While the Sensex and Nifty have rallied to record high levels, and mid-cap and small-cap stocks have been among underperformers, Pankaj Tibrewal, fund manager at Kotak Mutual Fund says that the space holds a lot of potential in the next 3-4 years. In an interview to ET Now, Tibrewal explains that we are seeing a role reversal in the stock markets currently. Tibrewal noted that last year, it was the small cap and mid cap segment which had outperformed considerably. \u201cLast calendar year, you saw midcaps and smallcaps outperforming the broader market and 90% of the BSE 500 companies gave a positive return. But when you look at this calendar year, the mid and smallcaps have underperformed massively. The gap between the smallcap index and Nifty is about almost 20% plus and the gap between midcap and the Nifty is about 15-16%,\u201d he noted, adding that it has been a role reversal of sorts. According to the expert, post robust Q1 results by India Inc, the broader market should do much better rather than the market being driven only by 10-12 Nifty stocks. Interestingly while the 50-share index has rallied to record highs, just three stocks including \u00a0Reliance Industries, TCS and HUL have contributed to more than two-thirds of the gain in the NSE Index. According Thomson Reuters eikon data, shares of IT bellwether TCS have contributed to more than 35% of the gains in the index so far. This is followed by Reliance Industries shares, which have contributed to about 27% of the Nifty\u2019s gain. The third major performer has been the HUL shares, contributing to about 14% of the Nifty\u2019s gain in the year so far. According to Tibrewal, investors must must always adhere to a disciplined asset allocation policy. \u201cDo not invest completely in either largecap or a multicap fund; do not be 100% in a mid and smallcap fund but have a disciplined asset allocation policy. We believe that for the next three to five years, the midcap and smallcap segments hold a lot of promise,\u201d he said.