Robert Kiyosaki

Everyone aims to achieve financial freedom. Whether you’re a student starting out in your first job, or a person set on retiring from work life, that is a constant aspiration which everyone aims towards achieving. The need to be free from financial worries has been one of things in current contemporary times that is very much like the personal holy grail of the everyday man.

Unfortunately, the recent financial crisis has shattered some dreams of people who plan to retire and be financially free. At the same time what we see here is also the jarring fact that a lot of people around the world are financially illiterate, and constantly buying into schemes promising safe returns, yet not seeing this fulfilled. Hence, in this uncertain times, having some measure of financial intelligence would allow us to survive these daunting times. Some of these lessons are things I’ve learned from the game Cashflow 101, and these are things I wish to share here.

1) Invest not for capital gains, but largely to increase cashflow.

One of the first things I’ve realised when playing cash flow is that, the only way you can get out of the purported Rat Race is that you must invest for cashflow and not always for capital gains. the term Cashflow is self explanatory to everyone. Capital Gains basically means the profit you’ll earn when the price of a property or security will increase. Sure you may need to invest in capital gains opportunities to generate cash for your other more lucrative investments, but never forget that increasing your amount of passive income or cashflow is the ultimate goal in getting out of the rat race.

Tagged as: Expert in Finance, Robert Kiyosaki

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