The World Grows Darker, Robert Kiyosaki Names Three Assets
Global geopolitical conditions have cast uncertainty over the world economy. The turmoil affecting conflict-stricken nations has rippled through the economies of developing countries, including Indonesia.
During times of crisis or economic uncertainty, one must prepare an appropriate financial strategy. It turns out there are three important assets that can serve as a safeguard against potential financial catastrophe.
Renowned investor and bestselling financial author Robert Kiyosaki, author of Rich Dad Poor Dad, has warned that a market crash and possible severe depression are imminent.
Kiyosaki emphasised that purchasing gold, silver, and Bitcoin (BTC) represents the best defence against potential collapse.
He pointed to what he called the “three stooges” running the White House (US President), the US Treasury Department, and the Federal Reserve as indicators of the coming crisis.
“[Because of] the White House, the US Treasury Department, and the Fed, the likelihood of the next great depression [is high]. Perhaps war. For millions of people, difficult times will soon arrive,” he stated.
Geopolitical turmoil typically creates conditions supporting gold price increases. However, renewed concerns about inflation have made investors anxious.
“For those with the right mindset and who are prepared, the next Great Depression will be the best time in their lives. Please prepare. Take care of yourself. Buy gold, silver, Bitcoin,” Kiyosaki added.
Although the gold rally has stalled, several banks remain optimistic about gold price prospects.
Gold prices surged during the 12-day conflict with Iran last year before relinquishing gains after a ceasefire was announced. However, now, two weeks after the latest conflict began, gold prices remain relatively unmoved.
Gold rose from US$5,296 to US$5,423 per troy ounce following US and Israeli strikes on Iran on 28 February. This movement aligns with the prevailing view that geopolitical turmoil typically prompts investors to shift towards traditional safe-haven assets.
Geopolitical tensions between Iran and the United States did provide a narrative for Bitcoin as an emergency safe-haven alternative, driving significant capital inflows from affected regional areas in the previous week. This accords with projections that uncertainty triggers immediate buying actions into such instruments.
However, the effect of geopolitical sentiment appears to be merely temporal. As time progresses, the market has efficiently priced these risks into current valuations.
Therefore, continuing tensions in the Middle East are unlikely to provide price momentum as strong as before, unless fundamental escalation occurs that directly cripples global banking infrastructure.
Additionally, Kiyosaki is a vocal critic of conventional financial wisdom and an advocate of financial education to achieve wealth and success.
His latest warnings and advice in facing potential Great Depression challenges align with his previous views on financial intelligence and strategic investment, wherein he advocates for three asset classes.
Indeed, Kiyosaki has warned against accumulating traditional investment products, which he deems valueless assets. This includes paper money, stocks, bonds, mutual funds, and exchange-traded funds (ETFs).
He stated that such investments are those frequently pursued by the poor and middle classes, who work diligently in jobs that provide “false” taxable income and promise consistent salaries, yet offer no employment guarantees.