“Unshakeable” author Tony Robbins shares advice he learned from interviewing the top minds in finance. Following is a transcript of the video.
I’ve got access to the smartest financial people in the world. What if I interviewed 50 of the smartest people, found out whether the average investor can still win or not.
I’ve been coaching a man named Paul Tudor Jones one of the top 10 financial traders in the world for 24 years now. He’s extraordinary and I’ve learned so much from him.
How do I set myself up to win, even when I’m losing? First thing you got to do at the basic level is you need to have three months, six months for some people, 12 months for some people. You want to build to have enough emergency cash that if you lost your job, if you lost everything, if you went through a medical emergency, and so forth, you don’t have to worry that your gonna fall off.
So the first thing is really start to build that emergency fund for people, I think, is one of the most important things. It’s a simple thing, it’s not an easy thing because it’s hard to get yourself to just put money aside that’s not growing, but you need some that’s available to you for those situations.
Ray Dalio, who’s the most successful hedge fund manager in the world, he’s returned more money to investors than anybody in history. When I met him and talked with him he taught me something simple, he said “Tony, people tend to invest in what they heard about, what they read about, or what their family did.”
But the problem is every single asset class that you love will have a day where it will it drops 50-70% in a day. If it’s later in life you have no time to make up for it so you have to diversify.
Business Insider Emails & Alerts
Site highlights each day to your inbox.