HTSC(SH:601688) Xin Lang Cai Jing·2026-02-01 13:08Core Insights - The discussion focuses on the asset allocation strategies for 2026, emphasizing the importance of equity investments and the evolving landscape of pension funds in China [1][4][5]. Group 1: Asset Allocation Strategies - The current allocation for pension funds is approximately 25% to 30% in equity assets, with 70% to 80% in fixed income, reflecting a shift from the original 30% equity and 70% fixed income model established in 2005 [3][4]. - The equity market's performance is expected to be influenced by two key factors: the redefinition of the stock market by the government since the "924" policy and the potential for new stock issuances to impact market stability [4][5]. - Three main lines of focus for equity allocation in 2026 are identified: maintaining dividend assets, aligning with high-growth industries, and capitalizing on government policy initiatives [5][6][7]. Group 2: Risk Management and Performance - Effective risk management is crucial for large institutions, with a focus on understanding maximum drawdown (MDD) and its implications for investment strategies [8][9]. - The company has developed a four-variable function to assess maximum drawdown, which includes expected return, volatility, significant risk levels, and time [9]. - The introduction of a stop-loss framework based on Bayesian models aims to enhance risk management for pension funds, ensuring that investment strategies are resilient to market fluctuations [10].