concept

100 Minus Age rule

Also known as: subtract age from 100 rule

Facts (3)

Sources

Asset Allocation Models to Maximize Your Returns - AAII aaii.com AAII 2 facts

formulaA simple asset allocation rule is to subtract your age from 100 and invest that resulting percentage in stocks.

claimDue to falling bond yields, some retirement planners argue that the rule of subtracting age from 100 should be modified to subtracting age from 110 or 120.

7 Models for the Best Asset Allocation by Age commonsllc.com Commons Sep 30, 2025 1 fact

claimThe '100 Minus Age' rule is a foundational asset allocation model that suggests subtracting an investor's age from 100 to determine the percentage of the portfolio that should be invested in stocks, with the remainder allocated to bonds and cash equivalents.