during the last three years, I have no debt and a very little amount of money in retirement accounts. To be completely honest, the information provided by invt-advisors can only be ignored but not neglected. Simply undertake research to choose a trustworthy one.
Carol Vivian Constable is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment..
Finally someone is saying it! Debt is debt. Those who are truly "rich" are those that are free to do what they want no matter what the outside circumstances in the world are!
Leverage is a tool. Making 1 for 1 investments where a win gets you a dollar and a loss loses a dollar is no way to invest. You will always have investments that fail so your winners must gain more than losers. Doesnt mean it's easy to use debt but nothing is easy
People buy both houses and businesses on debt. Like the man in the vid says, nothing new. It works for people, but the risk is higher and some dose of luck is an important factor. You will see both people who succeeded and failed using this strategy. Countries are in debt, a lot depends also on trust worthiness; they can negotiate terms more dynamically.
If you’re dumb enough not to see his contradiction written in front of you then you probably deserve to lose your money. He says “don’t buy unimportant things, don’t create expenses. Only invest in assets that give you an immediate ROI”. At the same time he’s saying “spend your money on my course which is listening to me about ideas”. His course isn’t an investment with an immediate ROI. It’s a needless expense. The very thing he tells you to avoid!
About a decade ago when I first started learning about personal finance, I bought RDPD because it was mentioned frequently on financial forums. I got maybe 1/4 into before I said, "this is theatrical trash" and put it down. So happy more people are calling this guy out on his bs.
That book was great. Just cause it didn't work for you, or you didn't get it, doesn't make it trash. The issue is people don't know when to stop when they're ahead, and clearly Mr Kiyosaki didnt know when to stop. 1.2B in debt is greed.
I read Rich Dad. There's a section in which he says "I bought a 2 bedroom, 1 bath condo from a bank. Total working time: 2 hours." I have actually done that, and it took WAY more time and effort than 2 hours. It was a 6 month project. In "Rich Dad's Prophecy" he said the stock market would crash in 2016-2017. But it soared. He advocates buying real estate (which I did between 2000-2008) because it would yield great returns. But if I had invested just $1000 in APPL in 2000 I'd have $456,000 today--GREATLY outperforming gold and silver. I think there is more and more scrutiny on Kiyosaki, but I see it coming from TH-camrs, not financial media.
This is such a great comment, please DM me on IG or X and I’ll give you a free invite to our discord. I think your opinion would would be really great for our community
Hindsight is 20/20...Anyone can look back 24 years or so to 2000-2008 and say they would have $450k+ today had they invested X amount of dollars in 2000 into whatever stock they look up today and see that it has soared over the last 24 years. I had a CPA salary in 2000 and started buying investment real estate "on the side" around 2005. My net worth is now over $8M. Use common sense and work hard. Every type of investing or job/career may not be a match with your skills and abilities.
You are discounting the thousands of other companies who’s shares are near worthless in that time frame. Investing involves risk no matter what asset class you are investing in.
We are all imaginarily rich hindsight investors though, that's not a good way to measure success when it comes to wealth. I believe RE is a great investment if you learn to do it right and also with a bit of luck. Same as investing in the stock market, you need to have an idea what you're doing... if you have no clue and are just throwing money around, chances are risk is going to eat you up, regardless of the investment you choose.
@@paulacurrie9182 Well said. Cherry-picking a stock like APPL from the 5500 listed companies on the NYSE, NASDAQ and NYSE American exchanges in hindsight isn't very useful and proves nothing. Stock-picking in general is not for DIY investors competing against an ocean of professionals with resources that no member of the general public has access to. Nobody is Warren Buffet except Warren Buffet, pretending like you are is folly.
Finally, someone who has the same opinion of Kiyosaki.... who is a snake. A horrible guy, just nasty, and you can see it in everything he speaks. Thanks for this.
@@alanlawlor3134 you have boomers to blame for that, they set in motion everything that's wrong with the economy, and they are responsible for most of the economics theory and practices which need heavy rethinking.
I went to a Kiyosaki seminar in Melbourne a few years ago, he spent half the time berating an audience member for not looking interested enough, told us we were too stupid to compete with the Chinese in business and anyone that went to college was wasting their time, which is how I felt coming to his seminar.
Chinese lack creativity and have little risk tolerance. They don't want to risk showing off their children's ability to master a musical instrument or showing off their prestigious degree at at ivy league daycare center. This is why the Chinese depend on Western companies telling them what to do or simple IP theft.
I moved to the Philippines back in 2018. Robert is correct. I have College Degrees in Electricity & Electronics, Computer Science, and Information Technology. They were all a waste. China is kicking our colletive asses because they are smart, not educated, smart. They are industrious and figure shit out. There is no Plan B, no safety net. If they fail, they starve.
Textbook con artist: “College is for suckers and losers.” RK spent a bunch of time in his first book lambasting his dad for being a paycheck-to-paycheck academic. Anyone who plants their flag squarely in “higher education of any sort is a waste of your time” is either already scamming you, or REALLLY wants to.
Man, I had a distaste for him before, given my family's history of following his advice, but after digging into him for this video, it really solidified and justified the distaste lol
As he has increased, I don’t like how he treats people who don’t follow his path, he talks them down. When wealthy people do this, diminish your trust. Also, his debt views were very popular in the 1970s with a lot of narcissistic chancers. “Let debt be somebody else’s problem.”
People completely overlook survivorship bias. Just because one dude got lucky doesn't mean he gets to write a book, claim to be an expert, and then have a bunch of people follow his advice and also get rich. Ever wonder why there are so many books telling people how to get rich, but not a ton of people getting rich following those books? Lucky ones come along after thousands have failed, then the money they earned (with luck) essentially powers them the rest of the way. Quick, give me $500M. I'll go invest it at a super safe, super conservative 5% and then tell everyone it's easy to make $25M / year.
Well, ya know, investing money at 5% in conservative things is a tried-and-true method that can work for anyone. I do get what you are saying though :)
Nobody has ever claimed that becoming wealthy was easy. Also, “luck” is just the tip of the iceberg, and luck is simply when preparation meets opportunity.
My friend studied the Rich Dad/Poor Dad method, even attending a seminar in 2007. She lost her home, her boat, her ATV, a secondary rental property by 2010. Lost everything through leveraging by age 45. Moved half-way across the country and started rebuilding her life over an extended period. Took a lot of humbling.
Sounds like she got into it at the height of the housing market and then lost everything during the crash. Unfortunately, sometimes it's all about timing.
If everyone dropped out of school then where do we get nurses, engineers, doctors, chemists, etc. We’d literally have none of the conveniences of the modern world without these professionals and researchers
Robert Kiyosaki came to Australia and could not believe the home prices and advised people to sell fast as the market was going to crash. Never did. He ignored our real estate history where home prices on average double every 7 to 10 years. Those poor people who took his advice and sold their homes could never afford to buy another one.
@@erictoombs4842 No, the worst that happens is they flatline for a few months. the odd property may drop 2 or 3% in a recession but even with record high interest rates the prices are going up faster than ever before.
I soured on him for bagging on "working men" who are regular guys working as plumbers, teachers, mechanics, etc...that they're chumps for just working, saving and just living life. Not everyone wants to be a landlord, high-profile, high-stress, over-leveraged investor.
His book wasn't designed for people that just want to take a paycheck and work for a living. Time is everyone's most valuable asset and trading time for money is one of the worst trades you can make IMO. The underlying principle of the book is making your money work for you instead of you working for your money.
@@Banc2008 he’s millions of dollars in debt. Not impressed. Once a bank decides to cut their support he’s screwed. We’ve all seen many operators standing on a house of cards.
My wife and I accumulated enough wealth over the last 20 years to own our 1.4M house outright, as well as 3 downtown apartments we bought in cash generating passive rental income. I'm just a normal software dude and she stays home with the kids. Our method: - we never borrowed a single dollar in our lives, we only buy in cash and saved for every house we ever bought. Climbed the property ladder for 20 years starting with a crappy condo - we are frugal, non materialistic, and humble - 10-30% of our income goes to charity every year, no exceptions. - we take the warnings regarding interest/usury from religious texts very seriously Kyosaki is literally preaching the opposite of what we have done. I'm now 45 and semi retired, nothing makes us happier than the thousands of people we fed/clothed/housed over the years. Charity is the crown jewel of contentment and inner peace
Robert kiyosaki got his start as a multi level marketer. Another investigator showed that Kiyosaki lied in his book about his 'dad' who Kiyosaki later admitted was an amalgamation of rich people and not a real person. I repeat: His real father was NOT rich. It was all a lie.
If you read the book you would know that his real father wasn't rich and he never claimed that he was . But of course there was plenty of things he did lie about.
@@intothebeyond8763 You are correct, I did read the book years ago and forgot that the rich dad was not his (a friend's dad right?), but even this 'dad' was a fictional character that he later admitted in interviews was never real but a composite of a bunch of people he knew who were goo with money.
With the interest rate over 5% he’s probably struggling just a little. Fortunately I don’t think he owns any commercial real estate in SF or NYC. With $1BILLION in debt he’s going with the “too big to fail” narrative
I agree with you, only 100%. I did read Rich Dad, and liked that book a lot. However, beyond those basics, the guy has very strange theories. His seminars are absolute scam. As I recall, he had this strategy that you purchase a $20,000 watch in order to be in debt just to pay it off. So yes, the guy gives horrible advice and is completely nuts. However, as much as I can't stand Robert Yikosaki, Grant Cardone is worse --- Grant is far, far worse.
I personally got some fundamentals from Rich Dad that served me well as basics for the last 25 years. The notion of "only buy assets" is a good core tenet. yes, beyond that book he is just a grifter who realised idiots would throw money at him the more outlandish and "incomplete" his advice was. I think he learned that fundamental from Napolean Hill's Think and Grow Rich - the original content-vacant money advice book.
@@alostpilgrimsjourney5953 And Grant totally seems to be 'that guy'. He has never impressed me and gives me shyster vibes. I could be rich too, if I was a heartless con artist.
The best-selling book, the Bible, literally warns us that debt makes you a slave to the debtor. It's been accessible knowledge, right there for thousands of years.
Debt forgiveness is also in the bible, but people, usually right leaning, always start screeching when lower income people receive it while they are perfectly fine with the rich paying little to nothing in taxes.
@@phiksit The Bible mentions debt forgiveness as a virtuous form of charity and that's exactly what it is: CHARITY. The problem is that people, usually left leaning, want to use government force to make it compulsory. We have a word for compulsory charity, it's called theft. The fact that the rich pay less taxes proves that socialism doesn't work. That should cause you to abandon this failed system, not double down by creating more taxes that the rich won't have to pay.
fatalist attitude.....we can talk ourselves out of all risky behavior.....just get the Federal job and log into your government laptop 5 times a week...but don't wonder why you retire a nobody....
I read Rich Dad Poor Dad years ago, and like any other book it’s open to interpretation. There is both good and bad advice, but it’s up to the reader how and what they choose to pursue. While getting into real estate is a great way to invest, Robert never tells you anything about the risks or HOW or WHERE to begin. Just that you should consider it and you should use debt. To the average person that doesn’t know much about money I can see how it’s easy to get roped in. And for those that are a little more critical, a natural next step is to look to actual professionals or mentors that can teach you the business. At the end of the day, what Robert is, is a salesman. It’s peppered in the book here and there, when he talks about taking jobs that taught him skills like selling, understanding how business works, etc. Robert isn’t your mentor. He’s just a guy selling you general business and investment information. It’s a good place to start if you want to pursue some ideas beyond the book, but ultimately up to the reader to obtain the proper education and guidance.
I can relate to you. I watched debt kill my father too. I have been following Dave Ramsey for many years. We have 1 car paid off, about to pay off the other. I’ve also read Kiasaki’s books and he’s been promoting an impending monthly crash for as long as I can remember. He’s also been promoting gold. I think Dave is spot on, I pay my taxes, I pay my credit card in full every month. My wife shares our vision for the future. You have to be able to sleep at night.
gold is simply an ASSET THAT WE HOPE KEEPS up with inflation!,,50 pound sacks of dry brown beans are about as good as a commodity!selling your gold to get something you can use to trade for goods costs 2-5%...! buying it to begin with, is 3%....selling bags of these brown beans is easier!
Never assume people are telling the truth. Two experts on the same subject often disagree. Take advice, but make up your own mind. Own your decision. Don't blame the advisor.
Well to start with, go to a licensed financial advisor regulated by the government. Most people listen to their friend for financial advice because they trust them not because they know better. I've seen this so many times as a former licensed financial advisor.
Ok, just because two experts tell you different things does not mean one or both are lying to you. Perhaps you meant to say that a person should not assume they have to follow the advice of one or the other, and tune everything else out…?
A very generous man. The guy could get a college education taking a student loan, it would definitely make him value his education and use it to earn his living instead of wasting his time making TH-cam videos. The problem with having a "free" (i.e. paid by parents) education is that students do not think hard enough when they choose a program. That's why we have a lot of graduates having worthless degrees that cannot help them earn their living. Or students who decide to drop off in the middle of the education process "because they need to find their true vocation". When a student knows that he will pile a lot of debt for their education, they consider it much more responsibly. And study FFS, not just waste time partying and drinking.
White collar jobs require a college degree minimum. It’s just a badge to get your foot in the door. Sometimes it’s not about the cost or education but the networking that happens in these top tier schools that are just priceless. you attend great colleges to network and that network is exclusive to others that also attend top tier schools. Attend any social event with prominent people and they will ask what school did you attend and that’s all they need to know.
Buffett's 2 rules of investing: 1. Never lose money 2. Never forget rule number 1 Used to think Buffett was just being cheeky when he said that, but after working in finance I learned that risk-adjusted return is all that matters to people with real money
If you do it without debt, the rich dad's advice holds true: "Rich people buy assets, poor people buy liabilities". However, Kyosaki's debt advice is poison.
You can own real estate using the banks money and have tax benefits, appreciation, cash flow, and equity build from principle pay down and sweat. I took his advice and lived in a multi family house for 8 years, built a real estate portfolio whilebworling as a fitness Coach and quit work when I was 35. If that's poisen, I'm immuned!
While his Rich Dad, poor dad books are inspiring; I only bought 1 home in 2004 and that's it. I see my military co-workers buying 2nd and 3rd homes by co-signing each other. Then 2008 came. For a fact, i know they all lost their investment homes. My real estate agent parents lost 2 homes. My 2nd job manager's brother lost a mini mansion, nail salon, and his 2nd home. I kept my home till 2014 because it was too far to manage, but the 10 yrs of ownership was the best 10 yrs of tax breaks i ever got. Dont' be greedy, and lose less.
House always wins. Government is the house. Banks are the tables. Loans are bets. Market is cards. There is no possible scenario where house loses as long as it takes fee for every transaction you make.
I agree with you his books are inspiring. I could not sleep with all that debt. One of the best days in my life was the day we paid off our last debt and started to go full bore saving and investing for our future. We have saved enough to purchase an income property but that is not for me.
My late Mother tried getting me into Kyosaki's garbage. I went camping with some friends and used Rich Dad Poor Dad to get the campfire going. At least it was good for something.
He is not 1.2 billion in the hole as you stated. You never mentioned how much his assets are worth, How his debt is structured, or what his cash flow situation is.
You actually believe the story? I think a lot of you are so over emotional to the point you can’t actually learn anything. You don’t have to like someone to learn from them.
I made it halfway through his book and realized he was of the Steve Martin economic theory: “How to become a Millionaire: First,.. get a million dollars…”
@davidpark2509 crypto is for fools, the tech is completely unnecessary. Noone can actually justify why distributed databases (which cost ridiculous amounts to maintain and validate transactions) are useful, because they aren't. Bitcoin is basically centralized at this point with companies such as Blackrock buying up most of the supply.
@@davidpark2509 He makes his money scamming financially illiterate people who pay for his seminars. Similarly people who made money on crypto made it intentionally or unintentionally off people who are technically or financially illiterate. Crypto is a zero sum (actually negative sum) game. Any money you make comes out of the pocket of someone else. You're gambling that you will will be the thief and not the victim in the grand scheme.
@@davidpark2509 crypto is a zero sum game (technically negative sun). In the longest run you can only make money off bag holders. The "hodl"ing true believers or the folks that don't think it a scam and take a position as if it were a stock. It's not a stock, your betting you will be the scammers and not the scammed.
Like anything, the truth lies somewhere in between. Ramsey has his utter foolishness too. His attitude to debt is like someone who almost drowned so says no one should ever touch water. Conservative debt is the backbone of businesses and property.
Ramsey is playing to the lowest common denominator. 99% of people are ignorant, that they are stuck in Quadrant I. In THAT scenario, yes. His advice to get out of PERSONAL debt is good. Will you please, explain to me the function of an LLC, an S-Corp, and a C-Corp?
It doesn't matter what investment system you have, someone is going to criticize you. I followed Dave Ramsey, and paid off my home in 5yrs. I've been debt-free for a decade+ because of him. Then I watched a video recently saying paying off your home is a bad idea.
Kiyosaki has been broke for years....has never been able to prove he owns anything, even a house. Where is the stuff he has that results in his debt? NOT THERE!!!
He poped up in the 1980's. His book was a big hit with the emergence of the IRA's for the average worker. He and his wife never showed their 1099 when it came to investing.
I thought Rich Dad Poor Dad was his first book 1997 - & he got well known after that (& then went off the rails trying so hard to make money off his followers).
I'm sorry about your Dad. You seem like a nice man who means well. But following Robert's advice was one of the best things I ever did. Started buying Real Estate in 1997 ( so yes I went through 2008). Retired early at 56, have lived a life I would never been able to, have traveled to places I could have only dreamed of, and will leave my kids a good inheritance. Debt is a tool, and any tool is dangerous so you must be smart about it. Have at least two backup plans should things go wrong. Anyway if you don't want to follow his advise that's fine. But for others it has changed lives. I will never know why people always see things as black or white.
As long as the cashflow is positive it's worth the risk. People will always need a place to live and property seems to always go up in value. They can't come for your personal wealth if you use corporate structures properly.
Same thought here. You can’t just read one of his most basic books and watch some clips of his videos or podcasts and then take those advices/comments at face value, blindly implement them, failed, and say he’s a scammer. He talks about the strategies he mentioned in the rich dad poor dad book in much more detail and depth in his other books. When you mentioned he said the US dollar is a piece of toilet paper, and didn’t understand the concept behind that, is what’s odd.
I like many of his ideas but what disturbs me is his support of shady MLM companies and his expensive seminars are superficial. He says buy assets rather than liabilities and mind your own business. Nonetheless, I see Warren Buffet as a parasite being more repugnant than kyosaki.
@@MA9ELLANIce Cream Cone Buffet is a Lord of Darkness on the Ethereal Plane of Evil, by comparison Kiyosaki is simply a scruffy wildcat opportunist selling magic beans.
99.999999% of the time, if somebody has a book or a class or a an eight part course or a monthly membership/mentor program, they are not making money because of what they are teaching you: They’re making money because of the classes, etc. they’re selling you. That’s why I could never do any of those things with a clear conscience. If your hear somebody say, “I charge $10,000 an hour for one on one coaching” understand that they’ve never gotten paid $10,000 an hour and if they have celebrity clients, they’re not gonna be running a TH-cam channel with less than 100,000 people on it. Makes me sad because I see a lot of people really hustling, but they clearly all took the same marketing funnel “8 part course.” It’s circular irony.
Yeah I hear you! We actually are working on a course (the irony kills me, I know) but we’ve built a pretty cool data platform that sits behind it. Idk, I’ll never pretend someone needs Flank to become an investor, we’re just going to try to make it a bit easier. would love any thoughts you have on how to not be POS finluencer haha, I’m still so new at this. I just like investing and studying businesses a lot
Rich people aren't a monolith some drive a Toyota and an average house and penny pinch. Some have palaces and live extravagantly. Some love the spotlight and others you will never even know about because they are so secretive. Some are good people who are altruistic and some are despots.
@@impyrobotthe idea he wants to say rather is, he keeps flaunting and publicizing all these shady things that rich people definitely do because of loopholes, but rich people aren't keen on talking about it for a reason. Ask yourselves, what would drive a rich person to be handing out their secret formula for acquiring wealth? Shouldn't they be using their time applying their formula, instead of trying to squeeze pennies out of commoners?
Dangerous to believe in such stereotypes, as they are nearly all white, so what dose that tell us? Try and apply some critical thinking to the bs thoughts you have.
What robert is saying is that if he goes bust, the whole system is going down and the banks will therefore go bust. He can only lose his investment, not his personal assets. The risk is in his favor. His talent is acquiring debt and finding an investment that makes more than the debt service. If it doesn't go well, he will easily find more debt to buy assets again. In one persons eye this is scam, but the educated eye sees that he is using the laws for his benefit. No need to buy his course. Anyone can research this themselves.
You are correct, I know someone who is a Federal bank examiner, he said Indians (dot in forehead type) buy gas stations and hotels left and right, some win some lose, they don't care, they just walk away and get a different Patel to cosign the next loan. I consider this scam investing and nothing more, as for kiosaki this guy was right, most of his money has come from speaking and books so I wouldn't take his advice on business or investing. I believe in the old saying "those who can, do; those who can't, teach."
Facebook randomly suggested this to me, and it really resonated. When I was a kid in the 90s, his infomercials were everywhere. I was too young to know anything about finances, but I immediately disliked him. Maybe it wasn't so much because of his financial advice, which of course I didn't understand or really even recall it being explained in the informercials, but it was how he came off, and how he trashed his own "poor dad", who just seemed to be doing his best, while idolizing someone else's. Now I live in Armenia where I am distressed to see advertisements for the Armenian language version of his book, here to take advantage of people who are in an even more difficult financial situation than the average American, it's sad how much harm he does globally.
100% agree with you and everything you said. I met RK in Miami at a conference. I quickly began to realise that he is just a 'promoter' of the vile capitalist system whose sole purpose is to enslave you with so much debt that you lose control of your entire life. We live in a society that aggressively encourages accumulation of possessions via debt, and equally aggressively labels you as dumb and stupid if you dare to do the opposite. A very simple and debt free minimalistic life is far more peaceful, enjoyable and focused, than a life in debt but surrounded by possessions that ultimately work to keep you stressed and unhappy. I used to be one of those people that would think less of others who would tell me, "I just want to be debt free, I just want to pay off my mortgage so that is why I am moving to a smaller home". As the years went by, I totally understand exactly why they did it. It's about freedom, and peace of mind. Everything else is just a distraction.
Don't lump capitalism into this. If it wasn't for true capitalism, you would be subjected to socialized state run companies and monopolies which means no choice. The problem is not Capitalism, it's greed and envy and living above your means. Don't be stupid. Capitalism makes a better world for people. You will always have charlatans like RK but I blame stupidity and gullibility if you fall for his wiles.
❤U hav snatched my words man....as Bharatiyas we hav been evils of debt but now we hav forgotten these teachings n indulging in mindless consumption 😢😢😢
While I do like my 'stuff', I only buy what I can truly afford and always pay cash. I am also not a seller, so I only buy something I will truly keep forever. I will never be so indebted that I need to sell a guitar, or a motorcycle.
"Gold just sits there" - well the money printer doesn't, it goes BRRR, and all that new currency eventually ends up in gold price because gold is actual money. Gold has gone up about 1000% this century with no counterparty risk, safer than index funds and similar performance.
@@dxer22000 You do realize you can borrow against the value of gold, right? India sells gold-backed bonds that produce interest in addition to retaining their value and appreciating over time.
Pretty sure Kiyosaki is describing the 2008 real estate bubble as a plan of action to get rich. Banks got leveraged up on false valuations and then figured out if valuations dropped it simply didn't work, their house of cards not only would crash, but go up in flames along with the bank and the dumping of volatile debt began.
Buying real estate by borrowing money you can't afford to pay back is what caused the financial crisis in 2008. It's called subprime lending. What made the crisis worse was that institutions (banks/insurance industry) KNEW this. But banks chose not only to ignore the dangers, but to spread the risk to others (and make profit whilst doing so) by selling on the bad debts after liberally mixing them with some 'Good' loans. The insurance industry then decided to make money selling insurance on 'bad debts' (that they knew the banks were pushing) and then others took out insurance on OTHER PEOPLE'S BAD DEBTS. So when it all exploded, the insurance industry was paying out on bad debt insurance to the debt holder PLUS whoever had decided to 'take a gamble' on those debts defaulting to make a quick buck...which often was DOZENS of different entities...so they often increased their losses tenfold...acquisition of wealth isn't rocket science, but it's also not magic either.
Not really. Many companies and wealthy individuals bought houses and backed their debt with those houses. Sounded like a good idea...until it wasn't. At one point houses stopped selling at the prices they were selling before and rents went down also. The companies and wealthy individuals started doing the math and understood they were better off just defaulting on the loans even with the 7 years of bad credit scores. Banks took those houses and couldn't sell them at a price high enough to recover their money. Now, the loans from to these companies and individuals were top rated loans considered to have minimum risk when they had larger risks than people realised. This is another factor.
@@LILDroidDEX the economy already crashed in 2009 and he's still driving a Ferrari. The way he got rich is probably extremely dishonest, he probably scammed lot of people out of their money. But I don't think this guy is ever going to feel the consequences of his dishonesty and scams. He's probably going to die rich.
My uncle was a billionaire with thousands of employees. He got rich from working hard from an early age, lived a modest life in a normal house, was never on social media bragging about how much he had, rode a bike to the office because he didn't have a driver's licence, and he used his money to invest in the community (built parks, fixed streets etc).
"rode a bike to the office because he didn't have a driver's licence" and was to stingy to hire a driver 😂 Dude, billionaires have their own security service for a reason. Otherwise they would be an easy target for guys not shy of spilling a little blood. And any security service worth their salt would prohibit their boss from riding a bike to the office.
anyone can 'expose' anyone if they put their minds to it, and these YT grifters are only doing it for cash, they give zero Fs about you. Try to see through the game!
I'm glad I watched this video. In my late 30s / early 40s I read The Millionaire Next Door and The Millionaire Mind. I saw a lot my own financial experience detailed and examples in these books. Later I bought and read Rich Dad, Poor Dad and while some of his experience sounded right to me there were other glaring examples that raised red flags right away. When he said that he wanted to buy a Porsch (if I remember the car correctly) so he bought another rental property and used the income to make the car payments I was completely stunned. Everything I knew about building wealth was diametrically opposed to taking out a large mortgage and absorbing the risk in order to pay for a rapidly depreciating asset like a car. I pretty much disregarded all else Kiyosaki had to say.
Have you actually done anything with the materials from those books to improve your financial condition or just read the book and continued working for a paycheck
You just don’t understand the legal scam of commercial real estate. The goal is to acquire as much as you can, and keep the low income properties priced so high that no one will lease them. Because all that “potential income” is a tax write-off. I’ve seen properties here in Phoenix that were never built out and have been sitting empty for 40+ years, even in the busiest areas during good economies, because empty properties help the bottom line. That’s why NYC’s commercial space is only 40% occupied and they won’t lower rents to attract new clients.
But isn’t this also effecting the economy greatly … cause borrowing against these assets and not using them to generate cash …,hurts … Unoccupied lots esp in NYC are hideous but don’t generate money or growth … they sit empty
Lol, no. Eventually cashflow problems will kill you. If they lower the rent, then the value of the property will go down - and most likely the equity will be gone (of course, this only works for a while, look at SF commercial RE, lots of companies selling at huge losses or just gives the properties back to the banks...)
What I know is that everyone makes money in his own way. What works for one doesn't work for someone else.Theres always a winner and loser in every business. There's no one rule works for all. Otherwise everyone would take the method and the boat would be so full and heavy it would sink anyway
You are a little vague about your father's predicament. It sounds like he was over leveraged on his personal residence. A home is an expense, not an investment. Job loss, or a balloon mortgage, or sudden decline in asset value could quickly get you in trouble. This is completely different from what Robert Kyosaki is doing. He is using debt as a business, and if he gets in trouble because of a recession he will use bankruptcy as a tool to renegotiate with banks. His personal assets are not at risk.
Only reason rk plan has worked over the years is for the same reason he is getting rich by selling fear. Inflation has shrunk his debt while increasing the value of his assets. The irony is, if the government took his advice and started to deflate our monetary supply, rk would become the poorest American citizen. He should be more positive about the system he spent his life taking advantage off.
@@MichaelRosen-pp1pr RK knows the human material too well to fear them stopping printing money 😂 Ask yourself a very simple question: how the deflation of our monetary supply would affect the government employees on all levels and you will have an answer why they will NEVER stop printing money.
@@SvirepiyBambr-xw8rw exactly… this is how rk got wealthy. He is taking advantage of a system that he complains about. If the government stopped printing, rk would go broke.
@@timursalikov5911 In non recourse loans interests are usually much higher. And of course they don't loan you the amount equal to the value of the property, basically you need to put a large down payment.
@@VultureXV the banks don’t want the asset unless they think they can sell it quickly for a profit. They are not in the landlording business. Banks and leverage is what makes real estate profitable.
Well, you have to have liquidity in case you fall upon bad times. What happened in 2008 was that people started buying multiple single-family homes. When unemployment started to rise dramatically, people couldn’t pay the rent on those homes. When your leveraging through debt, you have to have liquidity, and you have to have assets that are going to provide you less risk, like multi living apartments where there isn’t just one renter, but maybe three or four. That way if one renter can’t pay, you can use your liquidity to evict the tenant and pay their portion of the lost rent and keep the asset.
I'm so glad that you made this video. It will save a lot of people from hardship. This is one of the most important messages I have seen on TH-cam... EVER! Thank you for your insight!
I had my own business (while working full-time, bad idea) and that didn't work out for me. Some things people are not cut out for and sometimes people are really good at it.
@@superking___ Every time someone takes out a loan, new money is created. The Bank of England recently released a report explaining how this process works: “Where does money come from? In the modern economy, most money takes the form of bank deposits. But how those bank deposits are created is often misunderstood. The principal way in which they are created is through commercial banks making loans: whenever a bank makes a loan, it creates a deposit in the borrower’s bank account, thereby creating new money. This description of how money is created differs from the story found in some economics textbooks.” - Bank of England
There are rules about that and bank runs happen, bank go out of businesses. RK never took the risk and he make money off YOU paying for the seminar while also taking the risk yourself.
I'm always suspicious of "rich" people who have enough time to write books and do TV specials "teaching" ordinary people how to be rich. I mean if you've found some great business niche and you're just raking it in then you should keep doing that with all the time you want to spend working. Why write a book that might not sell and compete with all the other finance books out there? Plus why do you want people to do what you do and compete with you? It makes no sense. You're just killing your own margins by doing that. But on top of that this guy just gives off sleazy vibes. From the first time I ever saw him I thought he was a total shyster.
His assets can be far greater than his debt but not be liquid. Elon Musk and Jeff Bezos are extraordinarily wealthy, but it's not all liquid. If people can't understand the basics of it, then they should just stay grinding away, invest in that 401k plan, and stay on the hamster wheel.
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I was like your Dad in the GFC. Realestate schills are pure BS. I have managed property. You have to find property that has a very high value to cost ratio so that the rent is high enough just to cover maintenance. Let alone Tennant disasters and castastophe's both of which will happen.
@@anonymousdonor8084 Was a landlord for 12 years in the 70's and 80's. It was hard work to keep the money coming in and pay the bank its money, real estate taxes, insurance, maintenance, etc. Not much left after all the bills are paid. Would never do it again that way. Would of been alot farther ahead taking the money and investing it into REITs. Saw this guy touting his going into debt to make money and knew instinctively it was not as easy as he made it appear.
As a guy who sells call credit spreads on the SPX, I can't condemn him for not being risk adverse. I can say that there are far better things to gamble on than commercial real estate though!
Your research not including anything about "currency devaluation" show your financial illiteracy matches your fathers.
Yes don’t just follow any financial advice or influencer. Heck my uncle lost a huge amount of money just owning stocks in 2008.
I don’t like everything Robert kiyosaki says sure, but I will say he’s great because he makes people think. He got me to really think and spend time learning about how U.S. dollars are created out of thin air and that’s how banks, government and rich people steal from others.
I have a friend that’s been doing a real estate fund and getting people to invest and then they buy buildings in various states. But he joined the real estate club Renatus which is $20,000 to join but it’s lifetime membership with videos made by real estate people and lawyers and they actually help you. If I had money I’d do that some day.
Robert got me to eventually read the book creature from Jekyll island and then that lead me to read U.S. monetary history by Murray Rothbard.
I think this guy's true wealth is from selling his book.
A book whos PDF is free all over the net...
@@starfleetcommander You don't know when this book was release do you? 1997. It was a best seller for years. Whatever money to be made from this book has been made. Now there are 100's of versions of it, not even written by him. Ofcourse you can get it for free now.
@@murrowboy yup
leafed through his 'books'? Lotsa extra pages, reiterated concepts with repetitive graphs over & over.
Oh. That and 'buy near gov't/military complexes, to get a supply of consistently paid renters. ' - okay. the Big Secret. lol.
That's the scam he's promoting
I'm an ex investment banker and real estate professional. His money comes from selling people classes on how to make money. Last time I checked, there was no credible information on his real estate portfolio. It is likely he tags along certain deals to be able to claim he's involved with large transactions. But for people reading this, make no mistake: you are the product. Real estate isn't the product.
100% pure scammer and grifter....RK that is
Like Carlton Sheets. laughs all the way to the bank
100% correct. I have a friend that does this and he basically sells his "brief" knowledge as a class. Participants pay $$$ to be in his online class where he teaches them how to flip homes amongst other things. THIS is how he generates cash-flow. NOT what he is teaching.... (Which CAN work but is very market susceptible! )
I agree - I worked for brothers who were property billionaires - they eschewed Debt (only occasionally venturing into it , on a small scale, in Joint Ventures) - but the main point is that they were far far too busy to ever either write a book on how to get rich or to record youtube videos or run courses....owning that much propery requires 'stewardship' and acquisition analysis etc - that doesn't involve the need for 'How to get rich ' schemes ..It's laughable to imagine them doing that!
Kyiosaki is the man. I read his books and built a portfolio of real estate. Retired when I was 35. Its not for everyone. Many people are too buy bitching and moaning to see straight. Worked for me. Stakeholder capitalism is straight from WEF....that's Communist bullshit.
Kiyosaki has always struck me as a grifter and slimeball, but it was confirmed to me when i heard him on a podcast laughing about a gold mine that he spun up and pumped using sneaky advertising tactics. He then suckered in a whole lot of stakeholders, and then foreclosed on the mine, taking all their money.
A person who could laugh and take pride in stealing money from people knowingly through a fraudulent scheme is the scum of the earth.
Wow
what podcast was that?
My favorite story from kyosaki, as told by himself, is when he threw a young mother and her children and all of their possessions out on the street on Christmas Eve for being behind on the rent. He laughed very heartily while telling this story.
@@Winstonrodney6989wow. I knew there was something bout him I didn't like
@@violinfanatickamraz1403 when I first read his book twenty years ago, the thing that struck me was how he threw his real, hardworking, good family man father under the bus in favor of the (now known to be fictitious) rich dad. It left a bad taste in my mouth. Imagine working hard in a respectable line of work to provide for and raise a family only to have your kid write a book that portrays you as a looser for doing so.
I converted my 401k to a Roth IRA to avoid higher taxes in the future. I'd rather pay taxes now than be stuck paying taxes on my retirement income when I'm 59 and living off my savings
Pre-tax contributions may help reduce income taxes in your pre-retirement years while after-tax contributions may help reduce your income tax burden during retirement.
Both have their perks but you can also save for retirement outside of a retirement plan, such as an individual investment account or employing the services of a retirement planner/financial Advisor.
How can one find a verifiable financial planner? I would not mind looking up the professional that helped you
My CFA Julianne Iwersen Niemann, a renowned figure in her line of work. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.
Found her online page by searching her full name, I wrote her an email and scheduled a call, hopefully she responds.
When the gold rush happened. It wasn't the miners that made the money. It was the people selling them the supplies.
Yep! Ask Levi Strauss. Or American Express. Or Wells Fargo. Or the buddies and business associates Charles Crocker, Mark Hopkins, Collis Huntington, and Leland Stanford.
@@johnc2438 This is the way the world operates. I used to hate the game, now I play it at a high level. We were born in this inverted world, so you must play the game if you want to survive. The challenge is becoming wealthy while not breaking the law and having some type of moral compass.
I read a book about this era named: Miner Dad, Prostitute Dad. In the book the prostitute makes ten times the amount of the average miner.
The early miners made money. The ones who came later were mining for scraps.
Nvda comes to mind now with all the AI hype
I've been heavily criticised for criticising Kiyosaki. To me he's a scammer.
Completely agree! The guy is a trump wannabe scammer!
He is!
That's why he's friends with marin katusa. The scammers stick together and promote each others scams
Yeah silver and hotels LOL
Told my daughter what a p o s he is and that I won’t read/listen to his book. Next.
Best advice "Don't risk anything that's important to you for something that's not important to you."
Or simply don't gamble with more than you can afford to lose. That's been my motto with bitcoin.
Warren buffets oracle of Omaha
Yes! 🙌
Warren Buffet truly has some (insightful and profitable) nuggets that he throws out from time to time. I listen and glean the information I need. Hasn't failed me yet. lol
@@guinealove3744 But he also says some very immoral stuff too, like praising cigarette companies because it's so addictive thus making people buy again and again..He also loves coke which definitely not a good thing. So for him its only what can give a good return noinvestment matter how bad impact the products have on society.
As a passive investor, is it wise to buy market tracking index funds and ETFs from companies like Blackrock, Vanguard and State Street, even when they're at all time highs? i want to invest around 600k for retirement
I think the whole thing about holding stocks for long term will always apply. So I think you should get a quality broker who is able to analyze and pick stocks that will do well in the long term, else you will be in a long bear ride.
Accurate asset allocation is crucial, I used hedging strategies to allocate part of my portfOlio to defensive assets for market downturns. Expert guidance is vital for achieving this. This approach has helped me stay finan-cially secure for over five years, yielding nearly $1 million in returns on invest-ments.
You have a very valid point, I started investing on my own and for a long time, the market was really ripping me off. I decided to hire a broker, even though I was skeptical at first, and I beat the market by more than 9%. I thought it was a fluke until it happened two years in a row, and so I’ve been sticking to investing via an analyst.
This sound interesting. I’m not really one to use pro analysts, but I guess it would not hurt to try one. My portfolio is in the red waters right now
There are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’Melissa Elise Robinson for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.
He's pretty slick. Convinces you that debt is ok, then charges tens of thousands for a course.
Honestly I didn’t see it as a sequence like that. This is the best comment I’ve seen so far.
Agreed, this slimeball nearly convinced me debt is good...............that's until you can't make the interest payment!
@@davidflanksshell game, you minimize the significance and importance of something while becoming the very thing, liquidity, and boy do your priorities change and does that become important it's like the illusion of control chasing no risk management on 70 percent winner trades, with the same game plan losing big on 30 percent, but more false confidence. (Post course? Lol)
Ask RK if he'll finance the cost of his advice.
@@andrewb2475 mate the economy is literally based on debt, anyone who is not taking advantage of debt is getting left behind
I lost my first wife to multi level marketing. She became obsessed with how much money she was going to make (she didn’t) and thought I was a loser to not join in. She was a fan of his.
I'm sorry to hear that. MLMs/pyramid schemes wreck so many relationships and are hard to get out of. They're almost like cults. Very scary and sad.
RK has literally never pushed MLMs. Just because your crazy ex wife liked someone doesn’t make them bad.
He has though search it up he literally said mlm is one of the best models
th-cam.com/video/GKVScX0ScFQ/w-d-xo.htmlsi=go7T90tvr10RKDDN
@raymondnguyen9287 He said MLM was good for "learning". That's all he's ever said.
The REASON Kiyosaki has released a new book with the words "FAKE" and "FRAUD" in the title is not because he is both (he is), but because he wants to control the search optimization around searches for "Robert Kiyosaki is a fake" and "Robert Kiyosaki is a fraud".
😅 wow. Sneaky
It also helps him that his favorite felon presidential candidate Trump uses “fake” so often.
Facts!! Real eyes recognize real lies.
Exactly
@@Dave-lr2wo genius
Here are my five rules to become rich.
1. Maximize income
2. Minimize expenses
3. Never borrow money
4. Spend as little money as possible on depreciable assets
5. Buy as much as possible appreciable assets.
Got me to a million dollars in 24 years. You don't need to attend a seminar to know this.
Point 3 no no
Point 3 should be borrow money at your own risk. There's nothing inherently bad about borrowing the money, only the inability to take the right opportunities to pay it back. No risk, no reward
Some of us don’t wanna wait 24 years just to have one million dollars
@@DanielBice I think it's meant to be *at* 24 years.
Please make and publish this in poster format.
I have always seen RK as a typical scammer. I wouldn't buy a used car from him. Besides the BS he tries to sell you, he doesn't come across as a happy person. He looks angry, frustrated and bitter.
I sense he is an evil prowling beast seeking whomever he can destroy for his gain.
He is trapped in a cycle of always having to find new fools to fund his lifestyle. With the age of internet, it is a lot harder to find a new supply of suckers.
Your comment literally has no relevance or fact beyond your feelings 😂😂 Robert owns mines who's income from there covers his debts
@@Muzzy0085
Robie owns 💩 😆😆
he looks rich to me. Not defending his methods
I once attended a free Robert K-branded RE seminar. I then paid $400 for the next level seminar. At this seminar, they had people list ALL their assets IRA, 401-K, RE, etc to help people figure out how they can pay 10s of 1000s for some higher level program. I knew then, this is a scam. I skated.
Yeah, it just seems like the old idea that if someone knew a surefire way to get rich, they wouldn't sell it in a seminar unless that seminar IS their way to get rich.
He's a con man. I can't count the number of broke people swearing to his advice.
He sold some books. Even his wife got tired of pretending and left him.
The Whole Financial System is a scam
same happened to me, after 3 day seminar they tought us nothing only how to get loan to pay for their 40000+ USD training
Wow, I had a friend that attended an early Tony Robbins event. Same thing.
Kiyosaki is someone who is admired by MLM salesmen, shitcoin influencers, 9-5 disrepecters and plain "financial freedom" scammers
MAGGATS LOVE HIM TOO AND MUSKTARDS. MEANWHILE OVER 20 YEARS MY 401K IS 3/4 OF A MIL.
Kiyosaki actually recommends joining an MLM (his suggestion was Amway) in order to "learn sales".
@@DarklyViolet Surprisingly, Amway has been around for a LONG time!! I know people who are still in it today. Why do you think it has lasted for so long?
The "easy money" and the "how to get rich" themes are, alas, irresistible. They mesmerize and bypass the natural common sense of many people. Gurus, "mentors" and scammers of all ilk (you mentioned a few) thrive on it.
@@bbb_888 So has herpes
I turned 40 today. I meet with 2 financial advisors earlier this year who estimated my net worth between 1.6 and 1.8 mil. I live in the middle of nowhere, work a bluecolor job in a very poor state, have an associates degree from a votec school. Anyone can do what I did. Most of my net worth is my 401k. The next chunk is my paid off house. I haven't had debt in years and live well below my means. I dont lose sleep over the housing market or stock market swinging.
BOOM! This is the way. Well done man, seriously. If it doesn’t make sense to you, never invest in it. And the number one investment of all time (according to Buffett) is you!
Sounds like half a story. How do you break down 1.8 mil just by working a normal job at 40? Must be through investments, or untold benefits you received. 1.8 mil not something ‘anyone can do’ with a regular job and no particular benefits to start off with.
I work in IT as freelancer and earn well today, but have been salaried before. I know for fact that it is not possible except when going independent or making risky investments.
@@kimgysen10 look up Ronald Reid. dude was a janitor who at the time of his death gave $6M to charity at his death and $2M to his kids.
It can be done. Fees and risk are corrosive to longterm gains
@@davidflanks Didn't say it can't be done. But it requires an explanation and calculation. Numbers are thrown around too easily, and too much is lied about extra sources of income that not everybody can afford. I can explain where my income comes from, and know for fact not everybody can do that. A million is NOT as easily achieved as claimed here. And it will leave people wondering.
Kiyosaki is a charlatan in its purest form.
I tend to agree 100%. Shame because he was early and had an opportunity to really make a difference.
@@davidflanks But, but...... RK never know how!! 😉
Totally
Robert Kiyosaki is the original of fake gurus
Not only is RK a scammer he is mean. I heard him laugh on a video about the people who live in assisted living facilities.
Robert Kiyosaki is just a scam artist.
If you listen to his TH-cam shows it just sounds like a bunch of double talk, ended with buy my course. That tells you where the real money is.
Isn't Kiyosaki's approach to leveraging eerily similar to Lehman Brothers?
@@markg0410 his fraudulent mannerisms are similar to Trumptardism
😢
@@markg0410😅😊
I am a middle aged Scottish female, came across this man years ago, 2 mins in and I knew he was an untrustworthy, disregardful drama queen who could not run a household budget.
What does being middle aged, Scottish or female have to do with it? Genuinely interested.
Yeah unusual details to add
You know nothing. He owns mines 😂😂
@@BDHO73middle aged Karen trying to be relevant
@@BDHO73Yes Karen, what does it?
I read the book years ago. What struck me was that his real dad (the poor one) was a teacher (college or school, I can't remember). His friend's dad (the rich one) was driven by accumulating money making assets. Real dad must have helped educate thousands of students over his lifetime and been a solid role model. Rich dad - got rich. One of the examples in the book was buying up small underpriced shops in a block until he owned them all then redeveloping the site at great profit (a hotel I think). I couldn't help thinking about all those small businesses, the neighbourhood, all those lives. Also, what did rich dad spend the money on? A car, a plane, a yacht, a bigger house. Poor dad made a much bigger and better contribution to society and given the minimum financial security that honest toil brings probably had a happier and more meaningful life. I wouldn't buy a second hand car from rich dad but I would from poor dad.
And lets not forget that teachers are in the top 5 professions of retiring as millionaires (ranking at number 3). Roughly 14% of all millionaires are teachers (at retirement).
So you can likely contribute to society and still get rich.
I own 6 rental properties ALL paid for and I sleep VERY well at night. RK is a scammer.
So you're saying he doesn't have any properties at all
This man knows why you buy real estate
@cupidok2768 he def has real estate but he didnt make his money from real estate or atleast a large part of his wealth from it, its from his courses. Real estate investment are very well documented and studied, RK's in recent years stopped preaching about realestate investment, instead pivoted to debt financing and some gold and silver bs, leveraging debt at extreme risk which almost no one would recommend. So when you are someone thats unware of the risk and hear it from a "rich" guy you think he hacked the matrix and buy his course.
And still, a few bad tenants can destroy the whole asset!
@@cupidok2768 no?? OC said two facts
1. He owns 6 rentals paid for
2. Kiosaki is a fraud
Debt is cancer. If you don't do regular chemo and management, it will kill you. People wanting too many things is the problem. Just a house, some savings, and little bit investments in the long run is more than enough if you are able to live below your means. Being debt free is as liberating as it gets.
Love this!
Exactly, well said
Typical poor dad mentality
Not having a heart attack inducing phone ringing out of no where does wonder for Cardio health. My dad was such a fuckster huckster 90's he might as well grow a bushy stash. He fucked off back to HK in the late 90's, getting a "Job" with the new government. He left us with a fuck tonne of card debts, house debts, condo debts (one of his huckster unfinished schemes). So I got a pt job to help with the bills, and mom retrained in a woman's business course got a job at the cable company (a a fuck tonne of severance package shares), paid off the house (now that's generational wealth), paid off the condo as a manger. I helped. Dad? Well he got jailed for misapproprating his very generous living allowance (his apartment had a bath tub, a luxury over there (space issues), a Mazda car, a GREAT salary, and pensions. So the tramp he ditched us for he dumped her, she informed the government....Dad gets out of Jail and heads to the mainland to try his luck there, racking up debts, along the way, sowing his seeds, (some of whom I met, they all did well with good morals (accountants, regular joe but honest jobs). And same story, remarries 90's way, divorces, infidelity, the wife pays off the house and keeps the bling, and just gets kicked more and more to the curb.
I only build up my credit rating to get a better deal on the house and car. So I borrow about 1000, from each source, pay that back quickly. the 1000 goes to investments, and it has the potential to double. Then you save a fuck tonne of money on larger borrows like the house and car, the house you can pimp up and sell at a higher price. Just 800 to redo the lawn, a few thousand to remodel, for appeal. Or get larger loans for well though of ventures. And grow your net worth.
Your understanding of money is the way the vast majority of people think. You are comparing consumer debt (credit cards, auto loans, etc) to leverage (debt used to buy an investment). They are simply not the same thing. If you understand how leverage works, and use it wisely it's an extremely powerful tool. Kiyosaki makes money because people ALWAYS want the "shortcut". Problem is there is no shortcut, no prosthetic. You simply have to take the risk, and understand the reward. RK's advice about gold and silver I agree with to a certain degree. Paper money is a liar's promise because it's not against the law for the government to print more money making your paper money lose spending power. If you can buy a nice used car for an ounce of gold now chances are 20 years from now the same ounce of gold will buy a nice used car. I started buying commercial real estate in 2008 right after the crash. I had a small very modest house in a great neighborhood. Was diligent and bought what I could afford. Got married, tried to sell to just buy something more suitable, and it was 2008 demand wasn't there. It was either walk away, or rent it out. So I rented it out. I still lost my shirt on that house because it took years to get back to even. That lesson though taught me it was time to buy. That's something you can't learn in a book or course. I sold all of my commercial real estate in the last two years because the market has been on fire. So I used a mixture of cash, and leverage to do that, but overall I quadrupled my initial investment in less than 15 years. So when used properly leverage can be an insanely good tool. It can also put you in the poor house. Everything has risk, and everyone has fear.
He’s been predicting the collapse of America for the past 40 years. “Be ready for America’s collapse next month!”. He’s said it a million times.
The real life "Chicken Licken."
He's like Peter Schiff. A broken clock.
If you say it enough, you begin to believe it.
@@sandman1347Trump been saying the same thing since the 80s, I remember he bashed the Japanese back then and his net worth has stayed about the same
Praying for collapse is last resort to get gov forgive your debts
Building wealth involves developing good habits like regularly putting money away in intervals for solid investments. Instead of trying to predict and prognosticate the stability of the market and precisely when the change is going to happen, a better strategy is simply having a portfolio that’s well prepared for any eventually, that’s how some folks' been averaging 150K every 7week these past 4months according to Bloomberg.
the strategies are quite rigorous for the regular-Joe. As a matter of fact, they are mostly successfully carried out by pros who have had a great deal of skillset/knowledge to pull such trades off.
I wholeheartedly concur; I'm 60 years old, just retired, and have about $1.25m in non-retirement assets. Compared to the whole value of my portfolio during the last three years, I have no debt and a very little amount of money in retirement accounts. To be completely honest, the information provided by invt-advisors can only be ignored but not neglected. Simply undertake research to choose a trustworthy one.
Mind if I ask you to recommend this particular coach you using their service? Seems you've figured it all out.
Carol Vivian Constable is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment..
She appears to be well-educated and well-read. I ran a Google search for her name and came across her website; thank you for sharing.
Finally someone is saying it! Debt is debt. Those who are truly "rich" are those that are free to do what they want no matter what the outside circumstances in the world are!
Leverage is a tool. Making 1 for 1 investments where a win gets you a dollar and a loss loses a dollar is no way to invest. You will always have investments that fail so your winners must gain more than losers. Doesnt mean it's easy to use debt but nothing is easy
@@chiquita683Your comment literally has nothing to do with his point lol
You’re in too deep
@@chiquita683Your comment literally has nothing to do with his point lol
You’re in too deep 💵🧠
Pretty sure Kyiosaki can do whatever he wants LOL
People buy both houses and businesses on debt. Like the man in the vid says, nothing new. It works for people, but the risk is higher and some dose of luck is an important factor. You will see both people who succeeded and failed using this strategy. Countries are in debt, a lot depends also on trust worthiness; they can negotiate terms more dynamically.
If you’re dumb enough not to see his contradiction written in front of you then you probably deserve to lose your money.
He says “don’t buy unimportant things, don’t create expenses. Only invest in assets that give you an immediate ROI”.
At the same time he’s saying “spend your money on my course which is listening to me about ideas”. His course isn’t an investment with an immediate ROI. It’s a needless expense. The very thing he tells you to avoid!
Haha that’s a great point!
About a decade ago when I first started learning about personal finance, I bought RDPD because it was mentioned frequently on financial forums. I got maybe 1/4 into before I said, "this is theatrical trash" and put it down. So happy more people are calling this guy out on his bs.
@@christopherherbst2942 “theatrical bullshit” baahahahaah
I read it 15 years ago and been semi retired for about 5 years. 7mill in assets that cash flows. I think the problem is you.
That book was great. Just cause it didn't work for you, or you didn't get it, doesn't make it trash. The issue is people don't know when to stop when they're ahead, and clearly Mr Kiyosaki didnt know when to stop. 1.2B in debt is greed.
It has some financial information sprinkled with interesting story telling. The book shouldn’t be taken for serious financial advice.
@@BrokTheLoneWolf
You talk like a poor
I read Rich Dad. There's a section in which he says "I bought a 2 bedroom, 1 bath condo from a bank. Total working time: 2 hours." I have actually done that, and it took WAY more time and effort than 2 hours. It was a 6 month project. In "Rich Dad's Prophecy" he said the stock market would crash in 2016-2017. But it soared. He advocates buying real estate (which I did between 2000-2008) because it would yield great returns. But if I had invested just $1000 in APPL in 2000 I'd have $456,000 today--GREATLY outperforming gold and silver. I think there is more and more scrutiny on Kiyosaki, but I see it coming from TH-camrs, not financial media.
This is such a great comment, please DM me on IG or X and I’ll give you a free invite to our discord. I think your opinion would would be really great for our community
Hindsight is 20/20...Anyone can look back 24 years or so to 2000-2008 and say they would have $450k+ today had they invested X amount of dollars in 2000 into whatever stock they look up today and see that it has soared over the last 24 years. I had a CPA salary in 2000 and started buying investment real estate "on the side" around 2005. My net worth is now over $8M. Use common sense and work hard. Every type of investing or job/career may not be a match with your skills and abilities.
You are discounting the thousands of other companies who’s shares are near worthless in that time frame. Investing involves risk no matter what asset class you are investing in.
We are all imaginarily rich hindsight investors though, that's not a good way to measure success when it comes to wealth. I believe RE is a great investment if you learn to do it right and also with a bit of luck. Same as investing in the stock market, you need to have an idea what you're doing... if you have no clue and are just throwing money around, chances are risk is going to eat you up, regardless of the investment you choose.
@@paulacurrie9182 Well said. Cherry-picking a stock like APPL from the 5500 listed companies on the NYSE, NASDAQ and NYSE American exchanges in hindsight isn't very useful and proves nothing. Stock-picking in general is not for DIY investors competing against an ocean of professionals with resources that no member of the general public has access to. Nobody is Warren Buffet except Warren Buffet, pretending like you are is folly.
Finally, someone who has the same opinion of Kiyosaki.... who is a snake. A horrible guy, just nasty, and you can see it in everything he speaks. Thanks for this.
sounds like the perfect american
Hence he pumps up marin katusa. The pair of them promote each others scams
Self centred, very conceited, and sociopathic, I think that's not only a quality of Kiyosaki, but that of most boomers.
@@vierzwanzigen9722 a trait of most millenials and Gen Z too!!
@@alanlawlor3134 you have boomers to blame for that, they set in motion everything that's wrong with the economy, and they are responsible for most of the economics theory and practices which need heavy rethinking.
I went to a Kiyosaki seminar in Melbourne a few years ago, he spent half the time berating an audience member for not looking interested enough, told us we were too stupid to compete with the Chinese in business and anyone that went to college was wasting their time, which is how I felt coming to his seminar.
LOL... hopefully old age puts him out of his misery & we no longer have to see him spewing idiocy
common scammer tactic, berated people so they won't protest in anyway
Chinese lack creativity and have little risk tolerance. They don't want to risk showing off their children's ability to master a musical instrument or showing off their prestigious degree at at ivy league daycare center. This is why the Chinese depend on Western companies telling them what to do or simple IP theft.
I moved to the Philippines back in 2018. Robert is correct. I have College Degrees in Electricity & Electronics, Computer Science, and Information Technology. They were all a waste. China is kicking our colletive asses because they are smart, not educated, smart. They are industrious and figure shit out. There is no Plan B, no safety net. If they fail, they starve.
Textbook con artist: “College is for suckers and losers.” RK spent a bunch of time in his first book lambasting his dad for being a paycheck-to-paycheck academic. Anyone who plants their flag squarely in “higher education of any sort is a waste of your time” is either already scamming you, or REALLLY wants to.
Kyosaki is the original money grifter.
Man, I had a distaste for him before, given my family's history of following his advice, but after digging into him for this video, it really solidified and justified the distaste lol
@@davidflanks So what you're saying that you dislike him even more after the interview? I think it was pretty obvious all along.
@@Thomas.Bolleiro yeah, that’s fair haha
Kyosaki advice does not replace good judgement.
As he has increased, I don’t like how he treats people who don’t follow his path, he talks them down. When wealthy people do this, diminish your trust.
Also, his debt views were very popular in the 1970s with a lot of narcissistic chancers. “Let debt be somebody else’s problem.”
People completely overlook survivorship bias. Just because one dude got lucky doesn't mean he gets to write a book, claim to be an expert, and then have a bunch of people follow his advice and also get rich. Ever wonder why there are so many books telling people how to get rich, but not a ton of people getting rich following those books?
Lucky ones come along after thousands have failed, then the money they earned (with luck) essentially powers them the rest of the way.
Quick, give me $500M. I'll go invest it at a super safe, super conservative 5% and then tell everyone it's easy to make $25M / year.
Well, ya know, investing money at 5% in conservative things is a tried-and-true method that can work for anyone.
I do get what you are saying though :)
Worked for my family. He is definitely a salesman and more recently a conspiracy theorist. However, his actual information is solid.
Nobody has ever claimed that becoming wealthy was easy. Also, “luck” is just the tip of the iceberg, and luck is simply when preparation meets opportunity.
My friend studied the Rich Dad/Poor Dad method, even attending a seminar in 2007. She lost her home, her boat, her ATV, a secondary rental property by 2010. Lost everything through leveraging by age 45. Moved half-way across the country and started rebuilding her life over an extended period. Took a lot of humbling.
Sounds like she got into it at the height of the housing market and then lost everything during the crash. Unfortunately, sometimes it's all about timing.
His book warns against debt for liabilities. So a small cheap house and ATV or boat loans. Sorry but she didn't follow it.
@@jeabo0adhd
Bs, she did. Stop lying. Be sorry for lying.
Oh no! Not her ATV😢
@@jeabo0adhd She had a small cheap home. Everything came crashing down when she lost her job in 2008, during the ‘Great Recession’.
that private jet isn´t even a real jet in which he sits. people like Kiyosaki are frauds
🤣
How do you know?
@@MoneyStrategiesSOULutions Because the guy has been broke for years..has no money and no debt
As soon as there is a jet, a swanky car, or a luxurious looking pool or villa in the background, you KNOW they're gaslighting you.
A lot of rich people don't own jets. They use services like Netjets, which is a much cheaper way to travel when using a jet.
If everyone dropped out of school then where do we get nurses, engineers, doctors, chemists, etc. We’d literally have none of the conveniences of the modern world without these professionals and researchers
Even better, he thinks math and physics are silly fields with no real applications
Robert Kiyosaki came to Australia and could not believe the home prices and advised people to sell fast as the market was going to crash. Never did. He ignored our real estate history where home prices on average double every 7 to 10 years. Those poor people who took his advice and sold their homes could never afford to buy another one.
Do the property values there ever go down? 🤔
@@erictoombs4842 No, the worst that happens is they flatline for a few months. the odd property may drop 2 or 3% in a recession but even with record high interest rates the prices are going up faster than ever before.
Do your incomes double too ?
@@gweher43 No of course our incomes don't double every 7 to 10 years.
@@macxpert3588 so how does the new generation buy homes ?
I soured on him for bagging on "working men" who are regular guys working as plumbers, teachers, mechanics, etc...that they're chumps for just working, saving and just living life. Not everyone wants to be a landlord, high-profile, high-stress, over-leveraged investor.
Imagine a world without trade workers, we’d be screwed. I deem it a respectable position.
And some of us love working with our hands.
His book wasn't designed for people that just want to take a paycheck and work for a living. Time is everyone's most valuable asset and trading time for money is one of the worst trades you can make IMO. The underlying principle of the book is making your money work for you instead of you working for your money.
@@Banc2008 he’s millions of dollars in debt. Not impressed. Once a bank decides to cut their support he’s screwed. We’ve all seen many operators standing on a house of cards.
Amen brother 🥳!
Nice one dude. It's always annoyed me no one calls him out
My wife and I accumulated enough wealth over the last 20 years to own our 1.4M house outright, as well as 3 downtown apartments we bought in cash generating passive rental income.
I'm just a normal software dude and she stays home with the kids. Our method:
- we never borrowed a single dollar in our lives, we only buy in cash and saved for every house we ever bought. Climbed the property ladder for 20 years starting with a crappy condo
- we are frugal, non materialistic, and humble
- 10-30% of our income goes to charity every year, no exceptions.
- we take the warnings regarding interest/usury from religious texts very seriously
Kyosaki is literally preaching the opposite of what we have done.
I'm now 45 and semi retired, nothing makes us happier than the thousands of people we fed/clothed/housed over the years. Charity is the crown jewel of contentment and inner peace
Robert kiyosaki got his start as a multi level marketer. Another investigator showed that Kiyosaki lied in his book about his 'dad' who Kiyosaki later admitted was an amalgamation of rich people and not a real person. I repeat: His real father was NOT rich. It was all a lie.
If you read the book you would know that his real father wasn't rich and he never claimed that he was . But of course there was plenty of things he did lie about.
@@intothebeyond8763 You are correct, I did read the book years ago and forgot that the rich dad was not his (a friend's dad right?), but even this 'dad' was a fictional character that he later admitted in interviews was never real but a composite of a bunch of people he knew who were goo with money.
@@4dwillis Thank you for following up with that correction so I didn't have to. 😉
With the interest rate over 5% he’s probably struggling just a little. Fortunately I don’t think he owns any commercial real estate in SF or NYC. With $1BILLION in debt he’s going with the “too big to fail” narrative
@@intothebeyond8763pretty sure both of his dad's in the books were fake characters
Knew about this guy a long time ago. Decided to not read his book. Instead read “The Millionaire Next Door."
Same
❤
Yep, helped me.
Same here...read Millionaire in 1998 and retired 24 years later at 55 using those strategies!
Probably one of the best decisions in your life. Slowly will get you there.
I agree with you, only 100%. I did read Rich Dad, and liked that book a lot. However, beyond those basics, the guy has very strange theories. His seminars are absolute scam. As I recall, he had this strategy that you purchase a $20,000 watch in order to be in debt just to pay it off. So yes, the guy gives horrible advice and is completely nuts.
However, as much as I can't stand Robert Yikosaki, Grant Cardone is worse --- Grant is far, far worse.
part of the tribe
All these idiots are praying on the naive... And the stupid
I personally got some fundamentals from Rich Dad that served me well as basics for the last 25 years. The notion of "only buy assets" is a good core tenet. yes, beyond that book he is just a grifter who realised idiots would throw money at him the more outlandish and "incomplete" his advice was. I think he learned that fundamental from Napolean Hill's Think and Grow Rich - the original content-vacant money advice book.
Grant Cardone is exactly what you think he is. Beware.
@@alostpilgrimsjourney5953 And Grant totally seems to be 'that guy'. He has never impressed me and gives me shyster vibes. I could be rich too, if I was a heartless con artist.
Kyosaki is the Tai Lopez of early finfluencers.
Don't insult Tai...
Hahahaha
knAAAAAwledge!
@@tomfromtartu9706 ;just here in my garage, with my bookshelves & leased Lamborghini. ' - luv that guy. GnaW LedGe!
Not the same ! This guys never speaks about , happiness, habits , exercise, etc .
The best-selling book, the Bible, literally warns us that debt makes you a slave to the debtor. It's been accessible knowledge, right there for thousands of years.
Debt forgiveness is also in the bible, but people, usually right leaning, always start screeching when lower income people receive it while they are perfectly fine with the rich paying little to nothing in taxes.
Most Bibles aren't sold. They're rammed down our throats,
Amen.
@@phiksit The Bible mentions debt forgiveness as a virtuous form of charity and that's exactly what it is: CHARITY. The problem is that people, usually left leaning, want to use government force to make it compulsory. We have a word for compulsory charity, it's called theft. The fact that the rich pay less taxes proves that socialism doesn't work. That should cause you to abandon this failed system, not double down by creating more taxes that the rich won't have to pay.
@@phiksitThe left is just as bad as the right. Wake up man.
A renter can do $10,000 dollars worth of damage in one day.
That's okay, more investment property for me then. 😉
Ever heart about insurance and security deposit?
fatalist attitude.....we can talk ourselves out of all risky behavior.....just get the Federal job and log into your government laptop 5 times a week...but don't wonder why you retire a nobody....
@@Chofesh equals slumlord.
@@pavelow235 Newsflash. We’re all nobodies. You can’t get any more nobody than a government proll.
I read Rich Dad Poor Dad years ago, and like any other book it’s open to interpretation. There is both good and bad advice, but it’s up to the reader how and what they choose to pursue. While getting into real estate is a great way to invest, Robert never tells you anything about the risks or HOW or WHERE to begin. Just that you should consider it and you should use debt. To the average person that doesn’t know much about money I can see how it’s easy to get roped in. And for those that are a little more critical, a natural next step is to look to actual professionals or mentors that can teach you the business.
At the end of the day, what Robert is, is a salesman. It’s peppered in the book here and there, when he talks about taking jobs that taught him skills like selling, understanding how business works, etc. Robert isn’t your mentor. He’s just a guy selling you general business and investment information. It’s a good place to start if you want to pursue some ideas beyond the book, but ultimately up to the reader to obtain the proper education and guidance.
👏👏👏
I can relate to you. I watched debt kill my father too. I have been following Dave Ramsey for many years. We have 1 car paid off, about to pay off the other. I’ve also read Kiasaki’s books and he’s been promoting an impending monthly crash for as long as I can remember. He’s also been promoting gold. I think Dave is spot on, I pay my taxes, I pay my credit card in full every month. My wife shares our vision for the future. You have to be able to sleep at night.
gold is simply an ASSET THAT WE HOPE KEEPS up with inflation!,,50 pound sacks of dry brown beans are about as good as a commodity!selling your gold to get something you can use to trade for goods costs 2-5%...! buying it to begin with, is 3%....selling bags of these brown beans is easier!
You have to be able to sleep at night paying lots of taxes. That means you aren't studying the IRS code. Or listening to Kyiosaki🤷♂️
He's now promoting Bitcoin. Go figure....
Never assume people are telling the truth. Two experts on the same subject often disagree. Take advice, but make up your own mind. Own your decision. Don't blame the advisor.
Also people selling advice or selling books and courses on making money. They are the people making money. Excellent advice can be found for free.
@@JohnchristopherTonks-ue7mq from homeless junkies
Like profound lecturer Bobby Hemmitt says, “Scholarship over Emotion.” Learn everything believe nothing.
Well to start with, go to a licensed financial advisor regulated by the government. Most people listen to their friend for financial advice because they trust them not because they know better. I've seen this so many times as a former licensed financial advisor.
Ok, just because two experts tell you different things does not mean one or both are lying to you. Perhaps you meant to say that a person should not assume they have to follow the advice of one or the other, and tune everything else out…?
Father got a 4th job to send you to college, what a great man.
A very generous man.
The guy could get a college education taking a student loan, it would definitely make him value his education and use it to earn his living instead of wasting his time making TH-cam videos.
The problem with having a "free" (i.e. paid by parents) education is that students do not think hard enough when they choose a program.
That's why we have a lot of graduates having worthless degrees that cannot help them earn their living.
Or students who decide to drop off in the middle of the education process "because they need to find their true vocation".
When a student knows that he will pile a lot of debt for their education, they consider it much more responsibly.
And study FFS, not just waste time partying and drinking.
White collar jobs require a college degree minimum. It’s just a badge to get your foot in the door. Sometimes it’s not about the cost or education but the networking that happens in these top tier schools that are just priceless. you attend great colleges to network and that network is exclusive to others that also attend top tier schools. Attend any social event with prominent people and they will ask what school did you attend and that’s all they need to know.
Screw that. The dude needed to get a paying job.
Buffett's 2 rules of investing:
1. Never lose money
2. Never forget rule number 1
Used to think Buffett was just being cheeky when he said that, but after working in finance I learned that risk-adjusted return is all that matters to people with real money
I’m glad people are exposing his logic. I got called dumb for questioning his book.
If you do it without debt, the rich dad's advice holds true: "Rich people buy assets, poor people buy liabilities". However, Kyosaki's debt advice is poison.
You can own real estate using the banks money and have tax benefits, appreciation, cash flow, and equity build from principle pay down and sweat. I took his advice and lived in a multi family house for 8 years, built a real estate portfolio whilebworling as a fitness Coach and quit work when I was 35. If that's poisen, I'm immuned!
Even a broken clock is right twice a day
You don’t understand inflation, the debt is reduced over time because of inflation.
While his Rich Dad, poor dad books are inspiring; I only bought 1 home in 2004 and that's it. I see my military co-workers buying 2nd and 3rd homes by co-signing each other. Then 2008 came. For a fact, i know they all lost their investment homes. My real estate agent parents lost 2 homes. My 2nd job manager's brother lost a mini mansion, nail salon, and his 2nd home. I kept my home till 2014 because it was too far to manage, but the 10 yrs of ownership was the best 10 yrs of tax breaks i ever got. Dont' be greedy, and lose less.
Pigs get fed. Hogs get slaughtered.
House always wins.
Government is the house. Banks are the tables. Loans are bets.
Market is cards.
There is no possible scenario where house loses as long as it takes fee for every transaction you make.
what sort of tax breaks do you get... i inherited my dads house 2 years ago and I never heard about these...
I agree with you his books are inspiring. I could not sleep with all that debt. One of the best days in my life was the day we paid off our last debt and started to go full bore saving and investing for our future. We have saved enough to purchase an income property but that is not for me.
@@thomaschew2191 he said that he has all his g and s out of the country... and most likely its a few mill, so they cant really touch him.
I love the content, no overlays no fancy transition no motion graphics just simple and easy to follow on and on point! love it! more power to you!!
Thank you so much!!
3:03 "If you owe the bank $100 that's your problem. If you owe the bank $100 million, that's the bank's problem."
Idk, I don’t think it’s a true statement when he says that
Kinda makes sense….banks loans are insured
My late Mother tried getting me into Kyosaki's garbage. I went camping with some friends and used Rich Dad Poor Dad to get the campfire going. At least it was good for something.
You could have made some money by selling the book; then burn that money to get that campfire going. ;)
I heard a saying if you owe the bank a million dollars it's your problem. if you owe the bank a billion dollars it's the banks problem.
😅
It's true, until you realize the banks are us
A billion dollars is nothing to the big banks. This meme is definitely wrong. If you owe a bank that much it very much is your problem, not the banks.
@@remmond3769 the saying is not meant to be taken literally
He is not 1.2 billion in the hole as you stated. You never mentioned how much his assets are worth, How his debt is structured, or what his cash flow situation is.
Excellent video bro. Keep it up
I could not read Rich Dad, Poor Dad when the author immediately started saying what a loser his dad was.
It's a good book. He doesn't say his dad is a slimeball. He says he lived off a salary.
The whole book is absolute fiction anyway.
You actually believe the story?
I think a lot of you are so over emotional to the point you can’t actually learn anything. You don’t have to like someone to learn from them.
@@thegreat9481 for fuckin real. That goes with everything. If something doesn't cater to them its immediately ignored.
@@gman9002 Exactly. More success to us who understand.
I made it halfway through his book and realized he was of the Steve Martin economic theory:
“How to become a Millionaire:
First,.. get a million dollars…”
Ppl that think he's a scam are the same ppl that think making money off crypto is a scam lol
@davidpark2509 crypto is for fools, the tech is completely unnecessary. Noone can actually justify why distributed databases (which cost ridiculous amounts to maintain and validate transactions) are useful, because they aren't. Bitcoin is basically centralized at this point with companies such as Blackrock buying up most of the supply.
At least Steve Martin has talents 😅
@@davidpark2509 He makes his money scamming financially illiterate people who pay for his seminars. Similarly people who made money on crypto made it intentionally or unintentionally off people who are technically or financially illiterate. Crypto is a zero sum (actually negative sum) game. Any money you make comes out of the pocket of someone else. You're gambling that you will will be the thief and not the victim in the grand scheme.
@@davidpark2509 crypto is a zero sum game (technically negative sun). In the longest run you can only make money off bag holders. The "hodl"ing true believers or the folks that don't think it a scam and take a position as if it were a stock. It's not a stock, your betting you will be the scammers and not the scammed.
Dave Ramsey is right. Get out of debt. His teachings changed my life.
Like anything, the truth lies somewhere in between. Ramsey has his utter foolishness too. His attitude to debt is like someone who almost drowned so says no one should ever touch water. Conservative debt is the backbone of businesses and property.
BS- debt is good if the situation calls for it. Been doing it for years.
Ramsey is playing to the lowest common denominator. 99% of people are ignorant, that they are stuck in Quadrant I. In THAT scenario, yes. His advice to get out of PERSONAL debt is good. Will you please, explain to me the function of an LLC, an S-Corp, and a C-Corp?
Ramsey doesn't know what he's talking about.
Ramsey also got rich,by having stupid people give him money for his courses!
It doesn't matter what investment system you have, someone is going to criticize you.
I followed Dave Ramsey, and paid off my home in 5yrs. I've been debt-free for a decade+ because of him.
Then I watched a video recently saying paying off your home is a bad idea.
I don't think he's actually in 1 billion dollars debt. He's saying that so his followers won't feel bad about going in debt to buy his courses.
Honestly, my thoughts exactly.
also, would that be bad debt or leveraged assets? From one angle, you could argue that anyone with a mortgage is half a million in debt
Kiyosaki has been broke for years....has never been able to prove he owns anything, even a house. Where is the stuff he has that results in his debt? NOT THERE!!!
He poped up in the 1980's. His book was a big hit with the emergence of the IRA's for the average worker. He and his wife never showed their 1099 when it came to investing.
I thought Rich Dad Poor Dad was his first book 1997 - & he got well known after that (& then went off the rails trying so hard to make money off his followers).
You mean IRAs?
@@elipotter369
Yes, his first book was in 1997.
I'm sorry about your Dad. You seem like a nice man who means well. But following Robert's advice was one of the best things I ever did. Started buying Real Estate in 1997 ( so yes I went through 2008). Retired early at 56, have lived a life I would never been able to, have traveled to places I could have only dreamed of, and will leave my kids a good inheritance. Debt is a tool, and any tool is dangerous so you must be smart about it. Have at least two backup plans should things go wrong.
Anyway if you don't want to follow his advise that's fine. But for others it has changed lives.
I will never know why people always see things as black or white.
I’ve done the same following some of the principles in RJ’s books. You must take a measured approach.
As long as the cashflow is positive it's worth the risk. People will always need a place to live and property seems to always go up in value. They can't come for your personal wealth if you use corporate structures properly.
Same thought here. You can’t just read one of his most basic books and watch some clips of his videos or podcasts and then take those advices/comments at face value, blindly implement them, failed, and say he’s a scammer. He talks about the strategies he mentioned in the rich dad poor dad book in much more detail and depth in his other books. When you mentioned he said the US dollar is a piece of toilet paper, and didn’t understand the concept behind that, is what’s odd.
Thanks for this video and wishing you continued health and wealth!
Thank you for Calling Out Bobbie Bobble Head Kyiosaki as a Snake Oil Salesman!
Thank you for watching :)
Glasses were dead giveaway.
I like many of his ideas but what disturbs me is his support of shady MLM companies and his expensive seminars are superficial. He says buy assets rather than liabilities and mind your own business. Nonetheless, I see Warren Buffet as a parasite being more repugnant than kyosaki.
@@MA9ELLANIce Cream Cone Buffet is a Lord of Darkness on the Ethereal Plane of Evil, by comparison Kiyosaki is simply a scruffy wildcat opportunist selling magic beans.
99.999999% of the time, if somebody has a book or a class or a an eight part course or a monthly membership/mentor program, they are not making money because of what they are teaching you: They’re making money because of the classes, etc. they’re selling you.
That’s why I could never do any of those things with a clear conscience. If your hear somebody say, “I charge $10,000 an hour for one on one coaching” understand that they’ve never gotten paid $10,000 an hour and if they have celebrity clients, they’re not gonna be running a TH-cam channel with less than 100,000 people on it.
Makes me sad because I see a lot of people really hustling, but they clearly all took the same marketing funnel “8 part course.”
It’s circular irony.
Yeah I hear you! We actually are working on a course (the irony kills me, I know) but we’ve built a pretty cool data platform that sits behind it. Idk, I’ll never pretend someone needs Flank to become an investor, we’re just going to try to make it a bit easier. would love any thoughts you have on how to not be POS finluencer haha, I’m still so new at this. I just like investing and studying businesses a lot
@@davidflanks I have a feeling that yours will be different and you’re not gonna try to sell it like a used boat salesman. Please don’t. 😆
If he was rich, he wouldn’t pitching books and seminars. Rich people have a low profile.
how do you explain elon then
That's false. some rich people keep low profile while others launches books. You are narrow-minded
Rich people aren't a monolith some drive a Toyota and an average house and penny pinch. Some have palaces and live extravagantly. Some love the spotlight and others you will never even know about because they are so secretive. Some are good people who are altruistic and some are despots.
@@impyrobotthe idea he wants to say rather is, he keeps flaunting and publicizing all these shady things that rich people definitely do because of loopholes, but rich people aren't keen on talking about it for a reason.
Ask yourselves, what would drive a rich person to be handing out their secret formula for acquiring wealth? Shouldn't they be using their time applying their formula, instead of trying to squeeze pennies out of commoners?
Dangerous to believe in such stereotypes, as they are nearly all white, so what dose that tell us? Try and apply some critical thinking to the bs thoughts you have.
Excellent! I subscribed.
This guy became even more unhinged after his wife left him
Yep, and add his senile old age and it’s a deadly combination.
When did his wife leave him?
@@thisisyourtransmission when she took half his money
😅😅😅😅@@magi5587
@@thisisyourtransmission 2017
What robert is saying is that if he goes bust, the whole system is going down and the banks will therefore go bust. He can only lose his investment, not his personal assets. The risk is in his favor. His talent is acquiring debt and finding an investment that makes more than the debt service. If it doesn't go well, he will easily find more debt to buy assets again. In one persons eye this is scam, but the educated eye sees that he is using the laws for his benefit. No need to buy his course. Anyone can research this themselves.
You are correct, I know someone who is a Federal bank examiner, he said Indians (dot in forehead type) buy gas stations and hotels left and right, some win some lose, they don't care, they just walk away and get a different Patel to cosign the next loan. I consider this scam investing and nothing more, as for kiosaki this guy was right, most of his money has come from speaking and books so I wouldn't take his advice on business or investing. I believe in the old saying "those who can, do; those who can't, teach."
Good point, and this is why smart people keep their rentals in LLCs, which I'm pretty sure Kiyosaki also talks about.
100%.. this isn't a difficult concept to understand but apparently it it for some.
that is why the government is the problem . the government always finds a way to save them
One of my many red flags is... Never trust an old man who dyes his hair to look younger.
Why?
Never trust a man who says he is worth millions yet buys his glasses at the dollar store!!!!!!!
Ha, true 😂
Never trust a guy who says he is a millionaire but buys his glasses at Wal mart
How do you know it's his hair?
Subscribed! This is a great video to raise awareness.
Facebook randomly suggested this to me, and it really resonated. When I was a kid in the 90s, his infomercials were everywhere. I was too young to know anything about finances, but I immediately disliked him. Maybe it wasn't so much because of his financial advice, which of course I didn't understand or really even recall it being explained in the informercials, but it was how he came off, and how he trashed his own "poor dad", who just seemed to be doing his best, while idolizing someone else's. Now I live in Armenia where I am distressed to see advertisements for the Armenian language version of his book, here to take advantage of people who are in an even more difficult financial situation than the average American, it's sad how much harm he does globally.
What he doesn't tell you is he protects himself behind several layers of Trust, LLC, etc. Leverage is a useful tool if you know how to use it.
Okay, if he found the keys to El Dorado, then why does he need to lure people into spending $45,000 on his courses?
@davidflanks if people were willing to pay you $45k for courses, would you do it?
I'm sure it's no secret
@@davidflanksBecause that is how he really make money.
He actually talks about that in his book, have you read it?
100% agree with you and everything you said. I met RK in Miami at a conference. I quickly began to realise that he is just a 'promoter' of the vile capitalist system whose sole purpose is to enslave you with so much debt that you lose control of your entire life. We live in a society that aggressively encourages accumulation of possessions via debt, and equally aggressively labels you as dumb and stupid if you dare to do the opposite. A very simple and debt free minimalistic life is far more peaceful, enjoyable and focused, than a life in debt but surrounded by possessions that ultimately work to keep you stressed and unhappy. I used to be one of those people that would think less of others who would tell me, "I just want to be debt free, I just want to pay off my mortgage so that is why I am moving to a smaller home". As the years went by, I totally understand exactly why they did it. It's about freedom, and peace of mind. Everything else is just a distraction.
Don't lump capitalism into this. If it wasn't for true capitalism, you would be subjected to socialized state run companies and monopolies which means no choice. The problem is not Capitalism, it's greed and envy and living above your means. Don't be stupid. Capitalism makes a better world for people. You will always have charlatans like RK but I blame stupidity and gullibility if you fall for his wiles.
❤U hav snatched my words man....as Bharatiyas we hav been evils of debt but now we hav forgotten these teachings n indulging in mindless consumption 😢😢😢
While I do like my 'stuff', I only buy what I can truly afford and always pay cash. I am also not a seller, so I only buy something I will truly keep forever. I will never be so indebted that I need to sell a guitar, or a motorcycle.
Thanks for this Video. I’ve been thinking about it, and glad that you given it to us here!!
"Gold just sits there" - well the money printer doesn't, it goes BRRR, and all that new currency eventually ends up in gold price because gold is actual money. Gold has gone up about 1000% this century with no counterparty risk, safer than index funds and similar performance.
but remember, you have to pay CGT on that increasing value on Gold, you your actual net gains are much lower
@@dxer22000only if you sell it. If your heirs inherit it, they will get a stepped up basis.
@@dxer22000 You do realize you can borrow against the value of gold, right? India sells gold-backed bonds that produce interest in addition to retaining their value and appreciating over time.
@@NUCLEARARMAMENT You do realize that you have to pay interest on what borrow against the value of gold, right?
Pretty sure Kiyosaki is describing the 2008 real estate bubble as a plan of action to get rich. Banks got leveraged up on false valuations and then figured out if valuations dropped it simply didn't work, their house of cards not only would crash, but go up in flames along with the bank and the dumping of volatile debt began.
Buying real estate by borrowing money you can't afford to pay back is what caused the financial crisis in 2008. It's called subprime lending. What made the crisis worse was that institutions (banks/insurance industry) KNEW this. But banks chose not only to ignore the dangers, but to spread the risk to others (and make profit whilst doing so) by selling on the bad debts after liberally mixing them with some 'Good' loans. The insurance industry then decided to make money selling insurance on 'bad debts' (that they knew the banks were pushing) and then others took out insurance on OTHER PEOPLE'S BAD DEBTS. So when it all exploded, the insurance industry was paying out on bad debt insurance to the debt holder PLUS whoever had decided to 'take a gamble' on those debts defaulting to make a quick buck...which often was DOZENS of different entities...so they often increased their losses tenfold...acquisition of wealth isn't rocket science, but it's also not magic either.
Not really. Many companies and wealthy individuals bought houses and backed their debt with those houses. Sounded like a good idea...until it wasn't. At one point houses stopped selling at the prices they were selling before and rents went down also. The companies and wealthy individuals started doing the math and understood they were better off just defaulting on the loans even with the 7 years of bad credit scores. Banks took those houses and couldn't sell them at a price high enough to recover their money. Now, the loans from to these companies and individuals were top rated loans considered to have minimum risk when they had larger risks than people realised. This is another factor.
And guess who was one of the three culprits? Moody’s: Warren Buffett’s company!!! Let that sink in.
Like your content! I like your t-shirt more. Where did you get it? I want one.
Flunked out of high school twice - and billionaire on paper and poor as hell in real life. I guess we’re all doing it wrong.
The art of failing up.
Not really a billionaire when you own billions more in debt. Soon as the economy crashes he'll be the first one to fall.
@@LILDroidDEX the economy already crashed in 2009 and he's still driving a Ferrari. The way he got rich is probably extremely dishonest, he probably scammed lot of people out of their money. But I don't think this guy is ever going to feel the consequences of his dishonesty and scams. He's probably going to die rich.
He bought and sold real estate with his borrowed money since 1994.
@LILDroidDEX you don't know how exposed he is
My uncle was a billionaire with thousands of employees. He got rich from working hard from an early age, lived a modest life in a normal house, was never on social media bragging about how much he had, rode a bike to the office because he didn't have a driver's licence, and he used his money to invest in the community (built parks, fixed streets etc).
that is how it was done , before 1971
Cool sci-fi story bro
Sure.
"rode a bike to the office because he didn't have a driver's licence" and was to stingy to hire a driver 😂
Dude, billionaires have their own security service for a reason.
Otherwise they would be an easy target for guys not shy of spilling a little blood.
And any security service worth their salt would prohibit their boss from riding a bike to the office.
Fake story
The breathless administration of RK sickened me for years. Glad he's finally being exposed.
anyone can 'expose' anyone if they put their minds to it, and these YT grifters are only doing it for cash, they give zero Fs about you. Try to see through the game!
YESSSSS. I've thought this about him for SOOO long.
But he's SOO revered, it's hard to combat his advice.
I'm glad I watched this video. In my late 30s / early 40s I read The Millionaire Next Door and The Millionaire Mind. I saw a lot my own financial experience detailed and examples in these books. Later I bought and read Rich Dad, Poor Dad and while some of his experience sounded right to me there were other glaring examples that raised red flags right away. When he said that he wanted to buy a Porsch (if I remember the car correctly) so he bought another rental property and used the income to make the car payments I was completely stunned. Everything I knew about building wealth was diametrically opposed to taking out a large mortgage and absorbing the risk in order to pay for a rapidly depreciating asset like a car. I pretty much disregarded all else Kiyosaki had to say.
Have you actually done anything with the materials from those books to improve your financial condition or just read the book and continued working for a paycheck
@drchamp1902 I retired comfortably at age 59. I got out of the books what I needed but they mostly served as affirmation that I was on the right path.
You just don’t understand the legal scam of commercial real estate. The goal is to acquire as much as you can, and keep the low income properties priced so high that no one will lease them. Because all that “potential income” is a tax write-off. I’ve seen properties here in Phoenix that were never built out and have been sitting empty for 40+ years, even in the busiest areas during good economies, because empty properties help the bottom line. That’s why NYC’s commercial space is only 40% occupied and they won’t lower rents to attract new clients.
But isn’t this also effecting the economy greatly … cause borrowing against these assets and not using them to generate cash …,hurts …
Unoccupied lots esp in NYC are hideous but don’t generate money or growth … they sit empty
Loss harvesting
Lol, no. Eventually cashflow problems will kill you. If they lower the rent, then the value of the property will go down - and most likely the equity will be gone (of course, this only works for a while, look at SF commercial RE, lots of companies selling at huge losses or just gives the properties back to the banks...)
You don't invest in something to take a tax write-off. Do you buy bad stocks so you can take capital losses on your income tax?
Tax write offs don't generate money; they mitigate tax load. If you don't have significant income, you're not mitigating much.
neither side is completely right...as usual the truth is more in the middle of the extremes
What I know is that everyone makes money in his own way. What works for one doesn't work for someone else.Theres always a winner and loser in every business. There's no one rule works for all. Otherwise everyone would take the method and the boat would be so full and heavy it would sink anyway
You are a little vague about your father's predicament. It sounds like he was over leveraged on his personal residence. A home is an expense, not an investment. Job loss, or a balloon mortgage, or sudden decline in asset value could quickly get you in trouble. This is completely different from what Robert Kyosaki is doing. He is using debt as a business, and if he gets in trouble because of a recession he will use bankruptcy as a tool to renegotiate with banks. His personal assets are not at risk.
I would agree. Never leverage your home for debt in business. In most states it will be protected in bankruptcy if you do not.
Only reason rk plan has worked over the years is for the same reason he is getting rich by selling fear. Inflation has shrunk his debt while increasing the value of his assets.
The irony is, if the government took his advice and started to deflate our monetary supply, rk would become the poorest American citizen.
He should be more positive about the system he spent his life taking advantage off.
@@MichaelRosen-pp1pr RK knows the human material too well to fear them stopping printing money 😂
Ask yourself a very simple question: how the deflation of our monetary supply would affect the government employees on all levels and you will have an answer why they will NEVER stop printing money.
@@SvirepiyBambr-xw8rw exactly… this is how rk got wealthy. He is taking advantage of a system that he complains about. If the government stopped printing, rk would go broke.
If you’re 500000 in debt you have a problem. If you’re 2 billion in debt your banks have a problem…
Unless it's secured by 2.5b of your assets.
@@kingmanic Most commercial debt is non recourse
@@timursalikov5911 In non recourse loans interests are usually much higher. And of course they don't loan you the amount equal to the value of the property, basically you need to put a large down payment.
Did you not hear the other part?
If anything happens the BANKS get the assets.
Everything benefits the banks or else they simply wouldn't do it.
@@VultureXV the banks don’t want the asset unless they think they can sell it quickly for a profit. They are not in the landlording business. Banks and leverage is what makes real estate profitable.
Well, you have to have liquidity in case you fall upon bad times. What happened in 2008 was that people started buying multiple single-family homes. When unemployment started to rise dramatically, people couldn’t pay the rent on those homes.
When your leveraging through debt, you have to have liquidity, and you have to have assets that are going to provide you less risk, like multi living apartments where there isn’t just one renter, but maybe three or four. That way if one renter can’t pay, you can use your liquidity to evict the tenant and pay their portion of the lost rent and keep the asset.
I'm so glad that you made this video. It will save a lot of people from hardship. This is one of the most important messages I have seen on TH-cam... EVER!
Thank you for your insight!
I had my own business (while working full-time, bad idea) and that didn't work out for me. Some things people are not cut out for and sometimes people are really good at it.
You failed to mention that banks create money by lending, and then creates their very own liquidity.
I don't think you know what you're talking about Sir
@@superking___ Every time someone takes out a loan, new money is created. The Bank of England recently released a report explaining how this process works:
“Where does money come from? In the modern economy, most money takes the form of bank deposits. But how those bank deposits are created is often misunderstood. The principal way in which they are created is through commercial banks making loans: whenever a bank makes a loan, it creates a deposit in the borrower’s bank account, thereby creating new money. This description of how money is created differs from the story found in some economics textbooks.” - Bank of England
That is what banks do.
There are rules about that and bank runs happen, bank go out of businesses. RK never took the risk and he make money off YOU paying for the seminar while also taking the risk yourself.
I'm always suspicious of "rich" people who have enough time to write books and do TV specials "teaching" ordinary people how to be rich. I mean if you've found some great business niche and you're just raking it in then you should keep doing that with all the time you want to spend working. Why write a book that might not sell and compete with all the other finance books out there? Plus why do you want people to do what you do and compete with you? It makes no sense. You're just killing your own margins by doing that. But on top of that this guy just gives off sleazy vibes. From the first time I ever saw him I thought he was a total shyster.
Great video man! Finally someone that talks sense about Kyosaki. Well done!
If his debts exceed his assets then he is by definition: bankrupt.
No, if he can’t service his debt he’s bankrupt.
Twice !
His profits go into gold and silver which is kept in Switzerland.
His assets can be far greater than his debt but not be liquid. Elon Musk and Jeff Bezos are extraordinarily wealthy, but it's not all liquid. If people can't understand the basics of it, then they should just stay grinding away, invest in that 401k plan, and stay on the hamster wheel.
But he still has all his assets.. why??