cause　they　represent　safety。　Average　mutual　fund　buyers　are　too　busy　working　to　pay　taxes　and　mortgages；　save　for　their　children's　college　and　pay　off　credit　cards。 They　do　not　have　time　to　study　to　learn　how　to　invest；　so　they　rely　on　the　expertise　of　the　manager　of　a　mutual　fund。　Also；　because　the　mutual　fund　includes　many　different　types　of　investments；　they　feel　their　money　is　safer　because　ii　is　〃diversified。〃

This　group　of　educated　middle　class　subscribes　to　the　〃diversify〃　dogma　put　out　by　mutual　fund　brokers　and　financial　planners。 Play　it　safe。　Avoid　risk。

The　real　tragedy　is　that　the　lack　of　early　financial　education　is　what　creates　the　risk　faced　by　average　middle　class　people。　The　reason　they　have　to　play　it　safe　is　because　their　financial　positions　are　tenuous　at　best。 Their　balance　sheets　are　not　balanced。　They　are　loaded　with　liabilities；　with　no　real　assets　that　generate　ine。　Typically；　their　only　source　of　ine　is　their　paycheck。　Their　livelihood　bees　entirely　dependent　on　their　employer。

So　when　genuine　〃deals　of　a　lifetime〃　e　along；　those　same　people　cannot　take　advantage　of　the　opportunity。　They　must　play　it　safe；　simply　because　they　are　working　so　hard；　are　taxed　to　the　max；　and　are　loaded　with　debt。

As　I　said　at　the　start　of　this　section；　the　most　important　rule　is　to　know　the　difference　between　an　asset　and　a　liability。 Once　you　understand　the　difference；　concentrate　your　efforts　on　only　buying　ine…generating　assets。 That