Ready to learn about the Investor quadrant?
Robert Kiyosaki says that an investor is someone who lets money make more money.
Most people earn money by working. They exchange their time, skills, or effort for a paycheck. Investors do things differently. Instead of relying only on their work, they invest their money into assets that can grow in value or produce income.
This is why Kiyosaki believes the Investor (I) quadrant is where real wealth is built. In his view, financial freedom doesn't come from working harder - it comes from owning assets that continue to make money, even when you're not working.
According to his CASHFLOW Quadrant, there are four ways people earn money:
• Employee (E): Works for someone else and earns a salary.
• Self-employed (S): Works for themselves and gets paid based on their own time and effort.
• Business Owner (B): Builds a business with systems and people that can operate without them being involved every day.
• Investor (I): Uses money to buy assets that generate even more money.
Kiyosaki explains that anyone can earn an income in any of these four quadrants. However, he believes lasting wealth is mainly created in the Investor quadrant because your money keeps working, even when you don't.
What are OPT and OPM?
Kiyosaki also introduces two important ideas:
• OPT = Other People's Time
• OPM = Other People's Money
The meaning is simple.
Wealthy people don't try to do everything themselves or use only their own money. Instead, they build systems that make use of other people's skills, time, and money to create even bigger opportunities.
This is why the Business Owner (B) and Investor (I) quadrants can grow much faster than the other two.
Think about the difference:
• An Employee (E) gets paid for the hours they work.
• A Self-employed (S) person also depends mostly on their own time. If they stop working, their income often stops too.
• A Business Owner (B) builds a system and hires people to keep the business running.
• An Investor (I) puts money into assets that can continue generating income over time.
Kiyosaki often says that being self-employed may feel like freedom, but it can also mean becoming trapped in your own job. The more successful you become, the more your business depends on you.
A business owner aims to build a system that works without their constant involvement. An investor goes one step further by allowing investments to create income.
The biggest difference isn't just how people earn money - it's how they think.
People on the left side of the CASHFLOW Quadrant (E and S) usually focus on earning money through work.
People on the right side (B and I) focus on building systems, owning assets, and making money work for them.
In simple terms:
E & S: You work for money.
B & I: Money and systems work for you.
Stay tuned to learn more!
