In this fast-paced world, if there were an easy way to get rich, it would have been exploited to the point of saturation. Many people try to sell you money-making ideas and plans, but in reality, they are just promoting paid courses, audiobooks, or seminars. They might have some good advice, but if they are selling you get-rich-quick schemes – whether it’s about cryptocurrencies, online businesses, or seminars – they are just making money off you with their own get-rich-quick plans.
Naval Ravikant stated that his series of tweets and related podcasts on “How to Get Rich Without Luck” are free of advertisements and charges because inserting ads or charging the audience would undermine the credibility of the entire endeavor and compromise all his genuine sharing.
He mentioned that one of his favorite books on wealth-building when he was young was “How to Get Rich” by Felix Dennis, which contained some crazy ideas but also insightful perspectives.
People like Dennis, Bob Parsons, and Andrew Carnegie accumulated wealth in other fields, not by writing books on how to get rich, which lends credibility to their views. They were not trying to profit from you; instead, they were seeking to elevate their status and achieve self-fulfillment.
Naval emphasized the importance of judgment in foreseeing the long-term effects of one’s actions and making the right decisions to fully seize opportunities.
Warren Buffett’s wealth, for example, is attributed to his judgment. People would flock to invest with him even if they took away all his money tomorrow and handed him $100 billion because they trust his exceptional judgment.
Naval stressed that judgment, especially validated judgment, combined with a high level of responsibility and a clear track record, is crucial.
Judgment is difficult to cultivate, involving intelligence and experience. He explained that knowledge gleaned from the ivory tower intellectual types comes with its limitations as they lack real-world experiences, so relying solely on intellect is insufficient.
Naval recommended starting with foundational content in the early stages, which consists of scientifically-driven original works in a particular field. This foundational knowledge serves as the basis for assessing the truthfulness of other content encountered later.
Naval held a critical view of modern macroeconomics, considering it politically corrupted and treated as a branch of politics. He suggested focusing on microeconomics, which provides fundamental principles and logic that can be argued or refuted from multiple angles.
Mathematics and logic form the ultimate foundational knowledge, providing a basis for understanding the scientific method. Once you master the scientific method, you can learn how to distinguish truth from falsehood in other fields and materials you encounter.
Naval highlighted the importance of ethics and morality in one’s behavior, emphasizing that ethical behavior is an essential personal choice requiring thoughtful contemplation and practice.
He stressed that trust is a pivotal element in business endeavors, as one aims to achieve compounding effects over time by cooperating with reliable and trustworthy individuals.
Naval encouraged individuals to set high hourly rates for themselves based on their value and expertise, recommending outsourcing tasks that cost less than this hourly rate to others.
He advised individuals to prioritize time in their pursuit of wealth creation, emphasizing the importance of not getting caught up in trivial matters.
Naval shared that success often requires time and persistence, noting that in his experience, those perceived as intelligent and hardworking individuals two decades ago have almost all succeeded today.
He highlighted the importance of focusing on becoming the best in a specific field that aligns with one’s skills, passion, and location.
Naval emphasized the need for patience and dedication in entrepreneurial endeavors, underscoring that success often requires continuous effort and perseverance.
He emphasized that money can solve monetary issues, but it cannot grant omnipotence. It’s vital to cultivate a healthy body, peaceful mind, and loving relationships, which cannot be acquired with money but through effort.
Naval concluded that the ultimate goal of making money is to attain the freedom of not having to do anything you don’t want to do at a specific time or place.
In his worldview, getting rich is a process that should align with personal values, judgment, and a continuous journey of self-improvement and self-awareness.