I chose this book for two reasons. One, Jim is a billionaire investor who started Quantum Fund with George Soros and two; he is an older father of two daughters. Jim has traveled the world and was curious to see what advice he would give his daughters.
Why is this important to me?
I am not doing this summary to waste your time. My vision is to provide concise action steps that you can take right now to improve your life. I am a big believer in OPE (other people’s experience). If I can learn one thing to reach my goals faster, a book is worth reading.
I want my money to work harder than me. Jim has done this since he retired at 37. He is a billionaire investor who knows how to maximize his time and does not exchange his hours for dollars. One way to truly understand your success is to understand the advice you give your children.
There is very good advice in this book. For the sake of time, I’m going to chat about three of the most important ones.
1. Trust your own intelligence – Half of the knowledge we know today will be proven wrong in the future. The path of knowledge looks like this, one is ridiculed, two vehemently opposed and three understood as pure truth. When someone laughs at your idea, don’t despair because you might find something great.
2. About investing: attention to detail and getting the job done: If you are investing in a stock, read all financial reports and examine the notes carefully. Call the company and talk to management, customers, competitors, and employees. The more you know, the better your chances of success. Getting the job done is critical and this is where 90% of people fail. It is very easy to simply deposit money into an account and buy mutual funds based on the advice of a financial planner. The problem with doing this is the herd mentality. The sheep are slaughtered. As George S. Patton said, if everyone thinks the same, someone is not thinking.
3. Change always happens – One thing that is constant is change. Be a history student because nothing is really new. It has happened before and you can work out the result as a history student. The great tulip bubble is different from the internet boom and housing collapse. People got caught up in hysteria and raw emotion / greed took over. This is how all the bubbles end. Really study change and understand that the more true something is, the less profitable it will be.
A gift for my children is a quick read with good advice. Jim Rogers is an interesting person. He has traveled the world and usually does his radio interviews on his treadmill. Understand that the most precious asset is time and do not waste it.
I hope this short summary has been helpful to you. The key to any new idea is to incorporate it into your daily routine until it becomes a habit. Habits are formed in just 21 days. One thing you can take away from this book is to take advantage of OPE. I emphasize this in several of my book summaries because it is vitally important. Jim retired at the age of 37 because he also took advantage of the experience. Tony Robins became a multimillionaire in his twenties because he took advantage of his associations and the experience of highly successful people who have achieved the goals he wanted.