Why School Keeps You Poor: The Money Lessons They Don’t Teach

Summary

---

Podcast Summary: Rich Dad Radio Show — "Why School Keeps You Poor: The Money Lessons They Don’t Teach"

Date: September 17, 2025
Host: Robert Kiyosaki
Notable Guests: Andy Schectman, Economic Analyst, Rich Dad Associates, Financial Educator

---

Episode Overview

This episode of The Rich Dad Radio Show, hosted by Robert Kiyosaki, challenges traditional financial wisdom by examining the lessons on money that schools fail to teach—focusing on the difference between "good" and "bad" money, geopolitical shifts in global finance, the power of real assets, and practical strategies for financial independence. Kiyosaki and his guests highlight the flaws of the current U.S. financial system and make a compelling case for education outside the standard curriculum, particularly regarding personal finance, investing, and how world events impact individual wealth.

---

Key Discussion Points & Insights

1. The End of the American Empire & Gresham's Law

[01:29] Robert Kiyosaki on Gresham's Law:

• Kiyosaki describes the devaluation of the U.S. Dollar, calling it "toilet paper" compared to gold and silver.
• He references the removal of gold from the U.S. dollar in 1971 and silver from coins in 1964, suggesting these moves underpin the current instability.
• Quote: “Bad money drives out good money. So this is bad money here. It's called the US dollar. I call it toilet paper today. And this is good money here. This is silver and this is gold.” ([01:35])

2. The Rise of BRICS and the Decline of U.S. Hegemony

[03:17] Andy Schectman:

• Schectman highlights how U.S. "blunders" and the weaponization of the U.S. Dollar have driven other nations to unite against Western dominance.
• The BRICS (Brazil, Russia, India, China, South Africa) bloc is gaining momentum as an economic and political counterweight, with numerous countries lining up to join.
• Quote: “The US blunders, I believe, are inspiring the rest of the world… to unite in opposition to it… in politics and economy and trade and currency and finance and culture and education and international security.” ([03:30])

[22:32] Expansion of BRICS:

• Schectman details BRICS expansion, including applications from countries like Saudi Arabia, Argentina, Iran, and more.
• Emphasis on BRICS forming a coalition not just economically, but militarily and diplomatically.

[24:29] Kiyosaki on the Shift in Reserve Currency:

• The dollar’s status as the global reserve currency, established at Bretton Woods in 1944, is under threat.
• Quote: “This is toilet paper today because this is now fake money. So the rest of the world is saying, enough of you sending us your toilet paper.” ([24:51])

3. U.S. Sanctions, SWIFT, and the Rise of Alternatives

[25:33] SWIFT Sanctions Explanation:

• Schectman explains SWIFT as the backbone of international payments with the U.S. able to exclude countries as a form of sanction.
• Exclusion pushes countries to create or join alternative financial structures and trade in local currencies/gold, weakening dollar dominance.
• Quote: “The SWIFT system is basically the oxygen… for cross border payments to breathe. In order to trade dollars, you have to have access to the SWIFT system.” ([25:36])

4. Practical Wealth-Building: Real Assets Over Paper Assets

[04:49] Rich Dad Team on Real Estate:

• Real estate highlighted as a vehicle for creating passive income and achieving financial freedom versus reliance on traditional stocks or 401(k)s.
• Kim (Kiyosaki's wife) started with a small, highly leveraged property investment that generated positive cash flow and changed her perspective.
• The Rich Dad approach prioritizes “infinite returns” through strategic leveraging and tax advantages (depreciation/amortization).

Notable Quote:
“She bought a little two bedroom, one bath house… got 25 bucks a month or 50 bucks a month. It changed her life. She says, I can make money with nothing.” ([05:14])

[07:18] Linking Cash Flow to Freedom:

• Discussion on matching passive income to monthly expenses as the key to escaping the rat race.
• Quote: “If they can create enough cash flow with their portfolio to cover their monthly expenses, that is when you're financially free.” ([07:37])

[08:34] Kiyosaki’s Portfolio:

• Kiyosaki describes controlling his own companies and investing in assets he understands and can manage.
• Rejection of “diversify into stocks, bonds, mutual funds” advice typically found in financial education.
• Advocacy for income from assets like real estate, gold mines, and oil wells.

5. Macro Economic Lessons: “Wealth Transfers” and Financial Cycles

[13:47] Economic Analyst on Economic Parallels:

• Explains historical cycles of inflation, recession, and the impacts of monetary tightening (raising interest rates).
• Makes connections between past crises (post-WWII, 1974, 1984, 2008) and today’s inflationary environment.
• Warning of a potential sharp recession if current conditions persist.
• Quote: “Everyone extrapolates inflation out forever. What actually happens is that consumption falls because we've tightened monetary conditions… so you're actually feeling poorer.” ([16:24])

6. Bitcoin, Gold & Silver as “Insurance”

[10:17] Kiyosaki’s View:

• Bitcoin, gold, and silver are not investments but “insurance policies against the idiots running the Fed, the Treasury, and Wall Street.”
• Critical of mainstream financial institutions and their creation of “fake money.”
• Quote: “I don't consider bitcoin, gold or silver investments. I consider them insurance policies against the idiots running the Fed, the Treasury, and Wall Street.” ([10:17])

[11:18] Alternative Asset Advocacy:

• Kiyosaki advocates physical assets for wealth protection.
• U.S. national debt and debasement of the dollar used as arguments to avoid traditional financial vehicles (401k, mutual funds).

7. The Missing Money Lessons from School

[27:15] Financial Educator’s Story:

• Shared personal loss of wealth due to lack of financial education.
• Emphasizes “wealth transfers”—when money doesn’t disappear but moves from the uninformed to the informed.
• Importance of “self-education” after formal schooling fails to prepare people for real-world financial success.
• Quote: “I was really good at making money, but I didn't understand this financial system… So for the last 12 years I've studied the macro. I learned a concept called wealth transfers. Money doesn't disappear, it transfers.” ([27:15])

[28:37] Teaching Financial Lessons to Kids:

• Advocacy for parents to educate their children about money, since schools don’t.
• Quote: “We educate our kids, not the teachers. And if we don't do that, we're in trouble. Big trouble.” ([28:31])

8. Power Structures: Food, Energy, and Money

[31:21] Henry Kissinger & the Levers of Control:

• The episode closes with a notable Kissinger quote about control via food, energy, and money.
• Guests connect this insight to current events—leaders who control these elements wield the real power.
• Quote: “If you control the food, you control the people. If you control the energy, you control the continent. If you control the money, you control the world.” ([31:21])

---

Notable Quotes & Memorable Moments

• Robert Kiyosaki: “Bad money drives out good money. So this is bad money here. It's called the US dollar. I call it toilet paper today. And this is good money here. This is silver and this is gold.” ([01:35])
• Andy Schectman: “The US blunders, I believe, are inspiring the rest of the world… to unite in opposition to it.” ([03:30])
• Financial Educator: “I was really good at making money, but I didn't understand this financial system… Money doesn't disappear, it transfers.” ([27:15])
• Panel: “If they can create enough cash flow with their portfolio to cover their monthly expenses, that is when you're financially free.” ([07:37])
• Kissinger (via Financial Educator): “If you control the food, you control the people. If you control the energy, you control the continent. If you control the money, you control the world.” ([31:21])

---

Timestamps for Key Segments

• 01:29 — Gresham’s Law & the Decline of the Dollar
• 03:17 — The BRICS Alternative & U.S. Hegemony
• 04:49 — Real Estate as the Path to Financial Freedom
• 07:18 — Passive Income vs. Expense: Defining Financial Freedom
• 13:47 — Historical Context of Inflation, Recessions, and Wealth Transfers
• 16:24 — Monetary Tightening and Its Impacts
• 22:32 — The Expansion of BRICS and Its Implications
• 24:29 — Reserve Currency Status & De-Dollarization
• 25:33 — The SWIFT System: Sanctions & Alternatives
• 27:15 — The Concept of Wealth Transfers and Self-Education
• 28:37 — Teaching Kids Financial Lessons
• 31:21 — Kissinger’s Framework: Control of Food, Energy, and Money

---

Tone & Style

Candid, conversational, and sometimes provocative, Kiyosaki and his guests mix personal anecdotes with sharp global analysis, using humor and plain language to challenge myths about money and expose overlooked financial realities.

---

Summary Takeaways

• Schools do not teach crucial money lessons: Real financial education comes from self-study, mentorship, and practical investment experience.
• Traditional “safe” investments may not actually provide security: The current economic system is unstable; physical and cash-flowing assets (real estate, gold, silver, etc.) offer better protection.
• Understand the macroeconomy: World events (like BRICS expansion and the weaponization of the dollar) directly impact personal wealth.
• Parents must fill the education gap: Teaching the next generation about money is essential for truly breaking free from the "rat race."
• Act, don’t wait: Preparation and proactive investing in real assets can provide security amid global uncertainty.

---

Transcript

[Robert Kiyosaki]

This message is brought to you by Apple Card. Each Apple product, like the iPhone, is thoughtfully designed by skilled designers. The Titanium Apple Card is no different. It's laser etched, has no numbers, and earns you daily cash back on everything you buy, including 3% back on everything at Apple. Apply for Apple Card on your iPhone in minutes, subject to credit approval. Apple Card is issued by Goldman Sachs Bank USA Salt Lake City Branch terms and more at applecard.com introducing Family Freedom.

[T-Mobile Advertiser]

From T Mobile we'll pay off four phones up to $3200 and give you four free phones all on America's largest 5G network. Visit your local T Mobile location or learn more@t mobile.com familyfreedom up to $800 per line via virtual prepaid card typically takes 15 days. Free phones via 24 monthly bill credits with finance agreement eg Apple iPhone 16128 gigabyte 82999 eligible trade in eg iPhone 11 Pro for well qualified credits end and balance due if you pay off early or cancel contact T Mobile over.

[Economic Analyst]

The years, the Rich Dad Radio show.

[Robert Kiyosaki]

Has sparked powerful conversations, challenged conventional wisdom, and revealed the truths about money most people never hear. In this special compilation, we've pulled together.

[Andy Schectman]

Some of the most eye opening, controversial and unforgettable moments so you can revisit.

[Robert Kiyosaki]

The lessons that continue to change lives. Get ready for the best of Rich Dad Radio.

This is the Rich Dad Radio show, the good news and bad news about money. Here's Robert Kiyosaki.

Hello, Hello. Hello. Robert Kiyosaki. You know that saying, may you live in interesting times. I think this is interesting. Spooky and empire changing. I think we're watching the end of the American empire and there's a law called Gresham's Law. And Gresham's law says bad money drives out good money. So this is bad money here. It's called the US dollar. I call it toilet paper today. And this is good money here. This is silver and this is gold. So what happened in 64 and 71 they took the gold out of this paper, toilet paper right here. And in 64 they took it out of our silver coins. So Gresham's Law is in action today. America has been kind of a bully because we had the reserve currency of the world. So this is emergency podcast number two. This number one, please go to it is burning up the airways right now. Our special friend and always at the right time is, you know, and Andy Schectman and he is adding so much dimension to my thoughts and I think his wisdom and his experience and his foresight as to what's happening in the world is crucial. So this emergency podcast, number two, the thing we're going to be talking about today is what happens if and when Mexico joins the brics. What are the repercussions? What are the shockwaves? What's going to happen? Or just say in Hispanic capasa, what's going to happen? So welcome once again, Andy. This is number two. Number two, in a couple of days.

[Andy Schectman]

Well, it's good to be here, Robert. It's good to be here. Thank you for having me. Yeah, there's a lot to talk about. I mean, the BRICS formation is something that I have been singularly focused on for the last few years, certainly. And I know you wanted me to just briefly describe what the BRICS are to your listeners. And for those that haven't been following this information, I think it's really very, very, very important. And you know, you know, I'd like to first throw out that so many things are happening all around us and while they're significant, these individual events in and of themselves have less significance than when you put them all together. And the things that are happening inside the blunders, if you will, that are happening inside the United States only exacerbate the consequences that are happening and the realities that are happening outside the border. In other words, the US blunders, I believe, are inspiring the rest of the world, the international community, to unite in opposition to it and in joint establishment of mutually beneficial platforms of politics and economy and trade and currency and finance and culture and education and international security and all of these things that, as you mentioned, the bullying and the sanctions and the hegemony and the hypocrisy of the West, I believe is coming to an end.

[Rich Dad Associate]

Kim met my rich dad, you know, she's going, what is real estate? What is real estate? So we moved to Portland.

Yeah.

And she cut her teeth on a little place called Sell. Eastmoreland.

Yeah. There's a golf course. Great golf course.

Eastmoreland Country Club. Eastmoreland golf course. And so we, she started buying her first little house there. The market interest rates were like 9, 9 or 10%.

Okay.

And she bought a little two bedroom, one bath house. She put almost nothing down and she got 25 bucks a month or 50 bucks a month. It changed her life.

Yeah.

She says, I can make money with nothing.

You're right.

And now, you know, Kim's a frickin monster.

In a good way.

But it Changes your mind, you go, I don't have to spend the rest of my life working. And interesting. Her father was a Mr. Stocks and Bonds guy. He goes, what are you doing? You're investing in real estate. And she had to fight her dad. And thank God she had met my rich dad and my poor dad. And so she had three dads to contend with.

Yeah.

Today, I mean, like, you know, we. We bought the biggest. I invited you to come. Kenny and I are in the biggest gold mine in the world.

Yeah.

We paid nothing for it. We get in for nothing. But that's the infinite return which Kenny's having a couple of weeks from now.

Yeah. What was fascinating, going back to that last event that we did in Dallas that you referenced, is we did a property tour, and we saw a lot of Kenny's properties there in the Dallas Fort Worth area, Some of his apartment complexes. And after he took the group around 100% debt. Well, he went. He actually had a whiteboard. Did he tell you that?

No, no, no.

Yeah, so he had a whiteboard. We did a tour, and he took that whiteboard and he put it in the office. And then he had all of our. The people in our mastermind group. He walked through the numbers, you know, when he bought it, how much he paid for it, how he paid for it, and then all the refinances that he's done through that forced appreciation, and that how that equals these infinite returns. Yeah.

We have no money in the deals.

Yeah. Yeah, that's right.

And it's hundreds of thousands a month in income, tax free.

Yeah, right.

Because depreciation, amortization.

Yep, yep.

But that's what we teach. So you.

[Robert Kiyosaki]

You got.

[Rich Dad Associate]

So you invested in property. Where was your property?

In Kansas City.

Perfect place.

Yeah. You know, and my objective might help some people kind of think about real estate or assets in a different way. The first goal that I had when I retired is just to look at my monthly expenses and say, how can I get my money to cover those expenses?

Yeah, yeah, yeah.

You see? And so how can I get my cash flow to cover these things? So then I know that I'm never drawing my savings down. And I think it sounds easy, it sounds commonsensical, but very few people just kind of connect those dots and realize that if they can create enough cash flow with their portfolio. With their portfolio to cover their monthly expenses, that is when you're financially free.

Yeah, that's a cash flow game out of the rat race, all this stuff. You know, you got 10,000amonth coming in you got 7,000 expenses, 3,000 net. You're free. Yeah, and there's tax breaks for it, but in school, I get a 401k. I'm going, are you kidding me?

Right?

But this is the. This is the challenge for Dad's company. Like, let's listen to Dalio and all the very smart guys, but they're all stock guys. They always say, get a diversified portfolio of stocks, bonds, mutual funds. I don't have any. I mean, I have companies I took public myself.

Right.

I own the stocks and, you know, like silver companies that took public and all this. My stocks I control. And then we make most of our money from Kenny. Not most of it, but we get income from 13,000 or 14,000 rental units with no equity in them. It's pure debt. And we pay no taxes. And then we invest in oil wells, and we don't invest in oil companies. Oil wells. And so when Biden took the Keystone XL pipeline, he cut that project. Oil went from $30 a barrel to $130 a barrel. 400% raise in one day. Actually liked Biden for about 20 minutes.

[Robert Kiyosaki]

Yeah.

[Rich Dad Associate]

But unfortunately, as you know, George, the problem is higher oil prices cause higher fuel prices, higher food prices, which is going to wipe out the poor and middle class.

Yeah, because they're the people that get disproportionately affected because a higher percentage of their income goes to those things that are going up in price.

And they want to tax the rich, but there's too few rich.

Yeah, well, what? They don't.

Yeah, we don't pay taxes anyway.

[Economic Analyst]

Bitcoin has also been tied to other.

[Andy Schectman]

Assets, but only in various times.

[Economic Analyst]

To get just a brief summary, bitcoin was pretty much tied to the s.

[Andy Schectman]

And P500 for a little bit.

[Economic Analyst]

And then as the oil crashed in March, I believe everything got liquidated.

[Andy Schectman]

So bitcoin is considered a risky asset.

[Robert Kiyosaki]

Because it is volatile, and then it.

[Andy Schectman]

Was not shielded away from all the capital being taken out of the markets.

[T-Mobile Advertiser]

So I just want to make sure.

[Andy Schectman]

That people realize it's not really correlated with any asset.

[Economic Analyst]

I'd say it's like a hedge or.

[Andy Schectman]

Actually insurance to any other assets that you're holding.

[Robert Kiyosaki]

Yes, and that's exactly the term I use. You see, my last 20, I talk about. I don't consider bitcoin, gold or silver investments. I consider them insurance policies against the idiots running the Fed, the Treasury, and Wall Street. And they're a bunch of criminals as far as I'm concerned, because they're printing trillions of trillions of dollars at the same time causing billions of people to go unemployed. Are you nuts? Are you nuts? I mean I can't. This is like heaven. I, but I know for people sitting at home they're going, oh, I've lost my job, I can't pay my mortgage. And I understand, you know, you can't pay the car payments and all this, but the name of this program is the Rich Dad Radio show. The good news and bad news about money. So if you're sitting at home contemplating a navel saying, well, can I get my cocktailing job back or you know, what restaurant am I going to work for next? I think you missed the biggest opportunity in world history. That's my point of view right back.

Most so called financial gurus are just talking their book. They're not teaching, they're selling. When I say I buy gold and silver, I'm not selling you coins. I'm showing you what to do to survive a broken system. And make no mistake, the system is broken. America Debt is over $37 trillion. The dollar is down 10%, gold is up 34%, silver is up 4, 42% and the S&P is only up about 10%. Which fund do you trust? I do not trust the dollar. I do not trust Wall Street. I trust real assets I can hold in my hand. That is why you should get the Rich Dad Wealth Defense Guide from Priority Gold. This guide shows you the three easy steps to move part of your 401k and IRA into physical gold and silver. Legally tax free, penalty free. Call Priority Gold right now at 866-703-9895. Ask for your copy of the 2025 Rich Dad Wealth Defense Guide or text GUIDE to 24999. No pressure, just real answers. I'll say it again. Call 866-703-9895 or text the word guide to 24999 right now. I buy gold and silver. I rarely sell. This is not a pitch. This is the truth. The only question is, will you act?

[Podcast Advertiser]

Imagine you're a business owner who has to rely on a dozen different software programs to run your company. None of which are connected and each one is more expensive and more complicated than the last. It can be pretty stressful. Now imagine Odoo. Odoo has all the programs you'll ever need and they're all connected on one simple, easy to use platform, giving you peace of mind that your business is always part of being taken care of from every angle. Odoo has user friendly Open source applications for everything. We're talking CRM, accounting, inventory, manufacturing, marketing, HR and everything in between. Basically, if your business needs it, Odoo has got it. Odoo sounds pretty amazing, right? So stop wasting your time and money on those expensive disconnected platforms and let Odoo harmonize your business with smart, simple, efficient software that can handle everything for a fraction of the price. It doesn't get much better than that. So what are you waiting for? Discover how Odoo can take your business to the next level by visiting odoo.com that's o d o o.com odoo modern management made Simple.

[Economic Analyst]

So, okay, let's go back and say I'm going to go take you through a history lesson.

[Robert Kiyosaki]

Good.

[Economic Analyst]

Then we'll get to today. That's exactly why I'm concerned. So why World War II? World War II was a fascinating period because like Covid, the entire world had basically been stuck at home or been on, you know, on battlefields. Everyone came back. There was no supply of commodities and goods. Global supply chains were broken and everybody came back and started consuming again. And guess what? Inflation went up to 13% or something, maybe even higher. And that period was fascinating because interest rates went up and the first thing that happened was the economy went straight back into recession and inflation went negative because it was a massive tightening of monetary conditions. You raised the cost of goods on people and didn't raise their salaries enough. People couldn't get the goods that they wanted exactly like now. And everything collapsed. So we went back into recession and then eventually some better times. And I'll come back into the 1940s and 50s because I think it's a really important parallel that most people misunderstand. The next time we saw anything remotely like this was 1974. A lot of people tell you it's the 70s again. Inflation, inflation. Well, the inflation episode we had in the late 70s was driven by demographics. That was the baby boomers entering the workforce all at the same time. It was the largest demand shock the world had ever seen. And we had a supply shock of these oil crisis of the Arab oil embargo. That's not repeating now. What is actually More similar is 1974. 1974 was the Arab oil embargo. The price of oil tripled and interest rates went up, inflation shot up and the immediate effect was the economy went down the toilet almost. Do not pass go. The stock market fell 50%. And the ISM survey, which is a good guide to the business cycle, it's the Institute of Supply Manager survey anytime it crosses below 50 suggests the economy is getting weak. A recession comes at about 47. It hit 30, which was the lowest in all history. And it happened in a space of four months. It went from roughly where it is today, which is around 55, and went to the lowest level in four months based on exactly the same kind of setup we've got now.

[Robert Kiyosaki]

So are you saying that the 70s and now are pretty close?

[Economic Analyst]

Yes. And inflation fell in 1974. Afterwards, people are still thinking inflation goes on forever. It did not. And it did not in the 1940s either. Then the next one up is 1984. 1984 we saw an issue where global trade, there was a huge amount of trade disputes. The dollar was pretty strong like it is now. Interest rates were going up and inflation was high. And everybody was fearing, looking back and saying, oh, we don't want the early 80s, late 70s again, the inflation, inflation. So Volcker was tightening rates too much and the economy collapsed. It didn't go to recession because the Fed quickly started cutting rates, but the dollar went up a lot more and created a lot more problems. And we ended up with a plaza accord in 1985 when everybody had to stop the dollar going up from destroying the global economy. So then the next time we see something similar was 2008. 2008, if you remember, the oil price was at $147. Inflation was 6%. The Fed had been cutting into that because the economy was imploding. 2018, exactly the same. Oil prices high, inflation high. The Fed were hiking rates, trying to tighten the balance sheet. And what happened is the economy rolled over really quickly again. Okay, so what's going on here? Why does this phenomena keep happening? Everyone extrapolates inflation out forever. What actually happens is that consumption falls because we've tightened monetary conditions. Tightening monetary conditions to ordinary people means the cost of your mortgage has gone up at the fastest pace in history over a one year period. Mortgage rates have never risen this fast. So any money you've borrowed has suddenly got much more expensive. Your wages haven't kept up with the cost of just basic services like food. So you're actually feeling poorer. So you can't consume as much and you start not consuming other things. People overextended on housing because they rushed into housing in 2020 and 2021 and the rates have gone up for them. Also. Just the rise in things like the cost of oil has meant that gas prices, all of this stuff, and then the rise in the dollar, which is a monetary tightening all of These things get together would suggest, and I put them on a chart, it suggests that the ISM is going back to 30, which is as it was in 1974, which is a terrifying fall. Now, whether it's.

[Robert Kiyosaki]

What does ISM stand for?

[Economic Analyst]

Institute of Supply Management. It's the survey of buyers at corporations who buy goods and services. They ask them what is your read on the economy, how much invent have you got, what are prices paid, like that kind of stuff. And they create these surveys and they're readily available online and you can have a look at them. And they go up and down with the economy, they tend to lead the economy. And it's suggesting that if we're not careful we could have a very sharp, nasty recession, meaning kind of a negative 5% GDP recession. It might be short depending what the Fed does. And we'll come on to that in a bit. So we've got the setup that we've seen many times in the past. We've got the forward looking indicators, this monetary tightening suggesting we've got some real pain to come. Then the anecdotal evidence. We're seeing all the tech companies who were bulletproof laying off staff and giving earnings warnings because everybody can't raise prices enough so their margins are falling and people have overextended. Amazon said we've hired too many people. They're one of the biggest employees in the United States. Okay, this is not good. But the answer to higher prices is higher prices. And that's what's happened. And everybody's looking around you themselves saying, well, what's going to break when the, when stuff like this happens, the market goes down, something's going to break.

[Robert Kiyosaki]

We're now a credit based economy. In other words, we print fake money and we spread it throughout the world, but the rest of the world is actually producing the food, the gold, the silver, the machinery and all this. So finally the rest of the world said enough's enough. So I remember years ago because I operate in South Africa a lot, I love South Africa. But they joined the brics. Brazil, Russia, India, China, South Africa, that was the original bricks. And now they're gaining force and momentum. And I think people have heard the word brics, but very few people know. Che pasa? What does the, what does, what caused the BRICs to form, Andy? Well, you know, but what does it mean to us? Because otherwise, so what, you know, Right.

[Andy Schectman]

Well and I think, I think by the end of this discussion people will certainly understand it. But you're right. Brazil, Russia, India, China, South Africa, comprise the brics. And these are, these are countries that are uniting in common interests and doing it without the bullying, if you will, of the Western hegemony. And they're beginning to set themselves apart from the rest of the world. And what really started my awareness to this was the rise of the Chinese Belt Road and Rail Initiative, which is the largest infrastructure in human.

[Robert Kiyosaki]

Go back to the brics. What, what does it mean? Because we go into the Belt and Road, we're going to lose a lot of people right now, because that's a whole nother discussion. But what is a brics? What does it mean? Why do you think they're so important today? I mean, they're the most powerful force in the world today.

[Andy Schectman]

Well, and that's kind of what I'm getting at with talking about the Belt Road is this, this coalition of countries standing up against the Western hegemony. And that's really what it is. It's not just Brazil, Russia, India, China and South Africa. You have well over a dozen countries that have already applied, such as Algeria and Argentina and Iran, the United Arab Emirates, Nicaragua, Turkey, Indonesia, Senegal, Nigeria, Afghanistan, Egypt, Kazakhstan, and the biggest one of all, Saudi Arabia, has formally applied to the BRICS nations. And so when you talk about this growing cohesion of countries, there are others that they're already set their eyes on. And in Brazil's backyard, you have Argentina. In Latin America, you have Nicaragua. In Central America, Algeria, you have Egypt, excuse me, near South Africa, you have Algeria, Egypt, Iran, Saudi Arabia, as we just talked about, United Arab Emirates, Nigeria, Senegal, Afghanistan, Kazakhstan, India, Indonesia, Thailand. All of these countries and their neighbors that are growing together are forming a massive, massive, very imposing, not only from a gdp, but you put all these countries together and their military might is very, very strong as well. And Those are the BRICs. Plus now they're talking about adding more countries, including Costa Rica, El Salvador, Guatemala, Honduras, Panama, Bolivia, Chile, Cuba, Ecuador, Peru, Uruguay, Venezuela, Azerbaijan, Mongolia, Kazakhstan, Turkmenistan, Uzbekistan, Pakistan, Sri Lanka and Vietnam. The list goes on and on and on.

[Robert Kiyosaki]

And so what that means is right now they're dealing in this. Correct. 1944, this became the reserve currency of the world right after World War II at the Bretton Woods, New Hampshire. Like I said, this is toilet paper today because this is now fake money. So the rest of the world is saying, enough of you sending us your toilet paper.

[Andy Schectman]

That's exactly right.

[Robert Kiyosaki]

You take our materials, you take our production, you take this and you send us this trash here. So that's what Andy is talking about, is so crucial. The Average person can't see it. So now can you go into the Belt and Road project? Because that's the right.

[Andy Schectman]

And equally as important to being forced to take the dollar is if you are on the wrong side of the Western, on the western ideology, then you get sanctioned, you get kicked out of swift. And this, the weaponizing of the dollar I think is what has accelerated the union of all of these countries. And when.

[Robert Kiyosaki]

Andy, can you explain what the SWIFT is? Because you know, guys like me.

[Andy Schectman]

Sure. The SWIFT system is basically the oxygen that is needed for cross border payments to breathe. In other words, you're not allowed to send your money from one country to another unless it routes through the SWIFT system, which is a, basically a computer system if you will, or a message board system that allows banks to trade money back and forth and clearing through a US settlement bank system. So in order to trade dollars you have to have access to the SWIFT system. And if you are kicked out of the SWIFT system, you cannot trade dollars. And if you can't trade dollars, you can't buy oil and you can't sell your goods globally. In essence, it isolates you. Well, unless of course you're trading your Iran and you're trading your oil to China for the Petro Yuan bond which is immediately convertible.

[Robert Kiyosaki]

That happened. But, but didn't America exercise swift? I mean they punished a whole bunch of countries just recently.

[Andy Schectman]

Absolutely. And no better example than what they did with Russia kicking them out of swift. And you saw what Russia did in retaliation. They are selling their goods in, in. In gold and in rupee and for ruble and in. For yuan. And they are sidestepping it. Is this bullying, as you said at the beginning. It is this hypocrisy that is making everyone come to the table. And before I talk about the Belt Road, I want to mention one thing that's really very interesting. We talk about the glue, right? The glue that makes all of this stick is the, is the backing of a new system with commodities such as gold.

[Financial Educator]

I was really good at making money, but I didn't understand this financial system. Like what the heck just happened to me? And so etf.

[Economic Analyst]

Exactly.

[Financial Educator]

WTF happened to me. I was good at making money, but I didn't realize there was these forces that had control over my life that I wasn't really paying attention to.

[Robert Kiyosaki]

The macro.

[Financial Educator]

The macro. And so for the last 12 years I've studied the macro. I learned a concept called wealth transfers. Money doesn't disappear, it transfers. And so when I lost my wealth, somebody else got that I didn't like that.

[Robert Kiyosaki]

That's a very good point.

[Financial Educator]

I didn't like that. And so I.

[Podcast Advertiser]

And that's happening today.

[Financial Educator]

And it's happening today. And so I realized there's certain times and conditions where these wealth transfers happen. And so I've spent the last 12 years studying these wealth transfer. Figure out how do I get on the receiving end instead of being on the receiving end of those things.

[Rich Dad Associate]

So where'd you grow up?

[Financial Educator]

Yeah, so I grew up in Southern California.

[Rich Dad Associate]

Where in Southern California?

[Financial Educator]

In Orange County. I lived in Texas until I was in junior high and then I moved to California with my parents. My dad had to. We had to leave California because the real estate market crashed. He was in construction. California was booming. So we went out there and grew up on the beach, surfing. A little bit similar to your upbringing. Right. On the beach, which is a good life. And so, yeah, so I live in Southern California. I have a family, have a couple kids that I'm trying to raise up the right way. My daughter's gonna be splashing on the scene here pretty soon. You'll be, you'll be seeing and hearing from her soon.

[Rich Dad Associate]

I think that's a great idea that, you know, you. We. We educate our kids, not the teachers.

[Financial Educator]

Yeah.

[Rich Dad Associate]

And if we don't do that, we're in trouble. Big trouble.

Yeah.

Anyway, thank you. I'm glad you're doing that.

[Robert Kiyosaki]

And so how did you get into the education piece and kind of getting.

[Podcast Advertiser]

Trying to figure out what's going on today. And we're gonna get into what we can do to turn this thing around.

[Financial Educator]

Yeah. So after, after making a bunch of money and then building a couple businesses and then losing a bunch of money, I was like, I got to figure this out. And so, you know, when your pain is high enough, you'll figure out a way. And so I just started digging into what. What was I missing in my education? We talked about that. I vowed to my family like this, my wife and my young daughter at the time. I like, this will never happen to me again. I'm going to figure this out. Trust me. And so I just started pouring into that about. I started investing or buying all these investment newsletters and you know, every. Everybody, I became a gold bug.

[Robert Kiyosaki]

And we'll come back with a final word from Rich Dad.

This message is brought to you by Apple Card. If you're like me, you might be considering getting a new iPhone, but have you considered upgrading your credit card? When you use Apple Card with Apple Pay or. Or the laser etched titanium Apple Card. You can earn unlimited 3% Daily Cash back on everything you buy from Apple, whether it's a new iPhone, an iPhone case, or even a service like Apple Music or Apple TV. Plus earn 3% back on the Apple products and services you love. It's an easy decision. You'll only wonder why, while you weren't doing it sooner. Subject to credit approval Apple card issued by Goldman Sachs Bank USA Salt Lake City Branch terms and [e-mail] let's analyze.

[Podcast Advertiser]

This week's tech innovations and startup moves.

[Economic Analyst]

Honestly, Elena, I didn't track the updates, but I did switch to T Mobile.

[Andy Schectman]

With their new Family Freedom offer.

[Podcast Advertiser]

That's not the disruption we're covering.

[Economic Analyst]

Well, I'm pivoting from AT&T and scaling.

[Robert Kiyosaki]

Up with T Mobile.

[Andy Schectman]

They paid off my family's four phones up to $3200 and gave us four.

[Podcast Advertiser]

New phones on the house Unicorn status.

[T-Mobile Advertiser]

Introducing Family freedom. Our lowest cost will switch our biggest family savings all on America's largest 5G network. Visit your local T Mobile location or learn more@t mobile.com familyfreedom. Up to $800 per line via virtual prepaid card typically takes 15 days. Free phones via 24 monthly bill credits with finance agreement eg Apple iPhone 16 128GB8 2,999 eligible trade in eg iPhone 11 Pro for well qualified credits end and balance due if you pay off early or cancel contact T Mobile.

[Financial Educator]

I reference quite often what Henry Kissinger said, which was maybe a warning to the world, but I think it was more, more of a, of a call to arms on their side. So he said if you control the food, you control the people. If you control the energy, you control the continent, if you control the money, you control the world.

[Rich Dad Associate]

And let's back up. A lot of people don't know who Kissinger was or he's still around. He's still alive.

[Financial Educator]

He's still alive. Yeah, he's still alive.

[Economic Analyst]

He's pretty old.

[Financial Educator]

Well, he's Secretary of State. Right.

[Rich Dad Associate]

For Nixon.

[Financial Educator]

Yeah. So he opened the door to China. Opened the door to China, but also, you know, instrumental throughout Europe as well during that time of the, you know, coming out of the World War II, kind of redrawing the world and, and setting peace and stuff like that. So he was very influential and he still is today.

[Rich Dad Associate]

Right.

[Robert Kiyosaki]

And he was teaching at, was it.

[Podcast Advertiser]

MIT or Yale or one of the.

[Robert Kiyosaki]

Big college, one of the big universities is where Klaus Schwab met him and studied under him.

[Financial Educator]

That's right, that's right. So Klaus Schwab studied under. I forget which university it was, but yeah, he studied under him and so he's carried on the same philosophies.

[Podcast Advertiser]

This podcast is a presentation of Rich Dad Media Network.

[T-Mobile Advertiser]

Marketing is hard, but I'll tell you a little secret. It doesn't have to be. Let me point something out. You're listening to a podcast right now and it's great. You love the host. You seek it out and download it. You listen to it while driving, working out, cooking, even going to the bathroom. Podcasts are a pretty close companion. And this is a podcast ad. Did I get your attention? You can reach great listeners like yourself with podcast advertising from Libsyn Ads. Choose from hundreds of top podcasts offering host endorsements or run a pre produced ad like this one across thousands of shows. To reach your target audience in their favorite podcasts with Libsyn ads, go to Libsynads.com that's L I B S Y N ads.com today.