Insights on Robert Kiyosaki’s Guide to Investing – Chapter 5


On to this Chapter, Mr. Robert Kiyosaki cleared everything up. By starting to ask the question “Why investing is confusing?”, he seems to know that everyone had their different views when it comes to investing which is true.

If we are to define investing on layman’s term, investing is to put up a certain amount of money into something that would result into earnings. Simply like as to how lenders lend their money and earn interests. How retailers use their money to buy goods then sell it to cover the cost and earn a markup. It could also be called investing if you are to hold a pile of land or a set of gold jewelry because as time passes, it appreciates in value. Investing is a really broad subject that covers almost everything that involves earning money.

As I dig dip into the chapter, the author made me realize that every investor had his own perception of investing because there are a lot of roles and ways in investing. The most common are Gamblers, Speculators, Traders, Savers, Dreamers and Losers. From those I figured out that there are a lot of ways on how to make money as well as a lot of ways on how to lose money because investing doesn’t always guarantee to earn you profits.

From there on, the author made me realize as to why there are a lot of persons specializing in different forms of investment but cannot be the master of everything. Which is also the reason why there are a lot of perceptions, beliefs and attitude towards investing. It was like living here on earth, we have specialized and coped up in living in our country so when we tend to visit another country, we are shocked, amazed and feel unusual with their customs. It is as if they have their own way of living their lives just like the way how we live on our own countries.

That broad sense of investing is the primary reason why investing is confusing. The subjects and disciplines it covers are not specific. As long as you set aside a certain amount of money for it to earn a profit, it can easily be called investing that the only way to limit or avoid losses is to reduce the confusion and understand investing on the succeeding chapters.


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