Robert Kiyosaki has urged investors to dump their paper assets and to consider buying physical gold
The economy today is the "biggest bubble in world history," renowned writer and economist Robert Kiyosaki has warned. The co-author of the best-selling personal finance book 'Rich Dad Poor Dad' has urged investors to dump their paper assets.
This year has brought little cheer for most investors as financial markets were exposed to high volatility, with stocks and bonds tumbling and even broad benchmark Exchange-Traded Funds (ETFs) going deep in the red.
While a host of financial assets have fallen in price amid the current market downturn, some investors have resorted to risky strategies with hopes for a potential reward. However, Kiyosaki believes that the worst is yet to come and cautions against giving in to such temptations.
The author has issued advice to "hold onto your money" and shared his own strategy. "Many of you know I do not invest in equities, bonds, ETS or MFs. Please do not listen to what I'm going to say next: I would get out of paper assets," he said, adding that the world economy "is not a market."
Instead, he suggests looking at precious metals as a hedge against market turbulence and inflation, arguing that their value is more stable, though not totally immune to economic uncertainty.
"I'm not buying gold because I like gold, I'm buying gold because I don't trust the Fed," Kiyosaki said in an interview last year. Among other ways of investing in gold and silver, he prefers to buy the metals directly in "real gold or silver coins" and not in ETFs.
For more stories on economy & finance visit RT's business section