The famous author of Rich Dad Poor Dad, Robert Kiyosaki, has shared how he made most of his money. He stressed that the future of stock and bond markets will depend on startups in resources, not Silicon Valley technology startups, predicting that resources will be "the coming boom in the investment world."
How Robert Kiyosaki Made Most of His Money
Rich Dad Poor Dad author Robert Kiyosaki has revealed on social media platform X how he made most of his money. Rich Dad Poor Dad is a 1997 book co-authored by Kiyosaki and Sharon Lechter. It has been on the New York Times Best Seller List for over six years. More than 32 million copies of the book have been sold in over 51 languages across more than 109 countries.
The renowned author shared on Dec. 24 that the Vancouver Resource Investment Conference (VRIC) is coming up on Jan. 20-21, where he will be one of the keynote speakers, as per the event's website. Explaining why he believes this event is the "most important investor conference for 2024," Kiyosaki emphasized:
The future of stocks & bond markets will depend on startups in resources, not Silicon Valley technology startups. I have made most of my money in resources, not tech.
"I got my start as a startup at the VRIC 25 years ago," he further revealed, adding: "I will be there. I invite you to join me at the VRIC, be part of the coming boom in the investment world, resources."
The Vancouver Resource Investment Conference is organized by Cambridge House International, which specializes in organizing and promoting investment conferences for the resource sector. Cambridge House CEO and the host of the VRIC, Jay Martin, explained that over 300 junior mining companies will gather at the event "to showcase exploration and production of the most critical commodities the world needs to move forward in the 21st century." He opined: "We are entering a new era of de-globalization. The trust that allowed for global trade over the last 30 years has shifted irreversibly … Demand for key resources will skyrocket."
Kiyosaki described in an interview with Stockpulse at the VRIC last year: "This is where real money is made." He detailed at the time: "I was one of these junior miners standing out there … and I learned more here than I ever did anything myself about entrepreneurship, business, international trade, global trade."
The Rich Dad Poor Dad author advised: "If you are a young person, you keep learning, keep learning by real-life experience." He stressed, "Don't listen to fake teachers," highlighting that college courses rely on textbooks, lacking the real-life experiences shared by miners at the conference. However, he cautioned that gold mining is a "tough business" and carries "higher risk."
Noting that investors can look for valuable commodities at the conference, he emphasized:
The world runs on resources.
At the time, Kiyosaki said he was looking for three things at the conference: gold, silver, and copper. "I don't own any copper. I own a lot of silver. I found a silver mine in Argentina and Yamana Gold [Canadian mining company] bought it from me," he shared, adding that he took Trixie Mine in Utah public in July this year. "So, watch what I do, not what I say," he recommended, pointing out: "I do own tons of gold and silver."
The renowned author has consistently endorsed gold and silver as sound investments. Additionally, he advocates for bitcoin, asserting that these three assets are the best investments for unstable times. In November, he advised investors to buy bitcoin now before it's too late. Furthermore, he previously disclosed the reasons behind his ongoing BTC purchases.
What do you think about Robert Kiyosaki's advice and explanation of how he made most of his money? Let us know in the comments section below.
Frequently Asked Questions
How do I Withdraw from an IRA with Precious Metals?
First, decide if it is possible to withdraw funds from an IRA. You should also ensure that you have enough money to cover any fees and penalties associated with withdrawing funds.
An IRA is not the best option if you don't mind paying a penalty for early withdrawal. Instead, open a taxable brokerage. You will also have to account for taxes due on any amount you withdraw if you choose this option.
Next, you need to determine how much money is going to be taken out from your IRA. This calculation will depend on many factors including your age at the time of withdrawal, how long the account has been in your possession, and whether you plan to continue contributing towards your retirement plan.
Once you know how much of your total savings to convert to cash, it's time to choose the type of IRA that you want. Traditional IRAs allow you to withdraw funds tax-free when you turn 59 1/2 while Roth IRAs charge income taxes upfront but let you access those earnings later without paying additional taxes.
After these calculations have been completed, you will need to open a brokerage bank account. Many brokers offer signup bonuses or other promotions to encourage people to open accounts. Avoid unnecessary fees by opening an account with your debit card, rather than your credit card.
When it's time to make withdrawals from your precious-metal IRA, you'll need a place to keep your coins safe. Some storage facilities will take bullion bars while others require you only to purchase individual coins. Before choosing one, consider the pros and disadvantages of each.
Because you don't have to store individual coins, bullion bars take up less space than other items. But you will have to count each coin separately. However, you can easily track the value of individual coins by storing them in separate containers.
Some people prefer to keep their coins in a vault. Others prefer to store their coins in a vault. Regardless of the method you prefer, ensure that your bullion is safe so that you can continue to enjoy its benefits for many years.
Can the government take your gold
You own your gold and therefore the government cannot seize it. It's yours, and you earned it by working hard. It belongs exclusively to you. This rule could be broken by exceptions. Your gold could be taken away if your crime was fraud against federal government. If you owe taxes, your precious metals could be taken away. However, if you do not pay your taxes, you can still keep your gold even though it is considered property of the United States Government.
Can I buy gold with my self-directed IRA?
Although you can buy gold using your self-directed IRA account, you will need to open an account at a brokerage like TD Ameritrade. If you have an existing retirement account, you can transfer funds to another one.
The IRS allows individuals contributing up to $5.500 each ($6,500 if married, filing jointly) into a traditional IRA. Individuals may contribute up to $1,000 ($2,000 if married, filing jointly) directly into a Roth IRA.
You should consider buying physical gold bullion if you decide to invest in it. Futures contracts are financial instruments based on the price of gold. These financial instruments allow you to speculate about future prices without actually owning the metal. However, physical bullion is real gold or silver bars you can hold in your hands.
What are the benefits of a gold IRA
A gold IRA has many benefits. You can diversify your portfolio with this investment vehicle. You control how much money goes into each account and when it's withdrawn.
You have the option of rolling over funds from other retirement account into a gold IRA. This is a great way to make a smooth transition if you want to retire earlier.
The best part? You don’t need to have any special skills to invest into gold IRAs. They're readily available at almost all banks and brokerage firms. Withdrawals can happen automatically, without any fees or penalties.
However, there are still some drawbacks. The volatility of gold has been a hallmark of its history. So it's essential to understand why you're investing in gold. Is it for growth or safety? Are you looking for growth or insurance? Only once you know, that will you be able to make an informed decision.
You might want to buy more gold if you intend to keep your gold IRA for a long time. A single ounce isn't enough to cover all of your needs. Depending on your plans for using your gold, you may need multiple ounces.
If you're planning to sell off your gold, you don't necessarily need a large amount. You can even manage with one ounce. But, those funds will not allow you to buy anything.
What is a gold IRA account?
People who wish to invest in precious metals can use Gold Ira accounts as a tax-free investment vehicle.
You can purchase gold bullion coins in physical form at any moment. You don’t have to wait to begin investing in gold.
The beauty of owning gold as an IRA is you can hold on to it forever. Your gold holdings will not be subject to tax when you are gone.
Your heirs can inherit your gold and avoid capital gains taxes. Because your gold doesn't belong to the estate, it's not necessary to include it on your final estate plan.
To open a gold IRA, you will first need to create an individual retirement account (IRA). After you do this, you will be granted an IRA custodian. This company acts as a mediator between you, the IRS.
Your gold IRA custodian will handle the paperwork and submit the necessary forms to the IRS. This includes filing annual reports.
Once you've established your gold IRA, you'll be able to purchase gold bullion coins. The minimum deposit required for gold bullion coins purchase is $1,000 You'll get a higher rate of interest if you deposit more.
You'll have to pay taxes if you take your gold out of your IRA. You'll have to pay income taxes and a 10% penalty if you withdraw the entire amount.
A small percentage may mean that you don't have to pay taxes. There are exceptions. You'll owe federal income tax and a 20% penalty if you take out more than 30% of your total IRA assets.
You should avoid taking out more than 50% of your total IRA assets yearly. You'll be facing severe financial consequences if you do.
How is gold taxed within an IRA?
The fair value of gold sold to determines the price at which tax is due. If you buy gold, there are no taxes. It's not considered income. If you sell it later, you'll have a taxable gain if the price goes up.
For loans, gold can be used to collateral. Lenders will seek the highest return on your assets when you borrow against them. In the case of gold, this usually means selling it. There's no guarantee that the lender will do this. They may just keep it. Or, they may decide to resell the item themselves. Either way you will lose potential profit.
So to avoid losing money, you should only lend against your gold if you plan to use it as collateral. If you don't plan to use it as collateral, it is better to let it be.
Statistics
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
External Links
investopedia.com
law.cornell.edu
- 7 U.S. Code SS7 – Designation Boards of Trade as Contract Markets
- 26 U.S. Code SS 408 – Individual retirement accounts
