Rich Dad Guide to Investing

492 Pages·2014·9.75 MB·English

Guide to
Investing
What the Rich Invest In,
That the Poor and
Middle Class Do Not!
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Copyright © 2012 by CASHFLOW Technologies, Inc. All rights reserved. Except as
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CASHFLOW Technologies, Inc.
are registered trademarks of
E B
CASHFLOW Technologies, Inc.
S I
Plata Publishing, LLC
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Printed in the United States of America
062014

First Edition: 1998
First Plata Publishing Edition: January 2012
ISBN: 978-1-61268-020-0
Guide to
Investing
What the Rich Invest In,
That the Poor and
Middle Class Do Not!
®
A Father’s Advice on Investing
Years ago, I asked my rich dad,
“What advice would you give to the average investor?”
His reply was, “Don’t be average.”
v
Te 90 / 10 Rule of Money
Most of us have heard of the 80/20 rule. In other words, 80% of our
success comes from 20% of our eforts. Originated by the Italian
economist Vilfredo Pareto in 1897, it is also known as “Te Principle
of Least Efort.”
Rich dad agreed with the 80/20 rule for overall success in all areas
but money. When it came to money, he believed in the 90/10 rule.
Rich dad noticed that 10% of the people had 90% of the money.
He pointed out that in the world of movies, 10% of the actors made
90% of the money. He also noticed that 10% of the athletes made
90% of the money as did 10% of the musicians.
Te same 90/10 rule applies to the world of investing, which is why
his advice to investors was, “Don’t be average.”
An article in Te Wall Street Journal recently validated his opinion.
It stated that 90% of all corporate shares of stock in America are
owned by just 10% of the people.
Tis book explains how some of the investors in the 10% have gained
90% of the wealth and how you might be able to do the same.
iv
Acknowledgments
On April 8, 1997, Rich Dad Poor Dad was published. We printed
1,000 copies, thinking that that quantity would last us for at least a year.
Tens of millions of copies later, with very little spent on traditional
advertising, the success of Rich Dad Poor Dad and Rich Dad’s CASHFLOW
Quadrant continues to amaze us. Sales have been driven primarily by word
of mouth, the best kind of marketing.
Rich Dad’s Guide to Investing is a thank you for helping to make
Rich Dad Poor Dad and Rich Dad’s CASHFLOW Quadrant so successful.
We have made many new friends through this success and some of
them have contributed to the development of this book. We would
like to personally thank you for your contribution.

We especially want to thank the incredible team members we have at
Te Rich Dad Company.

—Robert and Kim Kiyosaki
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