As little boys, rich dad often asked us, “Are you willing to lose 99 out of 100 times?”
The answer he was looking for from us was, “If the reward for winning outweighs the risks and costs of losing 99 times.”
Asking us to explain further we would say, “If we knew we could win a million dollars, and the risk-reward ratio was 1:100 and the minimum bet was one dollar, we would get $100 in single bills and work our strategy to bet our one dollar 100 times. After we won once, we would go back to playing the same odds because the odds rarely change. We might increase our bets, but only if we could survive losing 99 out of 100 times.”
That was his simple way of training us to think in terms of risk and reward instead of right and wrong, risky or safe. Rich dad did not like gambling nor did he encourage us to gamble. He simply was training his son and me to think in terms of risk and rewards.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
TtreeInvestor
2,770 posts
Posted by TtreeInvestor > 2020-07-03 14:13 | Report Abuse
Now jump half to Eden sister companies Thriven and MYEG. Hope both will start engine together.