How Probability Play A Part In Investment?

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To find out how arithmetic plays a part in an investment this question, I need to explain a little on the probability using the example of a coin.When I throw a coin and let it land onto the table, it is obvious that the coin is either showing head or tail.

What if I throw the coin twice, what are the chances of the coin showing head? I really cannot be sure what the chances are. I may get, is it 2 heads in a row, I may get 1 head and 1 tail or I may get 2 tails.What if I throw a hundred times? How many times is the coin showing head?

I will find that the number will probably be somewhere near 50. In other words, I will find that there is a fifty percent chance of getting a head if the number of throws is large enough.

The probability of getting a head is the chances of the coin showing head out of a large number of throws. That probability of getting a head is 0.5.

Similarly, when I throw a six-sided dice, the probability of getting a six in a 100 throws is about 1/6 chance. But I can do something to increase my odds of getting a six. I can use a modified six-sided dice that has a higher probability of showing a six compared to a normal six-sided dice. In this way, the probability of getting a six is increased.

Pursue More Time For Your Family Now!

For Your Financial Freedom

Lay Peng
http://www.videeoonlineseminar.com/

http://www.topspeakeronline.com/

P.S: Mr. Robert Kiyosaki has his Rich Dad as his mentor while I have him and other Top Speakers and World Class Gurus as mine.

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The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.Copyright © 2007

The Guaranteed Return In Investment!

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I used to go after guaranteed return in investments before I gained financial education,. Usually, I will read about mutual funds giving a guaranteed return in newspaper advertisements. Of course, I would grab the chance to invest in them The best part is that they even provide guarantee on the invested capital. To me, this is too good to be true.








Robert Kiyosaki

Upon reading the book Rich Dad Poor Dad by Robert Kiyosaki, I realized that it is important to gain financial literacy. Thus, I understand that I had to invest my time, effort and money to study. With my newly gained knowledge, I realised that a lot of the presented information in the advertisements could be rather misleading to someone who is not financially educated.


For Your Financial Freedom

Lay Peng

http://www.videeoonlineseminar.com/









http://www.topspeakeronline.com/

P.S: Mr. Robert Kiyosaki has his Rich Dad as his mentor while I have him and other Top Speakers and World Class Gurus as mine.

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The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.Copyright © 2007

Difference between Good And Bad Debts!

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Firstly, I can identify all my bad debts and try to convert them into good debts. For example, I own a car but I rarely used it. I could rent it out to earn rental income. This rental income would be used for covering my car loan. In this way, I had converted a bad debt to a good debt.
If I failed to find someone to rent my car, I would try to settle my bad debt as soon as possible. Using the previous example, my car loan is a bad debt because every month I would need to service the loan repayment. Since I rarely used the car, then it is better for me to sell it off to pay off my bad debt.
Secondly, I need to do proper financial planning for all my good debts since there is a danger at any point of time a good debt become bad debt. Learning from the Rich Dad’s series by Robert Kiyosaki, it is important to good debts to accumulate wealth. But how many or how much good debt should I be taking on?
For example, if I were to borrow from a bank to invest in property, I would incur debt. Since my property was on rental and the monthly rental income was more than the monthly mortgage loan repayment, then my debt was essentially a good debt.
Assuming I had bought a property valued at $200K and I had loaned at 80% of the valuation price, then my good debt would be $160K. Now there were two possible scenarios that my good debt could change into bad debt.
The first scenario is that my tenant stops to lease my property and thus there were no more rental income. Without anymore rental incomes, then my debt would become bad debt. And then, I need to service my mortgage loan all by myself.
A precaution based on my financial education, it is necessary for me to set aside 3 to 6 months of expenditure including mortgage loan repayment. If such a scenario were to happen, I have to be able survive for at least 3 to 6 months. This period should be long enough for me to find new tenant or sell off my property.

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The second scenario is that the valuation price of my property suddenly drops to $100K. Assuming that the bank only allowed me to borrow at a maximum limit of 80% of the valuation price, then the loan I could only borrow is $80k. Thus, the bank would force me to top up the difference of $80k. If I failed to do so, then it would be considered to be a default on mortgage loan. The bank then has the right to sell off my property to reclaim the loss.
If I had more than one property, then I would be having a much worst financial situation when the second scenario occurred. This is where financial education can plays an important part as highlighted by the Rich Dad Series by Robert Kiyosaki. With my financial education, I could determine how many and how much debts that I could take on without running into the risk of becoming bankrupt if the situation were to turn against me. That is why I should not be overstretching myself with too many good debts. I would borrow within a reasonably safe limit.

For Your Financial Freedom

Lay Peng

http://www.videeoonlineseminar.com/

http://www.topspeakeronline.com/

P.S: Mr. Robert Kiyosaki has his Rich Dad as his mentor while I have him and other Top Speakers and World Class Gurus as mine.

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The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.Copyright © 2007

How To Turn Good Debts Into Assets?

I realized that most people made their wealth through real estate after reading a number of books,. Robert Kiyosaki.has highlighted this in the Rich Dad’s series. Thus, I decided to learn more about property investment. Even though I did not have money to invest in property, I still went ahead to attend property investment seminars for the purpose of learn.
There are two kinds of property investment seminars based on my understanding. The first kind of seminar teaches me how to go about doing property investment and it provides education on the criteria to look out for in property investment. This is good for me have a basic theoretical foundation of property investment.

For Your Financial Freedom

Lay Peng

http://www.videoonlineseminar.com/

http://www.topspeakeronline.com/blog

P.S: Mr. Robert Kiyosaki has his Rich Dad as his mentor while I have him and other Top Speakers and World Class Gurus as mine.
**** DISCLAIMER *****
The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.Copyright © 2007

How To Earn Income Through Expenses?

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Can this be possible? Earning through spending? Yes, this is possible based on the understanding of the Rich Dad’s Series by

Robert Kiyosaki

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When it comes to climbing the ladder to financial success, which is the major goal of the modern man, Rich Dad’s series has a lot to say. If I dream of attaining my goal, then I must have the right mindset. This is not easy, but Robert Kiyosaki has revealed through his ideas a challenging insight on earning, saving, and spending. The balance between these three is essential to success.The distinction between an asset and a liability is made clear with the challenging insights offered by Robert Kiyosaki,. And since these two are parts of living, in which one cannot exist without the other, the only thing that I can do is to maximize the desirable one and to minimize that which is unpleasant.. In the case of credit cards, I need to ensure that I always pay on time. This is so that I will not end up with any bad debts. One of the ways though earning while spending is to maximize the desirable one, I feel that it is only feasible is if the expenditure is essential. If not, I will be defeating the whole purpose of trying to earn income through expenses.

For Your Financial Freedom

Lay Peng

http://www.videoonlineseminar.com/

http://www.topspeakeronline.com/

P.S: Mr. Robert Kiyosaki has his Rich Dad as his mentor while I have him and other Top Speakers and World Class Gurus as mine.

**** DISCLAIMER *****

The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.Copyright © 2007

Breaking Away from Bad Spending Habits

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We have formed over the years the spending habits that can cause monstrous financial disaster. We can pile up every penny that we waste now force us to get loans, credit card debts and other financial problems when we do need to purchase that is a necessity. If we not only had planned for the future, saved up by eliminating unnecessary expenditures, then we could have enough money to invest in assets that generate passive income as highlighted by Robert Kiyosaki in the Rich Dad’s series. Thise generated passive income can then be used to fund investments and luxury items.them out to exactly by cooking your own meals, what is needed for each meal and save more than 80 percent in costs and wastage.You also need to have self-discipline. Seeing a large display saying that they have a sale is not mandatory for you to go inside the store and buy their products. Control yourself if you don’t really have the need to have it, then, especially if you don’t have the money to purchase such items and you will be buying the stuff on credit. Such reckless buying impulses can pile up and drown a person.Having proper financial literacy, you will be able to curb your unnecessary expenditures. You will see that your money can be delved into more fruitful endeavors. You don’t really have to buy two pairs of shoes of the same color, you don’t need to have numerous sunglasses.By heeding Robert Kiyosakiadvice in the Rich Dad’s series, you are able to control your finances and stop spending. You will see that with self-discipline and control by reading his book,, your finances would have no where to go but up.







Build A Business That Generates Passive Income Now!


For Your Financial Freedom

Lay Peng

http://www.topspeakeronline.com/

http://www.videeoonlineseminar.com/
P.S: Mr. Robert Kiyosaki has his Rich Dad as his mentor while I have him and other Top Speakers and World Class Gurus as mine.


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The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.Copyright © 2007 topspeakeronline.com/blog

Developing Good Spending Habits

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Do you know what’s the point of slaving ourselves on our jobs to earn more money that we are unknowingly going to throw away?

“Start watching your money, start with every single cent of it.” It’s not kidding; each cent that you throw away can pile up to become great expenses that will all go to waste. I know that a lot of people say that they are contented with what they have, be it a steady job, a nice income, a great family, a good corner office in the high floor, and a beautiful house and others….. Some of them say the truth, but there are those having more inside than what they are saying. Some of them don’t even have the luxury time to enjoy what they have because they spend all of their waking hours in their jobs just to make ends meet. Not that they are poor, but because they spend so much, much more than their income and still they are broke.

Robert Kiyosaki

Join The 7th Fastest Growing Business In Asia Pacific Now!

For Your Financial Freedom

Lay Peng

http://www.topspeakeronline.com/

http://www.videeoonlineseminar.com/

P.S: Mr. Robert Kiyosaki has his Rich Dad as his mentor while I have him and other Top Speakers and World Class Gurus as mine.

**** DISCLAIMER *****

The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.Copyright © 2007 topspeakeronline.com/blog

Network Marketing Business!

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We can measure Success using different standards. If I have power or I live a luxurious lifestyle, or I have billion dollars in my bank account or Today’s era has come to equate success with money. I may consider myself successful. And although many others will argue that money is not everything, no one can deny the fact that money is still something necessary if someone wants to enjoy a satisfactory lifestyle.From the very start, we work to earn so as to amass more money. Success is the primary goal of most people, and the accumulation of wealth is the overriding concern of many. However, only a few in today’s world can actually be considered as financially successful and are really enjoying a wealthy life. How do they manage to reach such heights in their life?

Pursue the Lifestyle That You Desire Now!

Robert Kiyosaki

Who are these people? Robert Kiyosaki pointed out in Rich Dad’s series that the network marketing business as among the most effective means to bring about financial success. I am referring to a person’s ability to fully enjoy and support his lifestyle when speaking of financial success.. Many are preoccupied and struggling with the goal of earning more to be able to experience financial success. Only a few people actually have this opportunityThe network marketing business has lots to offer.
Three of the most appealing privileges of the network marketing business are the residual income, the leverage in time and money, and the geometric growth that it offers. It promotes independent and home-based business that will give everybody the chance to be his own boss instead of working several hours a day for someone else. In network marketing, once the chain is started and more people get involved, the money keeps on rolling and coming back. A residual income is a certain amount of money that will give one back earnings without requiring one to do any work at all. Once the money is invested, it will work on its own to bring one profits. This business also provides leverage since it continuous to produce results without eating much of the time and money. When you are able to attract people who will then be working for you, profit will continue to come in even when you are not doing anything.

For Your Financial freedom

Lay Peng

http://www.topspeakeronline.com/

http://www.videoonlineseminar.com/

P.S: Mr. Robert Kiyosaki has his Rich Dad as his mentor while I have him and other Top Speakers and World Class Gurus as mine.

**** DISCLAIMER *****

The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.Copyright © 2007

How Much Can You Afford To Lose?

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One of the reasons that so many people play the lottery is because most of the people can afford to lose a dollar when they do not win. The reason so many people play the dollar slot machines in the casinos is because they can afford to lose a few dollars but they hope to win a lot more money. The problem is that the American population, for at least sixty percent of they cannot afford to lose much more than a few dollars.



That is because they have already financially lost the game of life and yet they still do not know.. Many people will not find out how badly their situation is when they have lost until they had lost their job or have to stop working due to age or medical disability. Hopefully, they will have family members who can afford to and are willing to take care of them financially. These are the people who live at their red line of life so deeply buried in bad debt.








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The other day, Robert Kiyosaki and his wife lost $120,000 in a bad very speculative investment. His close friend was very upset as though it was his money. He said to Robert Kiyosaki and Kim Kiyosaki,”The two of you are very unlucky to lose so much money.” Kim Kiyosaki and Robert Kiyosaki did not reply much because there is no real reason to speak to someone who lives in fear of losing. They did not tell him that they had also made about a million dollars and only lost $120,000 in their portfolio. They also did not tell him that they were really lucky because of two reasons. Reason number one is that they learned a lot more from that $120,000 loss than the million dollar win. In other words, they gain more knowledge from their mistakes. The second reason is because they felt lucky that they could afford to lose that much money and not feel bad about it. If it is back in year 1985, they were in the group of people who could not afford to lose anything.

For Your Financial Freedom

Lay Peng

http://www.topspeakeronline.com/
http://www.videoonlineseminar.com/
P.S: Mr. Robert Kiyosaki has his Rich Dad as his mentor while I have him and other Top Speakers and World Class Gurus as mine.


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The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.Copyright © 2007 topspeakeronline.com/blog

Why is Job Security Not a Problem?

Robert Kiyosaki’s mom and dad grew up during the Great Depression. That historical event seemed to have affected their mental and emotional outlook. That is why they often emphasized the importance of “Get good grades so you can get a safe, secure job.”
If you look at the economy today, the problem is too many jobs. Ask any employer and they will tell you they are desperately looking for good employees.


Today, the issue is not job security, it is the financial security,. This is due to the shift of paying for retirement from the employer to the employee in large part, the shift from Industrial Age pension plans, defined benefit plans, to Information Age plans, defined contribution plans. Today’s defined contribution pension plans are having three major problems that need to be deal with. One is that they are to be funded by the employee and many employees are not putting any money into their plans because they need money to live on. Two is that the plans are indexed to the stock market, which means if the stock market is high, the pension plan is high. If the market should crash, as it has in the last couple of years, so will the employee’s pension plan. And three is that a defined contribution pension plan can run out just when they retire. In contrast, with the defined benefit plan of the Industrial Age, the employer would have supported the employee until the employee passed on regardless of age.








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In America, the biggest concern is over government Social Security programs and Medicare Programs. These programs as you know are in trouble when the politicians are making campaign promises to save them. Of the two, it is the threat to the Medicare system in
America that concerns Robert Kiyosaki most. His worry is as we get older, our living costs may go down, but our medical expenses skyrocket. Today, a growing reason behind many personal bankruptcies is not financial mismanagement but catastrophic illnesses. One catastrophic illness could cost more than the person’s home. A friend of a friend of his was recently injured in an auto accident. He was the sole breadwinner in the home; and had to sell every thing he owned because he had inadequate medical insurance,. To make matters worse, his youngest daughter was diagnosed with leukemia and the family is now seeking charitable donations and assistance from anyone who will help.

For Your Financial Freedom

Lay Peng

http://www.videeoonlineseminar.com/

http://www.topspeakeronline.com/

P.S: Mr. Robert Kiyosaki has his Rich Dad as his mentor while I have him and other Top Speakers and World Class Gurus as mine.

**** DISCLAIMER *****

The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.Copyright © 2007 topspeakeronline.com/blog