this is the right thing to do perhaps. learnt this in hard way.
i sold many multibaggers at meager returns or at loss as I failed to book profit at least partially. (too much greed or carried away in optimism that good times will continue forever)
great to read ur posts. keep Sharing.
Right now, are you going to buy midcaps? or Largecaps for that matter? How much favourable do you think the risk reward ratio is?
People have different goals while investing and hence approaches are different. For me, I am only looking for 12-15% annual return, anything above is a bonus. 
Capital protection is utmost important for me. Hence I prefer investing in 100-130 companies where i see similar scope. Profit booking is a must, churning from profit will keep building up the portfolio.
I normally follow individual stock story rather than whether its midcap/largecap. But yes I feel large caps are still quoting at rich valuations be it HDFC, Maruti, Asian Paints etc. Ditto for Midcaps, however I do feel there is value in some midcaps/small caps.
I just made fresh investments after almost 8-10 months. I love bear market, gives the opportunity to pick at low levels, plus i normally average on the way down. I feel the market will fall more given the mess economy is in…Bank NPAs…Power Sector…Corporate Debts is not something which will go away easily. Hence have only allocated 20% of the incremental capital I wish to put. For me its a buy now and then forget for the next 3-5 years.
@bbbhutra
What is your view regarding PSUs right now. Do you think they are a low risk investment, and if bought now would give 15% CAGR in a year or two?
PSUs that appear low risk to me are:
ONGC
Coal India
Rec
PFC
Gail
Oil India Ltd
Vedanta
Mahanagar Gas
Feel free to add any that seem worthwhile.
Not a great fan of PSUs barring 2-3. Most of them have been wealth destroyers or have under performed the market. At current prices, bounce back might happen but I will prefer to stay away.
I do hold REC, PFC since 2015…however I am not sure how badly the power mess will hit them, it is yet to be unleashed by the goverment. Otherwise they are great dividend play companies.
As we progress through EV cycle, Oil & gas usage will dip, hence not keen in that sector.
Although we follow same philosophy- capital protection + 12-15% annual returns on long term basis and churning the portfolio on regular basis to book profits but I limit my portfolio up-20-25 stocks. If I find any new strong idea, I try to replace it with existing ideas.
I just want to clarify. So you book the profit equivalent to amount invested or you book profit in order to make your current value = invested capital in order to keep the %age of investment same?
The level of profit booking for me depends on company to company. I normally book 25-35% at 100% to bring down my costing and to churn to other stock investments.
Not a bad going …till date portfolio is up by 11%
