Core Viewpoint - The article emphasizes the importance of understanding different indices and their style tendencies to construct a balanced investment portfolio that mitigates risks while aiming for returns [4][5]. Group 1: Portfolio Construction Strategies - The article suggests a balanced approach using a combination of equities and bonds, where bonds act as a shield and equities as a spear to stabilize portfolio volatility [8]. - It highlights the significance of core broad-based indices like CSI 300 and CSI A500, which are characterized by balanced styles, and the need to incorporate indices with different styles to achieve a balanced risk-return profile [10][12]. - The article discusses the importance of market capitalization, indicating that larger companies tend to be more stable, while smaller companies may offer higher growth potential but with increased volatility [8]. Group 2: Index Style Characteristics - The article categorizes indices into core broad-based, sector-based, and strategy indices, each with distinct style characteristics that influence portfolio construction [9][13]. - Core broad-based indices like CSI 300 have a balanced style with 34% value, 41% balanced, and 23% growth, making them suitable for a stable investment strategy [10]. - Sector-based indices such as the ChiNext and STAR Market are identified as growth-oriented with higher volatility, suggesting a need for caution in their allocation [11]. Group 3: Strategy Indices - Strategy indices are noted for their clear style characteristics, which can be leveraged to balance portfolio styles effectively [13]. - The article explains that dividend indices generally lean towards value, while quality dividend indices can exhibit growth characteristics, thus providing diverse options for portfolio construction [14][15]. - The inclusion of strategy indices can enhance the richness of the investment portfolio, allowing for a broader range of style and size combinations [17]. Group 4: Important Considerations - The article warns that the style of an index can be influenced by its size, with smaller indices typically exhibiting higher volatility compared to larger ones [18]. - It also notes that the breadth of an index affects its style, with narrower indices like sector indices showing greater volatility than broader indices [18]. - Investors are encouraged to analyze their portfolio's style exposure across various dimensions to ensure alignment with their investment goals [20].

Group 1 - The article discusses the comparison between the Permanent Portfolio and the All Weather Portfolio, highlighting their design philosophies and asset allocation structures [3][4]. - The Permanent Portfolio, created by Harry Browne in 1987, consists of 25% stocks, 25% long-term government bonds, 25% gold, and 25% cash, aiming for stability across different economic environments [5][6][8]. - The All Weather Portfolio, introduced by Ray Dalio in 1996, is based on risk parity and includes a higher allocation of bonds (55%) to mitigate stock volatility, along with commodities and gold for inflation protection [11][12][13]. Group 2 - Over the past year and a half, the Permanent Portfolio achieved a return of 31.12%, significantly benefiting from its 25% gold allocation, while the All Weather Portfolio returned 15.41%, underperforming the S&P 500 [19][21]. - The article provides guidance on which portfolio may suit different types of investors: the Permanent Portfolio is recommended for those seeking simplicity and low volatility, while the All Weather Portfolio is better for those with a deeper understanding of asset allocation and who can manage higher bond exposure [24]. Group 3 - A suggested hybrid portfolio is proposed, consisting of 40% stocks, 40% bonds (both short and long-term), 10% gold, and 10% commodities, combining elements from both the Permanent and All Weather strategies [26]. - The performance metrics of the proposed hybrid portfolio show a total return of 112.38% since 2018, with an annualized return of 10.51% and a maximum drawdown of 12.31% [29].

Core Insights - The article presents various ETF asset allocation strategies based on risk parity, targeting different risk preferences of investors, with annualized returns of 6.74% and 8.04% for low-risk strategies, and 11.66% for a high-risk strategy [1][2]. Group 1: Low-Risk Asset Allocation Strategies - For low-risk investors, a "momentum risk budgeting" based absolute return strategy is designed, achieving historical annualized returns of 6.74% with a target volatility of 3% and a maximum drawdown of 3.72% [2]. - A second strategy targets a volatility of 5%, yielding an annualized return of 8.04% and a maximum drawdown of 4.41%, both strategies have generated positive returns annually since 2016 [2]. Group 2: High-Risk Asset Allocation Strategies - For high-risk investors, a multi-asset diversification strategy is enhanced with equity exposure, focusing on high-volatility assets and incorporating macroeconomic factors like U.S. Treasury rates and economic conditions [3]. - This strategy combines a monthly rotation model of "CSI 300 Dividend Low Volatility ETF" and "CSI 300 Growth ETF," achieving an annualized return of 11.66% and a Sharpe ratio of 1.56, with positive returns recorded annually since 2016 [3].

Core Viewpoint - The article discusses the recent volatility in gold and silver markets, highlighting significant price fluctuations and the impact on various investment strategies, particularly the all-weather strategy popularized by Bridgewater Associates [4][6][14]. Group 1: Market Volatility - Silver experienced a dramatic surge, leading exchanges to raise margin requirements, followed by a sharp decline of 30% [4]. - Gold faced its largest single-day drop since 1983, causing substantial losses for many macro hedge funds and private equity firms, including those modeled after Bridgewater [4][6]. - The article notes that several all-weather products from private equity firms saw significant drawdowns, with some experiencing losses exceeding 20% [4]. Group 2: All-Weather Strategy Performance - The all-weather strategy has gained popularity among high-net-worth individuals seeking low-volatility investment options, but recent market events have challenged its perceived effectiveness [6][14]. - Bridgewater's performance metrics indicate that their all-weather strategy has historically provided stable returns, with a reported net value of 2.7 for one of their funds since its inception [8]. - The article emphasizes that the all-weather strategy's success relies heavily on a favorable macroeconomic environment, particularly low and declining interest rates [14][15]. Group 3: Challenges in Replicating Success - The article points out that many domestic private equity firms attempt to replicate Bridgewater's all-weather strategy but face limitations due to regulatory constraints and a lack of effective inflation-hedging tools [15][20]. - Domestic strategies often lack the necessary leverage and tools to achieve similar risk-adjusted returns, leading to a reliance on traditional asset classes that may not perform well in volatile markets [15][20]. - The article suggests that the domestic all-weather strategies are more about diversifying assets and reducing volatility rather than achieving significant alpha through active management [15][20].

Group 1 - The report introduces various ETF asset allocation strategies based on risk parity, targeting different risk preferences of investors, with annualized returns of 6.74% and 8.04% for low-risk strategies, and 11.66% for high-risk strategies [1][4][7] - The report emphasizes the importance of a structured approach to ETF asset allocation, which includes defining risk-return objectives, selecting low-correlation assets, employing quantitative models, and implementing a disciplined rebalancing mechanism [8][9][10] - The report highlights the necessity of multi-asset allocation in the current complex macroeconomic environment, where single-asset "bull markets" are increasingly difficult to capture [7][8] Group 2 - For low-risk investors, the report presents an absolute return strategy based on a momentum risk budget, achieving a target volatility of 3% with an annualized return of 6.74% and a maximum drawdown of 3.72% [20][41] - The report details the construction of a momentum scoring system that evaluates assets across multiple dimensions to enhance strategy returns [21][24] - The report outlines a high-risk strategy that combines equity enhancement with a focus on high-volatility assets, achieving an annualized return of 11.66% since 2016 [3][41] Group 3 - The report discusses the concept of risk parity, which aims to equalize the risk contribution of different assets in a portfolio, thereby enhancing diversification [29][30] - The report explains the implementation of a momentum risk budget strategy, which adjusts asset allocations based on momentum scores while controlling for risk [35][38] - The report provides performance metrics for the momentum risk budget strategy, showing consistent positive returns since 2016, with an overall annualized return of 8.25% [41][42]

Report Title - The report is titled "Ping An 5 - 10 Year Treasury Active Bond ETF Investment Value Analysis" [1] Report Date - The report was released on March 1, 2026 [4] Analyst Information - The analyst is Xu Liang, with the practice certificate number S0590525110037 and email xliang@glms.com.cn [5] Report Industry Investment Rating - No industry investment rating is provided in the report Core Viewpoints of the Report - In 2026, after a large adjustment in bond yields, the allocation value emerged, and the decline in market risk appetite provided a window for bond market recovery. In a "low - interest rate + low - spread + high - volatility" environment, "duration management" becomes more important, and bond index funds have cost advantages [6][9] - 10 - year Treasury bonds are important for balancing risk and return in a low - interest - rate environment, offering capital gains in a rate - cut cycle and stable coupon payments. They have better risk - return characteristics than 30 - year Treasury bonds [14][16] - Bond ETFs are good duration management tools with low fees, and can use repurchase to increase returns. Active bond ETFs have high - liquidity component bonds, which can reduce tracking errors and trading risks [35][37][38] - The Ping An 5 - 10 Year Treasury Active Bond ETF has unique features such as tracking the "Treasury Active Bond Index", using ChinaBond valuation, and having efficient "bond replenishment" capabilities. It has good performance and can be used in various investment scenarios [42][46][58] Summary by Directory 1. Bond Market Continues to Oscillate at a Low Level with High Volatility - In 2025, the bond market entered a "high - volatility" stage under the "low - interest rate, low - spread" environment, showing an "N - shaped" trend. In early 2026, due to the large adjustment in yields, bond market yields declined in the short term. After the Spring Festival, the bond market oscillated due to factors such as the equity market and real - estate policies. In the long - term, "duration management" becomes more important, and bond index funds have cost advantages [9] 2. Paths to Achieve Excess Performance in a Low - Interest - Rate Environment 2.1 Allocation Value of 10 - Year Treasury Bonds - 10 - year Treasury bonds are important for balancing risk and return in a low - interest - rate environment. Their index yield is higher than that of medium - and short - term Treasury bonds, providing capital gains in a rate - cut cycle and stable coupon payments. In a bond bull market, they can capture more capital gains than short - duration bonds. Compared with 30 - year Treasury bonds, they have lower volatility, smaller drawdowns, and better Sharpe and Calmar ratios. They are also more actively traded, and banks are increasing their allocation of 7 - 10 - year Treasury bonds in 2026 [14][16][32] 2.2 Advantages of Bond ETFs - Bond index funds are good duration management tools with stable durations and clear investment strategies. They have lower fees than active bond funds. Investors can use bond ETFs for repurchase to increase returns. ETFs with active component bonds have lower trading costs, can track the index more accurately, and are more liquid in volatile markets. The spread between new and old bonds can provide a reference for trading strategies [35][37][39] 3. Allocation Advantages of Active Treasury Bond ETFs 3.1 Basic Information - The Ping An 5 - 10 Year Treasury Active Bond ETF (511020.OF) is the first Smart - Beta ETF tracking the "Treasury Active Bond Index" and the only Treasury ETF with active component bonds. It tracks the CSI 5 - 10 Year Treasury Active Bond Index, uses ChinaBond valuation, and its manager has bank - to - bank account qualifications, enabling more efficient "bond replenishment" [42][43] 3.2 Performance Attribution - The ETF has achieved good returns in the past few years, with an annualized return of 3.96% in the past five years. Its volatility is below 2% and the maximum drawdown is below 2.2%. Its income mainly comes from coupon income, followed by the Treasury effect and a small amount of bond - selection income. It has a stable income structure [48][52] 3.3 Allocation Advantages - The ETF has strict component - bond screening standards and maintains high liquidity through regular rebalancing. After the adjustment of the bond benchmark market - making variety range, its component bonds have been updated, which is convenient for investors and market - makers to conduct fund subscription and redemption. Compared with financial institution self - operated investors, public funds have tax advantages, and self - operated investors can exchange bonds for ETF shares to increase returns. The ETF has also paid dividends four times since its establishment [55][56] 4. Application Scenarios of Active Treasury Bond ETFs 4.1 Stock - Bond Risk Evaluation Portfolio - The Treasury bond index has a low or negative correlation with assets such as stocks and gold. By using a risk - parity model, the volatility of the portfolio can be effectively reduced, and the portfolio constructed by risk parity has better performance than the traditional 80/20 stock - bond portfolio [58][61] 4.2 Treasury Bond Futures Cash - and - Carry Strategy - Since the active Treasury bond ETF has a high correlation with Treasury bond futures, a paired trading strategy can be constructed. When the Treasury bond futures are at a significant premium to the cash bonds, there may be an opportunity for a cash - and - carry strategy. Using the ETF instead of cash bonds in the strategy can achieve higher returns [64][65]

Report Industry Investment Rating No relevant content provided. Core Viewpoints of the Report - The report captures global multi - asset investment opportunities (covering domestic assets such as A - shares, bonds, and gold, as well as overseas equity assets like US stocks, Japanese stocks, and Indian stocks) and designs corresponding allocation schemes according to common investment scenarios. All portfolios can be tracked through corresponding ETF/LOF products [7]. - In January 2026, the allocation suggestions are as follows: A - shares may have short - term momentum but also face callback risks, with a focus on cyclical mid - cap blue - chips led by chemicals, domestic AI, satellites, and semiconductors; the domestic bond market is neutral, and short - term varieties can be focused on; US stocks may maintain a neutral shock pattern; Japanese stocks may have a neutral shock pattern; Indian stocks may have a weak shock pattern; gold may remain strong in the short - term but also face volatility risks, and its medium - to - long - term allocation value is significant [7]. - A two - stage robust multi - asset portfolio design method based on "portfolio insurance + risk budget" is introduced, which is decision - making based on risk characteristics, does not rely on asset return forecasts, and has good robustness while considering both return elasticity and risk control [7]. Summary by Relevant Catalogs 1. Market Review and Allocation Outlook 1.1 Market Review - In 2025, gold performed outstandingly, global equity assets showed differentiation (A - shares, Japanese stocks, and US stocks were strong, while Indian stocks declined slightly), and the bond market was relatively sluggish. The return performance of underlying assets was: gold (58.57%) > CSI 800 (23.91%) > Nikkei 225 (22.26%) > Nasdaq 100 (17.50%) > short - term financing (1.78%) > 7 - 10 - year policy - financial bonds (0.22%) > S&P BSE Sensex ( - 0.40%) [16]. 1.2 Asset Allocation Outlook - **A - shares**: Economic prosperity and mild inflation recovery support the medium - to - long - term stock market trend, but there are short - term callback risks. Industry themes such as cyclical mid - cap blue - chips led by chemicals, domestic AI, satellites, and semiconductors can be focused on [18]. - **Domestic bond market**: Due to the risk preference of rising equities and the expectation of mild inflation recovery, bonds are neutral overall, and short - term varieties can be continuously focused on [20]. - **US stocks**: The US economy still has resilience, but due to the downward revision of interest - rate cut expectations and relatively high valuations, US stocks may maintain a neutral shock pattern in the short - term [22]. - **Japanese stocks**: Japan's economy is in a benign "wage - price spiral" and is moderately recovering, but with a marginal net outflow of foreign capital, Japanese stocks may have a neutral shock pattern in the short - term [31]. - **Indian stocks**: The economic prosperity has declined from its peak, and with a marginal net outflow of foreign capital, Indian stocks may have a weak shock pattern in the short - term [34]. - **Gold**: Geopolitical tensions have pushed gold to new highs. It may remain strong in the short - term but also face volatility risks, and its medium - to - long - term allocation value is significant [38]. 2. Robust Portfolio Design Idea: Two - Stage Method of "Portfolio Insurance + Risk Budget" 2.1 Dilemma of Asset Allocation Models in Domestic Investment Applications - The two classic multi - asset portfolio management methods, mean - variance optimization (MVO) and its derivative models, and risk - budget - based models (such as the risk - parity model), have limitations in domestic investment applications. MVO is highly sensitive to changes in returns and risks, and the risk - parity model may lead to an overly low proportion of equity assets in the portfolio [45]. 2.2 Optimization Idea 1: Using Portfolio Insurance Method to Optimize the Sharpe Ratio of High - Risk Assets - The portfolio insurance strategy can optimize the return - risk ratio of high - volatility assets such as A - shares in the medium - to - long - term. Taking the domestic stock - bond CPPI portfolio as an example, it can achieve better risk performance compared to corresponding portfolios [52]. 2.3 Optimization Idea 2: Integrating Target Allocation Central Risk Budget Strategy - By decomposing the risk budget, the target stock - bond allocation central can be integrated into the risk - budget configuration model, and the allocation weights can be dynamically adjusted according to the changes in asset volatility [59]. 2.4 "Portfolio Insurance + Risk Budget": Balancing Return Elasticity and Risk Control - The two - stage combination design method of "portfolio insurance + risk budget" first uses the CPPI method to optimize the Sharpe ratio of single risk assets and then constructs a risk - budget investment portfolio based on the risk characteristics of each sub - portfolio. It can effectively combine return elasticity and risk control and has good robustness [63]. 3. Stock - Bond Target Allocation Central Risk Budget Portfolio 3.1 Investment Scenarios and Scheme Design - In a low - interest - rate environment, the fixed - income plus strategy can alleviate the problem of declining returns of pure - bond assets. Two strategies are designed: the stock - bond target allocation central risk budget strategy (stock - bond RB) and the "CPPI + RB" two - stage stock - bond target allocation central strategy (stock - bond CPPI_RB), with three types of allocation central combinations of 1:9, 2:8, and 3:7 constructed respectively [67][68][69]. 3.2 Portfolio Performance Analysis - During the back - testing period (January 5, 2015 - December 31, 2025), the performance of the strategy integrating the stock - bond target allocation central risk budget is better than that of the fixed - allocation central stock - bond portfolio, and the two - stage stock - bond CPPI_RB portfolio is better than the stock - bond RB portfolio [70]. 3.3 Allocation Weights and Marginal Changes - The stock - bond allocation of the three types of allocation central portfolios meets the requirements of the target allocation central. At the end of December 2025, the stock - bond RB portfolio moderately increased the weight of A - shares and increased the weight of long - term bonds while reducing the weight of short - term bonds within the bond category [75]. 4. Low - Volatility "Fixed - Income Plus" Portfolio 4.1 Investment Scenarios and Scheme Design - To reduce the volatility risk of the stock - bond portfolio during extreme "stock - bond double - kill" market conditions, an appropriate amount of gold is added. The portfolio is designed using the two - stage method of "portfolio insurance (CPPI) + risk budget (RB)", with a target allocation central of stock:gold:bond = 1:1:4 [80][81]. 4.2 Portfolio Performance Analysis - During the back - testing period (January 1, 2015 - December 31, 2025), the low - volatility "fixed - income plus" strategy has an annualized return of 7.08%, an annualized volatility of 3.47%, a maximum drawdown of - 4.92%, a Sharpe ratio of 1.99, and a Calmar ratio of 1.44 [83]. 4.3 Allocation Weights and Marginal Changes - As of December 31, 2025, the latest weights of the strategy are: CSI 800 (10.78%), gold (5.99%), 7 - 10 - year policy - financial bonds (75.09%), and short - term financing (8.14%). In December 2025, the weight of short - term financing was increased, and the weights of other assets were decreased [90]. 4.4 Strategy Implementation: Tracking Based on ETF Assets - The low - volatility "fixed - income plus" strategy can be well tracked by corresponding ETF assets. As of December 31, 2025, the annualized return of the strategy since 2023 is 9.38%, and the annualized returns of the FOF_of_ETFs portfolio based on ETF net value and on - site price are 9.05% and 9.07% respectively [95]. 5. Global Asset Allocation Portfolio 5.1 Investment Scenarios and Scheme Design - In a volatile global situation, global asset allocation can effectively diversify risks and improve the return - risk ratio of the portfolio. A two - stage FOF portfolio design method of "portfolio insurance (CPPI) + risk parity (RP)" is used [102][104]. 5.2 Global Multi - Asset Allocation Strategy I: A - shares + Bonds + Gold + US Stocks - **Performance**: During the back - testing period (January 1, 2014 - December 31, 2025), the annualized return is 11.85%, the annualized volatility is 5.94%, the maximum drawdown is - 7.97%, the Sharpe ratio is 1.91, and the Calmar ratio is 1.49. In 2025, it recorded 20.94% [106]. - **Allocation Weights and Marginal Changes**: As of December 31, 2025, the model allocation weights are: CSI 800 (18.98%), Nasdaq 100 (17.84%), gold (13.66%), and 7 - 10 - year policy - financial bonds (49.51%). In December 2025, the weight of 7 - 10 - year policy - financial bonds was increased, and the weights of other assets were decreased [111]. - **Strategy Implementation**: The strategy can be well tracked by corresponding ETF/LOF assets. As of December 31, 2025, the annualized return of the strategy since 2023 is 16.92%, and the annualized returns of the FOF_of_ETFs portfolio based on ETF net value and on - site price are 16.53% and 17.04% respectively [119]. 5.3 Global Multi - Asset Allocation Strategy II: A - shares + Bonds + Gold + Cross - Border Equities - **Performance**: During the back - testing period (January 1, 2014 - December 31, 2025), the annualized return is 10.25%, the annualized volatility is 5.09%, the maximum drawdown is - 9.97%, the Sharpe ratio is 1.94, and the Calmar ratio is 1.03. In 2025, it recorded 13.56% [126]. - **Allocation Weights and Marginal Changes**: As of December 31, 2025, the model allocation weights are: CSI 800 (9.63%), Nasdaq 100 (9.65%), Nikkei 225 (6.17%), S&P BSE Sensex (17.87%), gold (7.16%), and 7 - 10 - year policy - financial bonds (49.51%). In December 2025, the weights of S&P BSE Sensex and 7 - 10 - year policy - financial bonds were increased, and the weights of other assets were decreased [133]. - **Strategy Implementation**: The strategy can be well tracked by corresponding ETF/LOF assets. As of December 31, 2025, the annualized return of the strategy since 2023 is 14.06%, and the annualized returns of the FOF_of_ETFs portfolio based on ETF net value and on - site price are 13.60% and 14.06% respectively [145].

Group 1 - The core viewpoint emphasizes the need for institutions to adapt their asset allocation strategies in a low-interest-rate environment, with a focus on "fixed income +" as a key solution for achieving balance between safety, liquidity, and returns [1][11] - The expected collaboration between fiscal and monetary policies in 2026 aims to support economic stability and structural optimization, with a focus on technology innovation and consumer sectors [3] - The anticipated market trends suggest a shift from valuation recovery to profit growth, with key investment themes including AI, biomedicine, and consumer recovery supported by policy measures [3] Group 2 - The "fixed income +" strategy does not have a fixed ratio and can be adjusted from conservative to aggressive to achieve a balance of safety, liquidity, and returns [1][11] - In the bond market, a focus on mid to short-duration bonds (1-3 years) and high-grade credit bonds (AA+ and above) is recommended to manage risks and enhance returns [7][11] - The expected trend of a stable RMB exchange rate may attract foreign investment into Chinese assets, particularly in high-dividend and technology growth sectors [7][13] Group 3 - The investment strategy should include a mix of traditional equity tools and derivative strategies to capture opportunities in various market conditions while managing overall volatility [12] - The importance of compliance and transparency in private equity management is highlighted, with a focus on generating alpha returns for investors [12] - Institutions are encouraged to utilize diverse outbound investment channels to effectively manage geopolitical and economic cycle risks [13]

Group 1 - The global capital markets delivered impressive results in 2025, with major asset classes performing well, including a broad rise in global stock markets and a strong performance in gold, marking its best performance in nearly 46 years [1] - The market performance in 2025 was largely driven by the easing of monetary policies from major central banks and improved liquidity expectations [3] - As 2026 approaches, the investment environment is expected to become more complex due to the non-synchronous monetary policies and geopolitical uncertainties [4] Group 2 - The U.S. Treasury market anticipates approximately 50 basis points of additional rate cuts from the Federal Reserve in 2026, leading to a gradual decline in short-term Treasury yields [5] - Inflation remains a significant variable; a rebound in U.S. inflation could lead the Federal Reserve to pause rate cuts, potentially impacting Treasury performance [6] - The earnings growth for major U.S. indices is projected to increase, with the S&P 500, Nasdaq 100, and MAG 8 expected to see net profit growth rates of 15.6%, 20.0%, and 24.5% respectively, providing upward momentum for U.S. stocks [8] Group 3 - Concerns about a potential AI bubble burst in 2026 may lead to increased volatility in U.S. stocks, with current valuations of major indices at historically high levels, suggesting limited room for significant expansion [9] - The "All Weather Strategy," proposed by Ray Dalio, aims to create a diversified asset allocation that performs well across various economic environments, focusing on economic growth and inflation as core variables [10][13] - The strategy emphasizes "risk parity," where asset weights are adjusted to ensure equal contribution to overall portfolio risk, although achieving true risk parity requires professional expertise [13] Group 4 - QDII-FOF funds are highlighted as efficient tools for global asset allocation, allowing investors to access diverse global investment strategies without the complexities of direct international investing [14] - These funds can invest in a range of global assets, including U.S. stocks, Hong Kong stocks, U.S. Treasuries, and gold, and can adjust asset proportions based on market conditions [14] - The FOF structure allows for secondary diversification by investing in a selection of high-quality global funds, which can help smooth out volatility in a complex market environment [14]

Core Viewpoint - The article emphasizes the importance of multi-asset and multi-strategy investment approaches for achieving stable returns in the private equity sector, especially in the context of market fluctuations and varying performance across different strategies [10][12]. Market Performance - In 2025, the A-share market showed a notable performance with index increases of approximately 30% for both the 500 and 1000 indices, alongside high trading volumes, benefiting both subjective long positions and quantitative strategies [3]. - The commodity market also exhibited strengths, particularly in precious metals and non-ferrous metals, while energy and chemical sectors remained weak. The trend in lithium carbonate, driven by "anti-involution," provided trading opportunities for CTA strategies [3]. Strategy Performance - Despite the overall positive market conditions, not all strategies performed consistently well throughout the year. For instance, quantitative stock strategies faced challenges after August due to concentrated investments in AI technology stocks, leading to a situation where indices rose but individual stocks did not [6]. - Subjective long strategies experienced significant volatility, with extreme reversals in early and April causing many products to miss subsequent rebounds. The frequent rotation of structural market conditions resulted in notable performance differentiation among products [6]. - CTA strategies also displayed considerable performance variance, with many products enduring prolonged periods of low performance during the first half of the year [6]. Investment Outlook for 2026 - The article suggests that for 2026, investors should focus on multi-asset and multi-strategy approaches, which have gained popularity due to their ability to provide diversified income sources and risk mitigation [10][12]. - The demand for such products is evidenced by the rapid sell-out of strategies from leading institutions, such as Bridgewater's all-weather strategy and Man Group's macro strategy, indicating strong market interest [14][12]. Types of Multi-Asset Strategies - Three main types of multi-asset multi-strategy investment approaches are highlighted: 1. **Macro Strategies**: These strategies consider various macroeconomic factors to flexibly allocate across stocks, commodities, and bonds, aiming for stable absolute returns [15]. 2. **CTA Strategies**: These involve using multiple CTA strategies to trade indices, government bonds, and commodity futures, allowing for diversified asset allocation and profit from futures trading [15]. 3. **Multi-Strategy Combinations**: These strategies leverage low correlations between different strategies to achieve diversified returns and smooth overall volatility, exemplified by products like Blackwing's "quantitative + CTA + convertible bonds" combination [17][18]. Conclusion - The article concludes that despite favorable market conditions, volatility is inevitable, which can impact the holding experience and lead to missed long-term compounding returns. Therefore, a focus on multi-asset and multi-strategy private equity is recommended for better investment experiences and more predictable returns [20][21].