Rich Dad Education – Real Estate Blog

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Education, Real-World Knowledge, and Gold

Education, Real-World Knowledge, and Gold

It should come as no surprise when you hear a company that focuses on education to state that “education is critical.” After all, from our earliest years, we are accustomed to hearing from those in the education field about the critical nature of education.  Better said, from our earliest years we are accustomed to hearing how school is important and how it can lay the foundation for our future success.

By adulthood most people rarely think about the importance of traditional education since they either accept it as a universal truth or are dismissive of it in general. Those that accept it would give you a blank stare if you had the audacity to question its importance. The cynic might point to the fact that they still haven’t applied their knowledge of algebra in the real world. Without finding common ground on what the objective of education should be, both sides of the debate could argue endlessly with each other without reaching consensus. Should education serve to train for specific vocations? Should it be to impart general wide-ranging knowledge to students? Should it revolve around teaching students to think critically? Should it teach more practical and useful knowledge?

If one believes that an objective of traditional education should be to help prepare students to deal with the complexities of money and becoming financially literate, then it might be hard to argue that it has succeeded on any level. Through his teachings and writings, Robert Kiyosaki has helped expose the deficiencies of traditional education in the area of financial literacy: “Our schools do well at teaching reading, writing and arithmetic, but they are horrible at preparing people to work with money. Nearly every person who graduates from school is financially illiterate.”

Rich Dad Education has made it its mission to help fill the void that traditional education has left by providing financial literacy and lifting the financial IQ of humanity. To help achieve this mission, Rich Dad Education chooses to teach real-world, wealth-building techniques and strategies in a variety of real estate and stock market areas.

Real-World Wealth-Building Knowledge

As mentioned, through its elite trainings and mentoring offerings Rich Dad Education imparts on its students real-world knowledge on how to build and maintain wealth. The majority of this knowledge is taught in a practical how-to manner that teaches students not only the necessary information on how to succeed in a specific investing area, but also provides a step-by-step blueprint on how to do so. In addition, students are taught to avoid the many pitfalls that investors may face by experienced trainers and mentors who many times had to learn them firsthand and now can pass on their experience and wisdom to others. This practical wealth-building knowledge can greatly accelerate an individual down the path of success and is a primary reason students flock to Rich Dad Education offerings. However, there is an additional bonus that students receive while they are soaking in the specific practical knowledge imparted in the Rich Dad Education offerings.

In an average Rich Dad Education elite training, students are exposed to a tremendous amount of practical knowledge on how to make money and build wealth. This specific how-to knowledge can turn into real-world wealth when properly applied. As a wonderful bonus, students are often exposed to how the larger world truly works as they start to apply the knowledge they are taught. A recent example in the gold market illustrates this point nicely.

Gold Futures and Trading

This section exposes some of the mistakes inexperienced traders in the stock market make in bullish markets. For those unfamiliar with the world of trading, the article is essentially saying that traders should not try to guess how high the market will go or how low it will fall. Instead traders should adhere to their training and follow the proper signals they have been taught that will guide them to making proper decisions.

One of the signals traders are taught to look for are price areas where stocks can logically be expected to stop falling in price. For our example, if the price of the stock does not stop falling at the expected area, then an opportunity to make a bearish trade is presented (a bearish trade is a trade that profits when the stock continues to go down). Rich Dad Education students are also trained to recognize that as the stock breaks through this price area on high volume, then a really good trading opportunity is present.

In recent months, gold futures presented trained students with a very nice pattern: a downtrend with a specific price area below which gold futures could logically be expected not to drop. When this area broke on extremely heavy volume in late April, a trading opportunity was presented that trained traders could take advantage of. This was just one of numerous examples that can be used to demonstrate the practical wealth-building knowledge in action that Rich Dad Education teaches every day.

What makes this example interesting is not the successful wealth-building technique taught, but the external knowledge of how the world works. To say that the gold futures broke through the price area on high volume is an understatement. It broke through on astronomically high volume in a short amount of time. To the short-term trader, why a stock had high volume is irrelevant as they are trained to follow the signal and make their profit. However, after their trade is closed and a profit is made, any astute trader’s curiosity would have been peaked by the abnormally high amount of volume and dramatic move down in price. A few questions might have been raised in the experienced trader’s mind:

1) Who was behind the huge volume? To say the trading volume was abnormally high is an understatement, which means that institutional forces were at work.

2) What institutional forces were behind the sell off? A little research would have turned up that large traders (bullion banks?) had amassed large short sell positions in previous months. Short sell positions benefit when the market goes down.

3) Was the high volume the result of market manipulation? By creating enormous downward pressure on abnormally high volume at a critical price area, there was an opportunity to make tremendous wealth on the previous shorts.

4) If the gold futures market was manipulated, what does that say about the vulnerability of other markets?

5) If there was ample evidence of market manipulation then why didn’t the government regulatory bodies become involved? Are they ignorant or complicit?

The conclusions one may come to will undoubtedly vary, but needless to say, one’s eyes open to a financial world that is much different than the one traditionally portrayed to us in an introduction to economics class or by the mainstream media. This is but one example of many where the application of real-world wealth-building techniques taught by Rich Dad Education can lead to financial success and also open one’s eyes to a deeper understanding on how the world truly operates. This deeper understanding will lead to informed decisions, assist you in gaining a true understanding of the principles of financial literacy, and help you build and protect your wealth and your family’s financial future. Not a bad bonus for learning how to escape the rat race.


6 responses to “Education, Real-World Knowledge, and Gold

  1. S. Sridharan May 23, 2013 at 9:41 am

    Seen your above article and it is very nice.

    I wish to infom you that Rich Dad Education will definitely lead to financial success. Please replace
    the word “can” with “will” to emphasise the fact that Rich Dad Education will definitely lead to
    financial success!

    Thanks & Regards.

    S. Sridharan
    Chennai, INDIA.

  2. victor May 24, 2013 at 12:44 pm

    Rich dad Education is the best education system that any one would yearn 2have.thankyou Robert N kim

  3. tim evans June 9, 2013 at 1:52 am

    great info whens the next class in ca

  4. Jules Chrysostome Fouda in Yaounde, Cameroon July 21, 2013 at 12:17 pm

    I am very pleased to know more about the rich dad team after having read the book increase your financial iq and part of rich dad poor dad i do think we africans also deserve to learn that great science.As an independent worker, in fact as a teacher of international languages and promoter of self-employment and educational business,i have always believed that education is the fundamental need of our continent. i am already dreaming of Rich Dad School here in Central Africa. i have the impression that i have been knowing you for years as i have been defending some of those marvellous ideas around me without the right financial grammar or knowledge
    .Thank you very much Robert and Kim!!!!

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