Let’s Talk About Rich Dad Poor Dad | Chicken Genius, Benny, Qiuyu | Café Money EP 25

[@alui5362]

ken is a nice guy 100%, but suggest taking his advice with a pinch of salt. it's v easy for people to mistake their wealth and success with genius, and it looks like ken is falling into that trap. drawing down your stocks in a downturn will kill your pot. especially if you have a big pot, it stings like hell because you will see what you have lost when the rebound happens. ken is single without family expenses, keeps his personal expenses low and has a large pot - his drawdown in a downturn will be less impactful than someone who lost their job but still has to support a mortgage and family month to month. yes, six months is a rule of thumb, but what benny said is right - it's definitely subjective, depending on your personal skillset/CV, industry and ability to get back on your feet to find a new job. for some people it's easy, for some people, it takes a lot more time (even a year). especially if you get laid off during off peak season (nearing end of year) - you will find that no one is hiring during that period and you can only get a job after CNY when people who have collected their bonuses have tendered resignation (leaving new spots open) and hiring managers are back from holiday mood.

[@poosiangkhor191]

"drawing down your stocks in a downturn will kill your pot" if you put yourself in ken's shoes if you have been investing regularly, you DCA into the stocks you believe in, and when you do cash out, you are still making positive returns but of course you would have gain more if you kept it. but hey, keeping money in your bank wouldnt make you money in the first place.

[@Juncicle]

not to mention, also from rich family

[@alui5362]

@@Juncicle really??

[@alui5362]

@@poosiangkhor191 yes, true if you have invested for a longer time horizon/the crash is not severe enough to kill your gains. just look at the numbers. sp500 as reference, covid dip wiped out around 3 years of gains, so you would need to have been invested more than 3 years for it to be a net positive (invest v.s. emergency fund). of course, hindsight is 20/20 - the crash could have happened sooner, or be more severe, and you would out of pocket if you hadn't invested for more than 3 years before the crash, or if the crash went lower than it did. also not a good idea to underestimate the intangibles. when you lose your job in a downturn and have bills to pay.. it's no joke. peace of mind in such a situation cannot be overstated. long story short, don't be so conservative that you suffer opportunity cost, but don't undervalue safety and peace of mind. you will realise how needed it is when it is really needed. the very definition of what being prepared in an 'emergency' is. in an emergency, the last thing you need is more worry, because you are already trying to fight multiple fires.

[@LalitDevraj]

Yes, please make another video covering cash flow like you said!! 😁😁

[@davidscz]

Read this book when I was fresh grad, lost in direction and poor..This book helped a lot and In fact indirectly led me to discover the 4% rule on my own without realising this rule existed

[@rodneysmith1750]

Another excellent video from my 3 young friends in Singapore, as always, your depth of understanding versus your apparent age is certainly not the same as in the US! Love you guys, keep dispensing all of the knowledge you can spare.

[@nickgreen8268]

Qiuyu absolutely crushed it, who cares if the story participants exist, it's the narrative that simplifies a complex subject and makes it so much more readable and accessible.

[@carlossp6211]

I remember reading this book on my early 20ies. I lived with my parents and I had 0 expenses. I wanted to invest like 95% of my salary but was very difficult back in the days. Now there is plenty of apps that they let you invest in the stock market from your sofa but 15 years ago wasn´t that simple. Thanks for this episode guys! you are the best!

[@bubs1940]

I love how this book changed my perception of Assets vs Liabilities when I was studying in poly 10 years back! Must read!

[@zachnunya8749]

Growing up in a home that was EXTREMELY tight with budgeting my experience with obsessing over saving leads to a “poverty mentality” whereas focusing on growing income leads to “abundance mentality”. For me anyways

[@iamCARLLEE]

I feel you guys can touch more on 1) leveraging ( loan/liability ) - example using how and when you should loan to earn you more money such as starting a business, buying a property with low interest rate or buy in tsla when they announces next stock split or starlink ipo. 2) scaling in and out of different asset ( risk management) Understanding economy sentiment, differentiating which asset class gain more growth at different cycle / timings. 3) cashflow ( generating and liquidity) Time lead to liquidate your asset when u needed cash, Crypto is not for holding but staking and liquidity mining. Using investment returns to re-invest and compounding.

[@JJ-bb3sv]

Thank you Cafe Money for always putting out real solid content and no bs. I’ve learned a lot from this episode and would LOVE to dive more into the topic of flowing cash. Purely for education and entertainment purposes only of course. :)

[@degendaily001]

An item can be recognised as an asset when it is probable that future economic benefits associated with the asset will flow into the entity. Car is able to generate revenue or save cost. This is a form of economic benefit. This is why it is recognised as an asset in the balance sheet. That being said, not all asset will provide a positive return, that's why companies will do periodic impairment assessment to reflect the lower fair value.

[@mikeb5030]

How do you generate revenue for a car? A car sucks the hell out of your pocket. Insurance, monthly payments, gas expenses, maintenance so forth

[@degendaily001]

@@mikeb5030 You can work as an uber driver to generate revenue or reduce your costs of taking uber or cab. Not all asset classes will guarantee great returns.

[@mikeb5030]

@@degendaily001 even if you work as uber, the car itself depreciates and lose value. Yes, it does save up expenses but does not fall to the books definition of an asset which "an asset puts money into your pocket"

[@phyllislay2233]

@@mikeb5030 if you decide to be a Grab driver.

[@tslaEnglish]

I leave shanghai with my condo there without rent it out , still treat it as asset cause it has the ability of paying me in the future. I read it in 1999 and it affected me a lot in spending effort also taught me to invest in real estate in China. Absolutely the book that's changed my financial status for good.

[@teslabullsingapore8656]

I'm very frugal person but I bought 2 of Rich dad poor dad, and one of my guest visited my hotel several times from Sri Lanka, gave me 1 also when he visited our hotel again in early 2020, I have to say this book has inspired me a lot and definitely recommend to anyone who wishes to build his/her way out of the rat race.

[@EdgarAlves321]

You guys just gave me confidence to put more saved money into TESLA, since it had a drop in the last few days.

[@marcusv2226]

lol me too... buy the dip baby./.

[@takashisan1]

Takeaway from this podcast Qiuyu: TO PLAY IT SAFE IS RISKIER. 100% SOLD

[@dr-k1667]

I've never read the book but I was recommended the book The Richest Man in Babylon. Small, easy and I think gives many fundamentals anyone can and truly should apply to change their life.

[@xlben10]

Ahh the book that opened my eyes to the world of financial literacy, One of the book I always recommend to people

[@malcolmmalcolm4718]

Hey Guys! Fan since day 1..... Please do a video about cash flow

[@SY-bv3kr]

thank you for dissecting the concepts of the book. fall to the trap of chasing dividends and saving instead of using the money to invest for capital growth as well. would like to learn from u guys on cashflow of money as well. thanks much.

[@authenticwj7515]

Yes, a Rich People Mindset is not something everyone has because of limiting beliefs. Pay Yourself First Always

[@carolinebitterly6784]

Please make another episode about cash flow! It’s super valuable and interesting!!

[@Jiblalala]

Hope after this whole covid-19 mess is over we can have an event in Singapore with the 3 of you

[@REDREDStrawberry]

one of my favourite channel. looking forward everytime to the next video.

[@mpenlandmoto]

I like the book and it’s a good safe one-size-fits-all solution for people who I need that kind of solution. I don’t need that kind of solution but I’ve borrowed some of the principles.

[@ShinChan8Sun]

Greetings from Singaporean in Japan!playing it safe is riskier…. Face fear… ok got it! thanks ah!

[@vikramganasen]

This whole facing problems and risks and fears made me real anxious and its one of my major issue. But I think this episode is helping to uncover ways to do it. CALCULATED. Thanks guys.

[@NplusO88]

Hi Cafe Money, I love your videos and content which is now my favourite go to video. I would like to suggest if you can make a content on stock investing. How to read company annual report. How to distinguish a bad and good company and how to analyse a growth company thank you

[@jasperthe59]

I like the book, but i like you guys more. You guys are freaking awesome. Thumbs up.

[@kgl5289]

Enlighten me how to get into all 4 quadrants of ESBI ? If you are already a business owner, you still could be an employee of another company? Give some examples. Good to have a topic about cashflow, want to learn more. Thank you guys! You guys are awesome!

[@Etakon]

no one mentioned this but qiuyu looks really nice in that grey dress :D

[@elenacarlos6193]

*__After what has unfolded in 2020 I no longer view btc as speculation. more so an inevitability. Even if it takes 10 years to get $100k that would mean the average rate of return with a daily $100. Over a year is 100% what asset class out there today offer that type of opportunity?*

[@williamhurt7668]

earning such a stable gain in Bitcoin can't be done without a professional crypto broker..

[@deborahpatrick974]

___I've worked with a broker Mr Philip McCarthy for about a year now.he is a professional and have delivered solution well above my expectations._

[@olivianicole8202]

___Wow his success stories are everywhere😮_

[@maxwelljaji.1661]

((((Still can't make up my mind about Bitcoin but I guess I will have to wait on an experience with this currency before judging...

[@sofiabaldwin]

__He's really amazing with amazing skills He changed my 0.1BTC to 2.1BTC

[@tellder1]

Episode about cash flow? Yes please! Didn't read the book tho, but probably going to. Love books like that. They are really valuable and shaped by way of looking into money.

[@benk1844]

I think the biggest problem with the book is that it can facilitate a mentality of "forever growth", as in, people who just exist to grow and grow and grow their wealth with no limit in sight, they become greedy, they damage the environment or harm society to make financial gains. I think it is important for people to become financially free, but I also think that it is unethical to not set yourself a "ceiling". something like "I will be happy and can exist comfortably with $x a year for my personal life, and I need $y a year to be able to help the world. Anything above that should be given away or used to shift wealth to ethically positive others' endeavours.

[@tanlishengnoah]

Yes, pls create one video abt how money flows, to help business owners on learning how to leverage the current financial system.

[@reignstalk4376]

Thanks for the info man

[@samlai3362]

RDPD is a definitely one of the better financial book I have read. Love the concept why the term money become currency after 1971.

[@PlayToWinOnly]

Rich dad poor dad is also one of the few books i read same as qiu yi

[@xkkhong3985]

Im glad that u all addresses the topic abt emergency funds. Really love the topic! Cheers!

[@desaturated6049]

In Singapore, a BTO is considered an asset because the appreciation gain is almost 100% after 5 - 10 years.

[@marcd316]

I like the richest man in Babylon for beginners as it's a story which tells you all principle of modern finance

[@tanyeehern]

Was the book that opened up my perspective on money. Loved the ESBI part of the book. It’s extremely tough to achieve financial freedom if you remain as an employee all your life. Yup, please do an ep. on cashflow. Also, on the topic of risks and fear, the short concise book by Keith Cameron Smith, titled “The top 10 habits of millionaires” would be great content to cover too!

[@Crypt0Crossf1re]

Thanks guys!

[@sgboon]

I hope 1 day Cafe Money can come out with a Finance Book 😁

[@Leoterado]

Hear hear! Love it! @qiuyu, likewise here. Passive over Growth is a pitfall when we focus too much on just building passive income streams.

[@chairicky4840]

Yes She really nailed it on the passive VS growth... hindrance to greater success if too much on passive income! Well said Qiuyu 👍

[@lucytoday2716]

Thanks to cafe money, i started my own onlyfans after watching their earlier video on starting an onlyfans for extra side income. Picked up some new skills in the process such as video/photo editing.

[@NOpopplaying]

Let the cashflow in!

[@KeyBored101]

I would love to see a video on cash flow, what a great channel

[@jayjayganjiajing]

Keep these content coming!! 🙏👍👍

[@conjurer88]

I’m back for Cafe Money !

[@MonsieurLabbe]

Love your talks, thanks for sharing your thoughts. From Canada 😁

[@TeslaonFSDNYC]

Benny good point about growing the pie to take advantage of the 6%

[@jackie2835]

Qiuyu so hot

[@thebestbees]

I’m also quite similar to Ken, I have around 1-2 months of emergency funds of savings. I don’t earn much ( just average salary in SG ) but I keep more than 95% of my money invested

[@paulbeaumont2714]

The book, Rich Dad Poor Dad was co-author by Sharon L. Lechter. At the time of the first publication, Robert Kiyosaki was very illiterate. Since then the book has been distorted and made into an advertisement vehicle for Robert. I believe that the concepts covered today and many others comes from Sharon who may have been a friend of both families depicted in the book. She is also the founder and CEO of Pay Your Family First, a financial education organization.

[@nutzz76]

yes an episode on money flow will be good! lots to learn!

[@TeslaonFSDNYC]

Qiuyu good point about rainy day

[@meboomzxc]

Qiu is so cute HAHA “ding ding ding”

[@TeslaonFSDNYC]

Great job guys

[@jonathanfoo4712]

Can talk about picking property in future episodes? Residential vs Commercial, private vs public, landed vs non-landed?

[@tacoyaky8872]

Clearly, you guys are not accountants. If you're talking about accounting and balance sheets, the house and car are always assets, the mortgage and auto loan are always liabilities. The difference between the market value and purchase price minus loan is your equity. Anything that grows in market value of your assets (growing equity) or straight up increasing your assets is good. Growing your liabilities are fine if it grows equity/assets faster. The house itself is an asset no matter what. If you rent out a single room, you are simply have a source for creating additional assets (cash). The value of the house as equity or asset does not change whether you rent it out or not. When people say "your car is a liability", they mean that you get negative equity (market value decreases) over time. The car is still an asset, the loan is still liability. Stop messing with my accounting brain! That part gave me a headache. You guys just confused yourselves and just labeled it 50/50 lol. Just had to say "growing value = good; everything else = bad"

[@shastasilverchairsg]

Would rather listen to actual rich guys than accountants.

[@ezann]

Obviously Tako Yaky didn’t read the book Rich Dad Poor dad

[@smalltown1967]

Great episode! I would love to see a video on Cashflow! ATL

[@yuntaokoh154]

Love the content!

[@ScreenWonders945]

Nice video. But I think it is very important to have savings even if you have stocks etc. It’s true that stock is very liquid. But what if you need cash urgently and current price of your stock is not at the good price to sell? Holding a healthy level of cash allowed you to invest when there is good opportunities. It also gives you the ability to hold your stock rather than force to sell just because you need cash urgently.

[@shastasilverchairsg]

I have an interest in Ancient Rome, and I set up a Facebook page on the topic. So far I've only posted casually and infrequently, but I noticed the number of likes for the page has suddenly increased. From 0 for about 8+ months (ok I literally post like once every two months or so), then 2 likes total last last week, then 5 likes, and now 21 likes. The significance is I did literally nothing and put in less effort than the Taliban in respecting women's rights, but the Facebook platform still caused some growth to happen. Now I begin to understand what Rich Dad means by passive income instead of active (though likes and monetization are two different things as well!). But anyway I think Rich Dad is only good as high level stuff, but it is definitely insufficient to teach the nuts and bolts of stuff. Need other resources for that.

[@dennischin3083]

Hey cafe money, have you considered creating a video to share with us how to manage the investment gains from a multi baggers? Handling the emotions that comes with the increases in financial status and how to preserve the exponential wealth?

[@xtamaox]

Love your videos🔥

[@hl.4896]

i really like the idea of mapping out the cashflow. wish to learn more from u guys.

[@ghcheong]

I think it'll be good to do a review on your money or your life also, I think its an alternative approach to financial freedom

[@Dalian-xo5op]

Rich dad poor dad, good book, ..... cash flow topic is better.......

[@tingling8707]

Hi Benny, Qiuyu and Ken, Thanks for your video, i am in a country where property has no capital appreciation at all. I have two properties with rental that is just good enough to cover my monthly installment but i need to put in my own money for maintenance every 1 to 2 yrs. My perception is that my rental is paying for my house ownership in 10-15 yrs considering that i get it rented throughout these years. how do you view this?

[@realcafemoney]

If your tenant is paying for you, then what u r earning is the principal sum, which yes, In another word tenant paying for ur ownership. should u sell the property at the same price as what u had purchased at, you minus off whatever outstanding loan to bank, minus whatever the sum u put in additionally for the maintenance, the rest is ur profits.

[@derrickloh34]

Property is only asset in 3 kind of scenarios, 1. Buy to rent and generate passive income, and must be able to rent out whereby rental is greater than loan. 2. Being able to refinance your house/mortgage to bank and uses the money to invest with profitable returns. 3. Selling your house at greater profit.

[@kyosukesu81]

I agree to save for emergency funds is a must. If all your fund is all in investment and yes you can sell anything within a month but is it going to be profit or at a loss at that point of time when you need money urgently? If you have an emergency fund, then you got the holding power in your investment. If not you are forced yourself to sell a good stock like tesla when the price drops temporarily down in the short term.

[@mirkos98]

Awesome wrap up of the book, thank you guys! I especially love the comparison to and your insights from the real business world! Cheers

[@DarenYoong]

Agree that capital appreciation (with the right growth assets) can generate far higher wealth growth than dividends. Many people I spoke with had their foundational mindsets on finance shaped by Rich Dad, Poor Dad. Thanks Benny, Quiyi and Ken for this episode!

[@MEBO019]

Rich dad poor dad has really really good concepts but for example dividend investing might be outdated simply due to the time it was written (kiyosaki is not known to be the best investor anyways)

[@Travyz]

The last part is my biggest takeaway!! Please do a video on cash flow

[@TeslaonFSDNYC]

Good point Ken about after five years you’ll know good and crappy investment opinions

[@tanedward9391]

Cashflow forensics sounds interesting

[@Sunrayzerozero]

What about saving up cash for big purchase like a first house? I am still figuring this out. I had 6 months emergency fund in cash and now it has ballooned to more than that but im hesitant to put the extras into the stock market as Im planning my house purchase next year.

[@kyosukesu81]

Yes pls make video on cashflow. Thanks

[@trendgeneration9005]

Last point cashflow from Co. A, to co. B to co.C as bank loves it. Isn't this related party transaction in your P&L which bank will exclude it in their assessment?

[@jerryzento]

Maybe can consider doing a video on how to monetize our assets like taking a term loan and using the cash for investments, securities financing etc.

[@michaelwebsternz]

Sell options against your stocks that don't pay dividends and you can earn an income from them. That income can then go and buy more stocks and create more compounding.

[@nathsnsan]

Sounds like a great episode idea!

[@sswsa3980]

What's your take on dividend paying stocks like Apple?

[@redsfc]

Keep up with the great content!

[@yeojuanpoh]

YES CASH FLOW!!!! PLS!!

[@HollowCandy]

The book gave me a whole new perspective that I was able to share with my closest friends and families. I would ask everyone who is interested, to continue reading the later published books by Robert Kiyosaki as well! Kind of repetitive, but as he mentioned in his first book - if you find it repetitive and annoying, you have more or less understood that concept.

[@williamgoh5514]

Yes, I agreed with u on that, I bought almost all his books, including abc of property.. Conclusion, yeap, kinda repetitive

[@rossgee1091]

Outstanding episode with very insightful comments. Would also like to see one about optimising cashflow.You have a great format for getting your message across, well done.

[@Trezker]

The best expense is no expense, the best hobby is profitable hobby.

[@Flatfeed611]

Another episode about cashflow would be great.

[@andrewkwek6160]

I agree with Ken, I too have less than 1 month of expenses as cash, I'm 99% invested! :p

[@tommyvuitton3113]

Epic value as usual 👊🏻

[@thisandthatguy1156]

Going to all in wall streets now!

[@larryhoo]

Stop cutting Qiu Yi when she speaks. Not so nice ar.

[@iwanhertono696]

Can you guys share why starting an F&B business is a bad idea? I remember you guys are totally against it in one of the episodes

[@adamtan20]

but a dividend reit when it is 5% now could be more than the 5% which you invested before

[@harryyeo7010]

wat about cardano they gif staking aka dividend i see when it bull run can gain 1500% in a year or more and dividend every month

[@RogerGold-bo6un]

classic read

[@FloorballBasics]

He had another book, Cashflow Quadrant.