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moneysense.ca, 8/02/06
Comment on Mr. Kiyosaki’s Bad Advice
He only has insurance on his real estate to cover a loss should an unforeseen accident (are there any other kind?) occur. He has no insurance should the VALUE of his real estate drop. In fact, real estate is harder to hedge against a downturn in value than a stock investment, as it is impossible to buy a put option on an apartment building, while I can buy a put option for my stocks with the click of a mouse. The insurance he has against being sued is a requirement for investing in real estate. I do not need any insurance policy for investing in stocks. Thus, I save some money by not having to pay insurance premiums.
RK’s advice is very misleading. He frequently mixes types of risk (as in the previous example) and gives “puffy” advice about “knowing smart people and doing your homework”. Well, it’s always good to know smart people and to do my homework, but by comparing the risk in a decline in an investment’s value with the risk of being sued by someone he is misleading the investing public and does not appear to understand how to compare apples to apples and oranges to oranges.
moneysense.ca, 8/02/06
Dylan wrote that same comment on my post about Kiyosaki’s column. It’s a great rebuttal.
This guy has bunch of books full of nothing. He says “I make 18% return on my investment, but you probably cannot get the same”. Thanks a lot, sir. That is kind of advice I want to pay my 25 bucks for. If you want to read more critics of this guy, look here John T. Reed’s analysis of Robert T. Kiyosaki’s book Rich Dad, Poor Dad
I finally removed Smart Money Daily from my blog roll after reading a few of Kiyosaki’s articles. Anyone who calls himself a “Rich dad loving geek” is as clueless as Kiyosaki. No offense.
It seems to me whether or not I’m clueless or not is missing the point. From applying Robert’s writings to my own financial and business practices I’ve been able to double my income and increase my net worth by 3 times in a little over a year. If you don’t like what he says, it’s really fine with me…but why waste your time putting people down…write your own books if you’re so brilliant.
Dave: Please, there is no need to get personal. We are discussing one particular article of Mr. Kiyosaki, not Smart Money Daily. I actually happen to like Jon’s ideas and his blog.
Jon has made a post on this subject .
I was going to write a post on my Blog, Investorial, since I discovered those RK columns on Yahoo! late last year. Serves me right for procrastinating!
There were some good constructive criticism, it isn’t like it was senseless ranting. I for one have credited RK for “opening my eyes” to the reality of working that 9 to 5. I have to say that no one should take what someone else writes/says as the “bible”.
The only true freedom we have is our ability to think for ourselves. Without that, we are nothing.
If you were interested, I wasn’t actually going to be kind to RK on my post either. I question many things that he preaches. I can’t back this up.. but seems to me, he makes more money selling “advice” than he could possibly earn with his own endeavours.
Whenever you hear a so-called guru talking about something, you should be automatically skeptical. If anyone has read the book “The Game” by Neil Strauss you’d know what I’m talking about. Although the book has absolutely nothing to do with finance, it sheds some light on the egos and ways gurus think and work. Without their schtick they’d have nothing. I think Kiyosaki’s whole Rich Dad Poor Dad story is a complete fabrication. Think intelligently; how can it not be?
I’m not a fan of RK but like most gurus his ideas are based on good solid advice. And I’m not a fan pretty much for the same reasons Dylan points out, I think his writings are extremely vague…and fluffy…and puffy and sometimes downright misleading. But that said, plenty of people (like Jon, Nina, et al) are able to distill his messages into useful lessons and by applying that to their own lives they achieve success. So the credit – in my mind – goes to those folks who can take his fluff and tease real value out of it and not to RK himself.
I am investigating an MLM called “TEAM”. They tout Rober Kiyosaki’s books at thier meetings. Business School is the one I am reading now. I have read all the posts and I am shocked that I am just finding this out now. So many people are being drawn in by the allure of retiring early with plenty of money. I have again become painfully aware that if something sounds too good to be true, it usually is. Anyone know anything about the “Team” concept of making money on the internet? I could use some advice in this area. Reespectfully, Ed
RK states in one of his books that he speaks more in generalities as apposed to specifics. He is trying to give advice and knowledge about keeping your eyes open to opportunities that are available to everyone, but most individuals don’t see them or are afraid to take advantage.
Some say that successful people were just lucky or born into money. Zig Zigular puts it perfectly by stating that luck is when preparedness meets opportunity. If you’re not prepared for the opportunities that will be available to you how can you capitalize on them?
As for the “TEAM” it is one of the foremost leadership development network marketing organization in the US and Canada. The organization uses an existing MLM internet based company for its distribution channel.
RK is only one of the authors books read for principles. Other books read are Dale Carnegie, Frank Bettger, Les Giblin, Bill Quain, John Maxwell, and many other authors.
I have belonged to the TEAM for almost 2 years now and I only have good things to say. I have been very successful.
It’s like anything else in life it will be what you make out of it. It is never presented as a get rich quick scheme. Because of the TEAM’s structure, principles, and integrity, everyone benefits in one way or another.
I already had 15 of the books that were recommended to be read. The other books that I have read have added to my knowledge base and made me better person.
Good luck with your decision
Read the above post and replace this sentence “The organization uses an existing MLM internet based company for its distribution channel.” with ” works for Quixtar / Amway”…
Ask TEAM members, what channel they use for “making money on the internet”
Google Quixtar, and you will find more than enough reasons to stay away. I joined them awhile ago, and they are a cult attempting to imply they are made up of prefessionals. Read John Reed’s BS Artist Checklist (Google it), and you will see they probably fit most of the Criterion.
Good Luck, Hope you decide you are not suited for TEAM…
It is unfortunate that you had a bad experience. The problem with any organization is that you work with people. Some have a lot of integrity and some are working on it.
The organization does not meet the criteria of a cult. No one in the organization is worship for any reason.
We do not work for Quixtar nor do we selling anything unless you chose too. I don’t know how long ago you join.
I read the Google post that you described and it does not apply. His implications could apply to almost anything and bottom line all he is trying to do is discredit other to sell his own writings. He describes how little information other real estate books have in them compared to his and how much cheaper his books are.
kiyosaki again?? that guy really change people life yeah…
I like his ideas. He might not be in touch with the current market opportunities. I sure his books keep him busy.
I think some his advices are great, some poor. He must be a little controversial to sell his books
Well, if you want to know something about management, read Porter, if you want to know something about marketing, read Kotler, but if you want to know something about investing….
of course I would rather read Buffett. Mr. Buffett is a real investor, he is still one of the the richest people on earth.
RK, from what I have learned, didn’t get much of his money from investing, but from selling the book about investing, which is totally a different case.
RK got a lot of money after his book became a must-read reference in the Amway/Quixtar network. As you have heard, for loyal die-hard fans of Amway/Quixtar, not buying a must-have thing is considered a sin. And not soon after that, his books became the best seller, of course, (with millions of Amway/Quixtar members around the world as buyers) and people outside the network start to read his books.
Well, you can say, using a metaphor that a good basketball coach doesn’t have to be a former player… right? Well, if you ask me, I will say, the best ones usually are former players (Phil Jackson, Doc Rivers, Pat Riley to name a few), while the others, well, they’re just average.
hmmm…..quixtar, been there, done that, the only problem is that they sell you the system,constant selling……..why? two reasons….. 1) its NOT as easy as they make it out to be and
ps you stick your head above the crowd, you might get hit with a few tomatos.
2) people are too damn lazy to work hard and stick with it.
ALWAYS TWO SIDES TO A COIN. As for Kiyosaki, really like his books,chose finance as one of my majors, graduating in may o9 and taking over my dad’s company to invest in real estate (AMONG OTHER THINGS) lol bc of his books…….so thanks, Kiyosaki
Robert has really helped me shaping my thoughts while growing up, though not there yet, i believe his books are just ways of making one better… though a motivational book and then staying above the waters of this life….
I’ve read most of RK’s books, they’re real life issues that you can apply & see results, whats wrong in someone advising you to be in charge of your financial future, not depending on the government to take care of it for you, i don’t understand the basis for all this criticism, if you believe you are more brilliant, why not write your own book, after all its a free world.
I like Wilson’s comment:
… why not write your own book…
That’s it!! RK is brilliant in a way that he is able to get money from his books. But that doesn’t mean that what he wrote is true though.
His books are being used as a basic for MLM around the world, and it is a must read for them.
He is a true master of marketing….. he managed to make people believe that he wrote good book, even though they are full of hot air.
Hasslem, Miller, and 3 second round picks……ya they are concerned. Only production coming out of them is the amount of fouls they can use.