Increase Your Financial IQ

(True or ) Your house is your greatest asset
For over 10 years I've been telling people that true assets put money in your pocket. For most everyone I know, their house takes money out of their pockets every month. The recent spike in foreclosures in the US only further proves that your house is not an asset.

( or False) Mutual funds are one of the easiest ways to save money
The reason people love mutual funds is because they are so easy. In my opinion they are also one of the worst ways to get rich because they require little or no financial intelligence. The results they provide enrich the fund more than they do you.

( or False) The US dollar is worthless
Since the US abandoned the gold standard in 1971, the US dollar has consistently been able to buy less and less. It is definitely worth less. This is why savers are losers-their dollars lose value every year. To get ahead, you need to be an investor, not a saver.

( and ) Real Estate and Gold are risky investments
Always remember that you can make or lose money in anything. Ultimately, it is not gold, stocks, real estate, or any investment that makes you rich-it is what you know about gold, stocks, real estate, and money that makes you rich. Ultimately, it is your financial intelligence, your financial IQ that makes you rich.

By : Robert Kiyosaki