Prioritizing Focus in Portfolio Monitoring

As an investment advisor, you are responsible for a client's diversified portfolio that includes U.S. equities, international bonds, and real estate investments. Recently, you noticed that the U.S. equities portion of the portfolio has significantly outperformed other asset classes, leading to an unintended increase in the allocation to equities beyond the target weight of 60%.

Given the current market conditions and the client's risk tolerance, you are tasked with deciding the most appropriate course of action to rebalance the portfolio while addressing potential performance degradation and risk considerations.

What should your primary focus be when monitoring the portfolio for rebalancing?