Rebalancing Strategies in Volatile Markets

Jonathan is a wealth manager for a group of high-net-worth clients. He typically rebalances their portfolios annually to align with their strategic asset allocation. However, this year, Jonathan is considering other rebalancing strategies due to significant market volatility and potential tax implications associated with capital gains. He wants to ensure that the new strategy not only maintains the desired risk level but also minimizes transaction costs.

Which of the following rebalancing strategies would best serve Jonathan's goal of minimizing transaction costs while managing volatility?