Question

What are three important lessons you can learn from Robert Kiyosaki in his book Second Chance - The man who predicted the Future? According to Kiyosaki, what will cause the next economic crisis and how can you prepare for it?

Answer 1

The three important lessons learnt from this book are:

1. Financial education cannot be learnt in school. As per the author schools only teach you to be poor. Schools do not teach us how to handle our money wisely.

2. The second lesson is that investor should select one of the four asset categories and start learning about Finance. The four categories are businesses, real estate, paper Assets and commodities.

3. Debt should be used to acquire assets and one should not be afraid of debt.

As per the author the next financial crisis will be caused due to the economic cycle. One can be prepared for it by paying enough attention to personal savings which will reduce the impact of employment loss. One should invest in human capital by learning new skills and new technology. Crisis should be used as an opportunity to buy investments at lower prices and one should not shy away from investing further.