Group 1 - The article introduces the "Xiaoxue Three-Part Method" investment strategy, which aims to provide a more scientific and sustainable investment approach to avoid losses from chasing market trends [3][4]. - The investment allocation is based on a growth-oriented plan with a ratio of 30% bonds, 60% stocks, and 10% commodities, reflecting the author's risk tolerance and investment goals [3][4]. - The bond allocation focuses on domestic bonds and U.S. dollar bonds to benefit from high yields and potential interest rate cuts, serving as a stabilizing component in the portfolio [3][4]. Group 2 - The performance of the Xiaoxue Three-Part Method portfolio showed an overall increase of 0.76% last week, with contributions from both equity and bond segments despite a turbulent domestic equity market [7]. - The article highlights the resilience of the portfolio amid geopolitical tensions, with gold prices rising by 1.56% and oil prices surging by 13.32% due to market dynamics [7][18]. - The article notes that the portfolio's year-to-date weighted return is 4.88%, with a maximum drawdown of less than 8%, indicating a balanced growth strategy [7]. Group 3 - The A-share market experienced a pullback, with major indices declining, while sectors like energy and materials showed positive performance [9][10]. - The Hong Kong market displayed mixed results, with healthcare and materials sectors performing well, while consumer sectors faced declines [12]. - U.S. stock indices faced pressure, with the S&P 500, Nasdaq, and Dow Jones all recording losses due to rising inflation expectations and geopolitical tensions [14]. Group 4 - The bond market showed a slight upward trend, supported by central bank signals and increased buying activity in short-term bonds [15][17]. - The article emphasizes the importance of commodity investments as a risk-hedging tool, with a recommended allocation of 10-15% to enhance portfolio performance [4][21]. - Geopolitical events have significantly impacted commodity prices, with oil prices rebounding sharply due to Middle Eastern tensions and gold prices benefiting from increased safe-haven demand [18][20].

Group 1 - The core idea of the article emphasizes the importance of fixed overall volatility in asset allocation to maximize returns and Sharpe ratios, derived from the pursuit of portfolio efficiency [3][41]. - The article outlines a three-step process to reconstruct investment paradigms: setting risk budgets, decomposing volatility allocation, and maximizing efficiency [6][10][11]. - The article presents backtesting results using the "three-part method" tool, comparing various strategies and highlighting the performance of long bond and equity combinations [4][12]. Group 2 - The first step involves anchoring the overall annualized volatility target, which should align with the investor's risk tolerance, with examples indicating a target of around 2% volatility corresponding to a maximum drawdown of 2% [6][7]. - The second step focuses on decomposing total volatility across asset classes using dynamic optimization models, aiming for negative correlation between asset classes to enhance returns [10][16]. - The third step aims to maximize the overall portfolio efficiency by adjusting the volatility exposure allocated to different asset classes [11][21]. Group 3 - Backtesting results show that an 88.5% long bond and 11.5% equity combination achieved a cumulative return of 22.20% with an annualized volatility of only 2.19%, significantly lower than the 17.72% volatility of the CSI 300 index [16][42]. - The long bond portion contributed an annualized volatility of 1.85%, while the equity portion contributed only 0.68% due to their negative correlation of -0.33, resulting in a compressed overall portfolio volatility [16][22]. - The article highlights that the long bond and equity strategy outperformed pure long bond strategies, achieving a higher Sharpe ratio of 2.47 compared to 2.02 for pure long bonds [21][41]. Group 4 - The article discusses the advantages of the long bond and equity strategy, noting that long bond funds have a higher unit risk-return ratio compared to equity funds in recent market conditions [44][45]. - It emphasizes that a stronger negative correlation between long bonds and equities allows for higher volatility exposure while maintaining lower overall portfolio volatility [46][47]. - The conclusion suggests that in the current market environment, anchoring around 2% volatility, the optimal solution is a combination of long bonds and equities, despite a potentially higher maximum drawdown compared to short bonds and equities [48].