Puzzle 2: Masters of Logic 1

Three Masters of Logic wanted to find out who was the wisest amongst them. So they turned to their Grand Master, asking to resolve their dispute. “Easy,” the old sage said. "I will blindfold you and paint either red, or blue dot on each man’s forehead. When I take your blindfolds off, if you see at least one red dot, raise your hand. The one, who guesses the color of the dot on his forehead first, wins." And so it was said, and so it was done. The Grand Master blindfolded the three contestants and painted red dots on every one. When he took their blindfolds off, all three men raised their hands as the rules required, and sat in silence pondering. Finally, one of them said: "I have a red dot on my forehead."
How did he guess?