Combinator chose Daffy for its 2021 batchWhat is the Rule of 120 and how does Daffy fit into it?
The Rule of 120 is a simple guideline for asset allocation. It suggests that you subtract your age from 120, and the result is the percentage of your portfolio that should be invested in stocks, with the remainder going into bonds. However, as Adam Nash, CEO and co-founder of Daffy, explains, this rule is not a one-size-fits-all solution.
While the Rule of 120 can help avoid common investment mistakes, such as avoiding equities due to fear of risk or neglecting bonds altogether, it doesn't account for the complexities of individual financial situations and risk tolerances.
This is where Daffy comes in. Daffy is a not-for-profit community built around a modern platform for giving. It simplifies your giving process, allowing you to easily donate to almost every US public charity, track tax-deductible contributions, and access donation receipts all in one place.
With Daffy, you can diversify your asset allocation beyond just stocks and bonds. By incorporating charitable giving into your financial planning, you can achieve your long-term financial goals while also making a positive impact on the causes you care about.
Remember, the Rule of 120 is just a guideline. Your asset allocation should reflect your individual financial situation, risk tolerance, and personal values. And with Daffy, you can do just that.
Try Daffy for free today and see how it can help you simplify your giving and diversify your portfolio.