“Dad, teach me what real investing is.”

“Investing is not just about increasing your money. It is about how you use the capital you have to enrich your life and the lives of those you care about.”— Founded an investment education school and provided opportunities to learn about investing to over 160,000 people in total, the author, inspired by simple questions from children, has written a book about the essence of investing and the mindset for living a rich life.

The book introduced today is by Yoshiyuki Takahashi, who was born in Sendai, Miyagi Prefecture, as the eldest son of a family of teachers, and experienced starting an advertising agency during his student days. He was recognized as a top salesperson in sales for Recruit’s new graduate-related services and started a consulting business in 2008. In 2013, he established Financial Intelligence Inc. and founded the investment education school “Investment School Premium”. He has handled a wide range of investment education including Japanese stocks, US stocks, FX, futures, and options trading, and has provided a place for learning to over 160,000 people in total. This book was written by Yoshiyuki Takahashi.

Yoshiyuki Takahashi, “Dad, teach me what real investing is.” (Bookdam)

“Hey Dad, what is investing?” “How can I become rich in the future?” This book was born from such simple questions asked by the author’s children.

The author has previously written eight investment-related books and has taught various investment methods such as stock investment and FX.

However, what this book covers is not specific stock selection methods or trading techniques. It is
the essence of investing, such as “what is investing” and “why do we invest”.

Generally, when people think of investing, many imagine increasing assets by putting money into stocks, investment trusts, real estate, etc.

However, the author does not limit the target of investment to only financial assets. He views everything a person has, such as time, health, knowledge, experience, relationships of trust, environment, and positive thinking, as “capital”.

And it explains that utilizing those capitals toward the ‘life goals’ you have decided on is the essence of investing.

For example, exercising for your health is an investment to extend your healthy life expectancy in the future. Learning new knowledge or skills becomes a self-investment that expands your future work and income potential.

Valuing time with family and friends can also be considered an investment that fosters trust and a sense of happiness. In other words, investing is not just a technique for increasing money, but
decision-making to make your life better.

This book also explains how to deal with risks in financial investment, exit strategies, the power of compound interest, diversification and concentration, and how to avoid fatal losses.

To succeed in investing, it is important not to chase short-term profits, but to have a long-term perspective and your own criteria for judgment.

This book consists of the following three parts.

1. Dad, what is investing in the first place?

2. Things I want to tell you now that you are interested in investing

3. To my precious you

In the first half of this book, regarding the essence of investing thought through children’s simple questions, the following points are explained.

◆ Investing is not just about increasing money

◆ Time, health, knowledge, experience, and relationships are also important ‘capital’

◆ Becoming rich and becoming happy are not necessarily the same thing

◆ Accumulate knowledge and experience useful in society, not just school studies

◆ Clarify the life goals you desire and think about how to use your capital

In the middle of this book, it explains the mindset you should acquire when starting to invest. The main points are as follows.

◆ Investing always involves risk, and it is essential to understand the possibility of loss.

◆ To harness the power of compound interest, a long-term perspective and a consistent approach are indispensable.

◆ Understand the characteristics of diversification and concentration, and choose an investment method that suits you.

◆ Before starting to invest, think about exit strategies such as taking profits or cutting losses.

◆ Avoid fatal losses so that a single failure does not leave you unable to recover.

In the latter half of this book, through messages to children, the relationship between life and investment is examined and discussed. The main points are as follows.

◆ Investing is a means to enrich your life and the lives of those you care about.

◆ Value your own life goals rather than the values of others.

◆ Consciously invest not only in money but also in health and relationships.

◆ Continue to grow while learning from failures.

◆ Proactively utilize your own capital to build a life you can be satisfied with.

What left the biggest impression on me after reading this book was the point, “Decide on your life goals before thinking about investments.”

In the 100-year life era, it becomes important to balance financial assets with cultivating capital such as health, knowledge, experience, and human relationships.

Especially in life after retirement, it is not just about increasing accumulated assets, but how you use them and how you spend your time will determine your level of happiness.

Along with asset formation utilizing tools like the new NISA, re-learning, building health, and valuing human connections are also investments in a broad sense.

However, in financial investment, higher rates of return can sometimes involve greater risks, and growth through compound interest is not guaranteed.

“The goal of investing is not to become rich, but to live a happy life that is true to yourself.”
This is a book I highly recommend to those who are about to start investing, those who want to rethink their investment goals,, and those who want to pass on wisdom about money and life to their children and grandchildren.

On my YouTube channel “Jun Osugi’s YouTube Business School,” I also share information to enrich your work and life, such as how to work in the 100-year life era, post-retirement careers, solo entrepreneurship, asset formation, and lifestyle. Please subscribe to the channel and take a look.

https://www.youtube.com/channel/UCIwJA0CZFgYK1BXrJ7fuKMQ

Well then, have a happy day today too![4247th book]