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Risk

by Creating Influence
5 replies
From my experience, 'rich' people don't like to take risks. This probably sounds opposite to the common advice of more risk equals more reward. When people suggest that you 'up the ante' I think what they really mean is not to increase risk but to rather to play a bigger game.

When you read the books of people like Donald Trump and Robert Kiyosaki, they are always looking for 'guarantees' on their money. The idea is to limit risk, not to increase it. Robert Kyiosaki even says in some of his books that he doesn't like to risk his own money.

OK I know we are not all self made billionaires, but I suppose the idea is there. Always have a plan B if things do go wrong and try to have guarantees if that is possible. I'm not suggesting that we try not to risk our money; all I'm saying is try your hardest to limit risk without having to give up reward.

Robert Kiyosaki even states that good investors are like shoppers, they get all their money back as quickly as possible while keeping the asset.

Here is a video from Tony Robbins:
What Sir Richard Branson Taught Tony Robbins About Risk
#risk
  • Profile picture of the author Odahh
    we all take risks ..most of us just take the same ones everyone else does so we get the same reward and many of the same losses ..

    there is a huge gigantic .. difference ..between investing and speculating/gambling or working for wages..or running your own business and working on profits ..

    most people ..let other people take the big nasty risks for them ..so those other people get the rewards and if things go bad those other people get the debt..or get to tell them they no longer have a job .

    it is more about being wiling to manage risks and limit the downside ..
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  • Profile picture of the author nurz
    In this life, risk is always part of the game. We all take risk in everything we do, be it small like eating junks that we know could harm our bodies or big like going through decisions that could make or break our finances. I suppose we just have different ways of calling them.
    Rich people have bigger to lose that’s why they plan their decisions more carefully and take actions only when the ratio of winning is bigger than that of losing.
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  • Profile picture of the author jmferret
    Few people understand they risk more in the long-term by not risking small while they're young.
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  • Profile picture of the author Trey Morgan
    Yeah when you're starting from scratch you have to take more risks without having much to fall back on. When you're a billionaire, you don't have to take as many risks and even when you do you will have a lot more to fall back on.


    At the end of the day, if you don't take any risks in life, you won't achieve anything worthwhile.


    You have to be willing to take risks for something you believe in, even if the odds are not in your favor. However, it's wise to take risks only when the reward is greater than the risk.
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  • Profile picture of the author Sangfroid
    Originally Posted by Creating Influence View Post

    From my experience, 'rich' people don't like to take risks. This probably sounds opposite to the common advice of more risk equals more reward. When people suggest that you 'up the ante' I think what they really mean is not to increase risk but to rather to play a bigger game.
    When you read the books of people like Donald Trump and Robert Kiyosaki, they are always looking for 'guarantees' on their money. The idea is to limit risk, not to increase it. Robert Kyiosaki even says in some of his books that he doesn't like to risk his own money.
    Hi Creating Influence,

    Nice in theory but not always possible to do in real life.

    And, I believe Mr. Trump went bankrupt. So much for
    guarantees!

    Be Well
    Don
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