Parimal Ade: • Suppose, your initial allocation in Equity is 60%, and currently, it is at 70%-75%, then one has to take 20%-25% of the allocation in Equity should be in actively managed Large Cap Fund which should beat benchmark index. Or follow the Do It Yourself (DIY) technique and invest in Index Funds. • And these allocations in Large Cap Funds or Index Funds will help you out in booking profits. As there may be a thought process that your investments in Mid-Cap Stocks and Small-Cap Stocks can grow much more in the future, and hence you don’t want to disturb these allocations. • Now you have to take back your equity allocation to 60% by shifting surplus appreciation in equity side (recommended from Actively Managed Large Cap Fund or Index Funds, which has been discussed above) to other asset classes. And by this way your stocks where you see a great potential will not be affected by this re-balancing.