Report Industry Investment Rating No relevant content provided. Core Viewpoints of the Report - The disturbing factors in the market have eased this week, and the market has recovered its previous decline. Driven by the communiqué of the Fourth Plenary Session of the Twentieth Central Committee, market confidence in industries and technology has increased. The Shanghai Composite Index has reached above 3950 points. The Evergreen Low-Volatility Strategy Index and the Stock Fund Enhancement Strategy Index recorded returns of 2.256% and 2.441% respectively [3]. - In terms of A-share equity fund strategies, the more elastic stock fund enhancement portfolio still has relatively more room at the current time. The Evergreen Low-Volatility Strategy can be used as a base configuration to optimize the portfolio's volatility characteristics. After the adjustment of defensive sectors such as banks, their cost-effectiveness has increased, and their long-term allocation value has improved [4]. - Overseas, with most of the disturbances caused by previous tariffs having eased, the market's sensitivity to relevant risks has decreased. In the short term, there are risks such as the US government shutdown and renewed tariff concerns, but also strong positive factors such as AI capital expenditure. The US stock market shows a high-level volatile pattern. In the long term, the driving force of the technology development trend remains strong, and the long-term upward trend of the US stock market is still optimistic [5]. Summary by Relevant Catalogs 1. Toolized Fund Portfolio Performance Tracking - **Evergreen Low-Volatility Fund Portfolio**: It has maintained low volatility characteristics for a long time. Since the strategy started on July 31, 2023, it has continued its low volatility and small drawdown attributes. In the volatile market in early 2024, it maintained a low drawdown level and achieved significant excess returns. In the subsequent rebound, it also maintained a good increase [14]. - **Stock Fund Enhancement Fund Portfolio**: The strategy has been running for a relatively short time. Its performance is close to that of the CSI Active Equity Fund Index. In the current market environment, the potential of individual stocks is difficult to be fully explored. After the market environment improves, the portfolio strategy is expected to have stronger elasticity [17]. - **Cash Enhancement Fund Portfolio**: After double screening of risk elimination and scoring optimization, it has continuously outperformed the benchmark. Since the strategy started at the end of July 2023, the excess returns have continued to accumulate, with a cumulative excess return of more than 0.41% [18]. - **Overseas Equity Allocation Fund Portfolio**: Since July 31, 2023, in the context of the Fed's interest rate cut cycle and the boost of artificial intelligence technology to global technology stocks, it has accumulated a high level of excess returns. Global allocation can increase the returns of the equity investment portfolio [21]. 2. Toolized Fund Portfolio Construction Ideas - **Evergreen Low-Volatility Fund Portfolio**: The strategy aims to select funds with long-term stable returns from actively managed funds with high equity positions. By considering factors such as the fund's historical drawdown, volatility, and valuation level, a low-volatility active equity fund portfolio is constructed [26]. - **Stock Fund Enhancement Fund Portfolio**: The strategy is to dig out fund managers with stronger Alpha mining ability from actively managed equity funds. By analyzing the source of fund returns and splitting the industry allocation return and stock selection excess ability, a stock fund enhancement fund portfolio is constructed [27]. - **Cash Enhancement Fund Portfolio**: A money fund selection system is constructed based on multi-dimensional characteristic factors of money funds, which helps investors obtain higher returns and reduce return volatility risks when investing in money funds [28]. - **Overseas Equity Allocation Fund Portfolio**: Based on the equity market indices of overseas countries or regions, by using long-term momentum and short-term reversal factors, indices with good upward momentum are selected to construct an overseas equity allocation fund portfolio, which meets the needs of investors for global asset allocation [29].

Report Investment Rating No investment rating information is provided in the report. Core Viewpoints - Amid escalating global political and economic uncertainties and significant asset price fluctuations due to tariff tensions, the Evergreen Low-Volatility Strategy maintained its low-volatility defensive nature, serving as a stabilizer in the portfolio. This week, the active equity fund index dropped 3.9%, while the Evergreen Low-Volatility Strategy only fell 2.7%, achieving an excess return of 1.2% [3]. - The preference for quantitative strategies is: Evergreen Low-Volatility Strategy > Overseas Equity Strategy > Equity Fund Enhancement Strategy. For A-shares, the short- to medium-term view is upgraded to neutral. The Evergreen Low-Volatility Strategy is expected to offer better cost-effectiveness and is suitable for a balanced offensive and defensive strategy. As the tense situation eases, a shift to more aggressive strategies can be considered [4]. - Overseas markets have experienced a significant short-term decline. The US stock market may be approaching a short-term bottom. Investors with low overseas positions can consider appropriate bottom - fishing. In the long run, the US stock market is still expected to reverse and rise, and global investment has strong diversification value [5]. - The Evergreen Low-Volatility Fund Strategy is still worth allocating due to its stability and the potential attention from long - term funds with low - risk preferences. The Equity Fund Enhancement Strategy's excess performance awaits a market turnaround. The Cash Enhancement Fund Strategy has achieved continuous excess returns, and the Overseas Equity Allocation Fund Strategy has long - term investment value despite short - term setbacks [5][6][7]. Summary by Directory 1. Tool - based Fund Portfolio Performance Tracking 1.1 Evergreen Low - Volatility Fund Portfolio - The Evergreen Low - Volatility Fund Portfolio has long maintained low - volatility characteristics, with significantly better portfolio volatility and maximum drawdown than the CSI Active Equity Fund Index. Since the strategy's launch on July 31, 2023, it has continued to show low drawdowns during market fluctuations and achieved good returns during rebounds, demonstrating both defensive and offensive capabilities [14]. 1.2 Equity Fund Enhancement Fund Portfolio - The Equity Fund Enhancement Fund Portfolio has been in operation for a short time. Its performance is close to the CSI Active Equity Fund Index. It is expected to have stronger elasticity after the market environment improves and can maintain a similar trend to the benchmark in a weak market [17]. 1.3 Cash Enhancement Fund Portfolio - After double - screening of risk elimination and scoring optimization, the Cash Enhancement Fund Portfolio has consistently outperformed its benchmark. Since the strategy's launch at the end of July 2023, it has accumulated an excess return of over 0.29%, providing a reference for investors in cash management [18]. 1.4 Overseas Equity Allocation Fund Portfolio - As a supplementary investment tool in the A - share equity market, since July 31, 2023, in the context of the Fed's interest - rate cut cycle and the boost of global technology stocks by artificial intelligence, the Overseas Equity Allocation Selected Fund Portfolio has accumulated high - level excess returns. Global allocation can enhance the returns of equity investment portfolios [21]. 2. Tool - based Fund Portfolio Construction Ideas 2.1 Evergreen Low - Volatility Fund Portfolio - The Evergreen Low - Volatility Fund Portfolio Strategy aims to select funds with long - term stable returns from actively managed high - equity - position funds. By considering factors such as historical drawdown, volatility, and valuation, a low - volatility active equity fund portfolio is constructed [26]. 2.2 Equity Fund Enhancement Fund Portfolio - The Equity Fund Enhancement Fund Portfolio Strategy aims to meet the needs of investors with higher risk preferences. It selects fund managers with strong Alpha - mining capabilities from actively managed equity funds. Based on the analysis of fund return sources, a portfolio strategy is constructed, which shows a high holding - period win rate in back - testing [27]. 2.3 Cash Enhancement Fund Portfolio - A currency fund selection system is constructed by considering various factors such as management fees, duration, leverage, institutional holding ratio, and deviation. This system helps investors select currency funds with higher returns and lower return volatility [28]. 2.4 Overseas Equity Allocation Fund Portfolio - In QDII funds, based on long - and short - term technical indicators, index momentum, and reversal effects, equity indices of multiple countries or regions are screened. QDII equity funds corresponding to the selected indices are used to construct an overseas market selected portfolio, meeting investors' needs for global allocation [25].