My money 38

" Buffet went on to explain that he did not watch the pundits on TV or watch the ups and downs of share prices to gain his investing advice. In fact, his investing was actually done far away from all the noise and promotion of stock promoters and people who make money from so-called investment news. Investing Is Not What Most People Think Years ago, rich dad explained to me that investing was not what most people thought it was. He said, "Many people think investing is this exciting process where there is a lot of drama. Many people think investing involves a lot of risk, luck, timing, and hot tips. Some realize they know little about this mysterious subject of investing, so they entrust their faith and money to someone they hope knows more than they do. Many other so-called investors want to prove they know more than other people ... so they invest, hoping to prove that they can outsmart the market. But while many people think this is investing, it is not what investing is to me. To me, in- vesting is a plan, often a dull, boring, and almost mechanical process of getting rich." When I heard rich dad make that statement, I repeated it back to him several times. "Investing is a plan, often a dull, boring, and almost mechanical process of getting rich?" I asked. "What do you mean by a dull, boring, and almost me- chanical process of getting rich?" "That is exactly what I said and what I mean," said rich dad. Getting Rich Is Automatic 81 "Investing is simply a plan, made up of formulas and strate- gies, a system for getting rich ... almost guaranteed." 'A plan that guarantees that you get rich?" I asked. "I said almost guarantees," repeated rich dad. "There is al- ways some risk." "You mean investing doesn't have to be risky, dangerous, and exciting?" I asked hesitantly. "That's correct," rich dad answered. "Unless, of course, you want it to be that way or you think that is the way invest- ing has to be. But for me, investing is as simple and boring as following a recipe to bake bread. Personally, I hate risk. I just want to be rich. So I'll simply follow the plan, the recipe, or the formula. That is all investing is to me." "So if investing is simply a matter of following a recipe, then how come so many people don't follow the same for- mula?" I asked. "I don't know," said rich dad. "I've often asked myself the same question. I've also wondered why only three out of every hundred Americans is rich. How can so few people be- come rich in a country that was founded on the idea that each of us has the opportunity to become rich? I wanted to be rich. I had no money. So to me, it was just common sense to find a plan or recipe to be rich and follow it. Why try and make up your own plan when someone else has already shown you the way?" "I don't know," I said. "I guess I did not know that it was a recipe." Rich dad continued. "I now realize why it is so hard for most people to follow a simple plan.