Financial experts Poonam Rungta, certified financial planner, and Pankaj Mathpal, Managing Director of Optima Money, explained the popular '100-minus-age' rule for portfolio allocation strategies on Zee Business. According to reports from Zee Business, asset allocation is considered one of the most important strategies for building long-term wealth and managing risk in volatile markets. Experts emphasize that investors should not only diversify across equity, debt, gold, and other asset classes, but also align investments with age, financial goals, and risk appetite.
As reported by Zee Business, the '100-minus-age' rule suggests that investors should subtract their age from 100 to determine the percentage of equity allocation in their portfolio. According to Poonam Rungta, certified financial planner, this formula provides a simple framework for determining appropriate equity exposure based on investment timeline. For example, a 30-year-old investor can allocate nearly 70 per cent to equity, while a 60-year-old investor may limit equity exposure to around 40 per cent. The logic behind this strategy is that younger investors have a longer investment horizon and can better handle market volatility, while older investors nearing retirement should reduce risk and preserve capital through higher allocation to debt and stable assets.
According to Moneycontrol, Edelweiss Mutual Fund has achieved 35% women investors, which is among the highest in the industry. MD & CEO Radhika Gupta emphasized her passion for analyzing consumer data and understanding customer purchasing patterns every month. This gender diversity reflects the growing participation of women in India's investment landscape, with experts noting that women investors often bring different perspectives and risk management approaches to portfolio construction. The high percentage of women investors at Edelweiss demonstrates successful efforts to make investment products more accessible and relevant to diverse demographics.
According to Pankaj Mathpal, Managing Director of Optima Money, as reported by Zee Business, strategic asset allocation is among the most common and disciplined approaches investors should follow. Under this method, investors decide in advance how much money will remain invested in equity, debt, gold, or silver based on long-term goals and risk tolerance. An investor may decide to keep 60 per cent in equity, 30 per cent in debt, and 10 per cent in gold or silver. If equity markets rally and the allocation rises to 70 per cent, the portfolio should be rebalanced to restore the original allocation. Experts noted that regular rebalancing helps control risk and prevents emotional investing driven by greed or market rallies.
According to Zee Business reports, experts recommended the core-and-satellite strategy for disciplined investing. Under this approach, around 70 to 80 per cent of the portfolio remains in stable, long-term investments, while 20-30 per cent can be allocated to aggressive or thematic opportunities such as small-cap, business cycle, or sectoral funds. The core portfolio should remain relatively stable, while the satellite portion can be used for tactical opportunities and higher-risk bets. Experts emphasized that discipline and diversification remain the foundation of successful investing, regardless of the allocation strategy chosen.
