Abstract:While Retrieval-Augmented Generation (RAG) systems enhance Large Language Models (LLMs) by incorporating external knowledge, they still face persistent challenges in retrieval inefficiency and the inability of LLMs to filter out irrelevant information. We present ParetoRAG, an unsupervised framework that optimizes RAG systems through sentence-level refinement guided by the Pareto principle. By decomposing paragraphs into sentences and dynamically re-weighting core content while preserving contextual coherence, ParetoRAG achieves dual improvements in both retrieval precision and generation quality without requiring additional training or API resources. This framework has been empirically validated across various datasets, LLMs, and retrievers.