What Schools Will Never Teach You About Money By Robert T. Kiyosaki

The Times 
They Are A-Changin
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There have been many changes in our economy and the investing 
landscape since Rich Dad Poor Dad was first published in 1997. 
Fourteen years ago, I challenged conventional wisdom with the bold 
statement that “your house is not an asset.” My contrarian views on 
money and investing were met with outrage and criticism.
In 2002, I advised in my book, 
The Rich Dad’s Prophecy,
that we 
prepare for an upcoming financial market crash. In 2006, I joined 
forces with Donald Trump to write Why We Want You To Be Rich, a 
book that was inspired by our concern for the shrinking middle class 
in America. 
I believe passionately in the importance and power of financial 
education. Today, in the wake of the subprime fiasco, record home 
foreclosures, and a global economic meltdown that is still raging,
many skeptics have become believers. 
In preparing the 2011 reprint of Rich Dad’s CASHFLOW 
Quadrant book, I realized two things: that my message and teachings 
have withstood the test of time, and that the investment landscape, 
the world in which investors operate, has changed dramatically. 
These changes have affected, and will continue to affect, those in 
the I (Investor) quadrant and have fueled my decision to update 
an important section in the CASHFLOW Quadrant book which 
specifically addresses investors.
The following special section in Unfair Advantage is my gift to 
you, a sneak preview of the new chapter from Rich Dad’s CASHFLOW 
Quadrant: “Five Levels of Investors.”
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Five LeveLs
oF investors
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My poor dad often said, “Investing is risky.”
My rich dad often said, “Being financially uneducated is risky.”
Today, most people know they should invest. The problem is that 
most people, like my poor dad, believe investing is risky—and investing 
is risky if you lack financial education, experience, and guidance.
Learning to invest is important because investing is the key to
financial freedom. Five things happen to people who do not invest, or
who invest poorly:
1. They work hard all their lives.
2. They worry about money all their lives.
3. They depend on others, such as family, a company pension, or
the government, to take care of them.
4. The boundaries of their lives are defined by money.
5. They will not know what true freedom is.
Rich dad often said, “You will never know true freedom until you 
achieve financial freedom.” By this, he meant that learning to invest is 
more important than learning a profession. He said, “When you learn 
a profession, let’s say to be a doctor, you learn how to work for money. 
Learning to invest is learning how to have money work for you. The 
moment you have money working for you, you have your ticket to 
freedom.” He also said, “The more money you have working for you, 
the less you pay in taxes—if you are a true investor.” 

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Five Levels of Investors
Unfair Advantage
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