Why You Need To Read Unshakeable By Tony Robbins

You need to Read Unshakeable: Your Financial Freedom Playbook-Creating Peace Of Mind In A World Of Volatility by Tony Robbins and Peter Mallouk.

It really is as simple as that.

End of post.

Okay, seriously though, let’s dive in to why this is an important read for anyone, regardless of where you are in your wealth journey.

I read this book in a weekend.

It is an easy read, and very easy to understand, regardless of your level of investing knowledge.

In fact, this is one of the reasons Robbins wrote it.  His previous work in this space, Money, Master The Game, was a beast of a book.  I know many people who avoided it simply because of it’ size.  That being said, it is also filled with a wealth of information and I highly recommend it as well.

Now, as far as Unshakeable goes, there is a ton of information in this book as well.

I would need to write a 3000 word post in order to cover it all.

So instead, I am going to pull out some of the main concepts and financial truths described by Robbins in this book.

First let’s cover some of the financial truths:

High Fee Funds & Money Managers Can Kill Your Returns

You hire a money manager for one reason.

You want them to outperform the market, so that you can get above average returns.

But the same way compounding interest works in your favor, it also works against you when you are pulling capital out to cover fees.  In fact, over the course of your lifetime, fees can eat up to 70% of your returns.

There Are First World Countries That Currently Have Negative Interest Rates

Believe it or not, some of the strongest financial countries in the world are experiencing negative interest rates.

These countries include Switzerland, Sweden, Denmark, Germany, and Japan.

This is the first time in history people actually have to pay the banks to take their money.

Recently, the finance are of Toyota recently issued a three-year bond that yields just .001%.  At that rate, it would take you 69,300 years to double your money!

You Don’t Have To Predict The Future Of The Markets To Win At This Game

The truth is, no one can predict the future of the markets consistently.

Thankfully, you don’t have to in order to come out way ahead.

You just have to understand how the game works, so you are not always reacting to the markets out of fear and emotion.  When people make financial decisions, it is usually out of fear.  This fear leads to mistakes and losses.  You need to learn how to anticipate what will happen, not just react to it.

You just have to focus on what you can control, not what you can’t (HINT this book will show you what you can control and how to do it).

There are many more financial truths throughout the book.  Now let’s get into some of the main concepts of Unshakeable.

This book is divided in 3 main sections:

1.  Your Rule Book For Financial Success
2.  Your Playbook For Wealth
3.  The Psychology Of Wealth

Your Rule Book For Financial Success

The first section of the book is all about the rules you need to know in order to master the game.  Robbins says “If you don’t know the rules of the game, how can you expect to win?”

I love this statement because it ties back into the fact that if you know who the players are, and what their agenda is, you can plan better and not have to be in a constant state of reaction.

One of the most important rules outlined in this section is also one of the simplest.  We touched upon it earlier, and it is the fact that fees matter.  Most of the time you are overpaying for underperformance.  In fact, for most individuals, you could invest in index funds and outperform 96% of the mutual funds out there.

Your Playbook For Wealth

This section of Unshakeable is your playbook for building wealth.

The first thing Robbins goes through in this section is the Core Four.  These are the key principles to help guide every investment decision you make.  The Core Four are:

1.  Don’t Lose- The best investors are obsessed with not losing money because they understand the more you lose, the harder it is to get back to where you started.

2.  Asymmetric Risk/Reward- You should be searching for those investments who’s gains vastly outweigh the risks.

3.  Tax Efficiency-  Robbins says “There is only one number that matters, the net amount you are allowed to keep.”

4.  Diversification-  You need to diversify across different asset classes.  You need to diversify within asset classes.  Also, you must diversify across markets, countries, and currencies.                  Finally, you must diversify across time.

The Psychology Of Wealth

There are two chapters to this section.  The one we will focus on for this post is the six money mistakes investors make.  To learn how to avoid them, you will need to buy the book.  The second chapter is this section is called Real Wealth- Making The Most Important Decision Of Your Life.  This chapter is best left for Robbins himself, and I am not going to go into detail for this post.  I will say this though…this chapter goes way beyond financial wealth, and it helped me realize, I want to become wealthy well beyond what money can do for me.

Okay, now lets cover those 6 mistakes I know you will avoid after reading Unshakeable.

1. Seeking Confirmation of Your Beliefs-  The best investors welcome opinions that contradict their own.

2. Mistaking Recent Events For Ongoing Trends-  Most investors buy the wrong thing at exactly the wrong time.

3. Over Confidence-  Over estimating our abilities and our knowledge is a recipe for disaster.

4. Greed, Gambling, & The Quest For Home Runs-  Victory goes to the steady survivors

5. Staying Home-  It’s a big world out there.  You don’t have to stay so close to home.

6. Negativity and Loss Aversion-  Your brain wants you to be fearful in times of turmoil.  Don’t listen to it!

Conclusion

I hope you enjoy this post as much as I enjoyed reading Unshakeable.  You can buy a copy of the book HERE.  This is my affiliate link, and even though you won’t pay a penny more for the book, I will earn a small commission that I promise to invest in my future!

As a final note, Tony Robbins created a complimentary website to go with the book that includes a podcast and a ton of free videos.  You can check it out at www.unshakeable.com.

P.S.  Tony Robbins contributes all profits from both this book and Money: Master The Game to help feed those that can’t feed themselves.  I think that is awesome.