To make shopping for a mutual fund easier, SEC rules require funds to identify all fees and charges such as sales loads or annual fund expenses in a standardized table displayed at the front of each prospectus. If the table of fees and expenses is a snapshot of the Fund's expenses, the financial highlights is a motion picture. This area details the historic net asset value, any distributions the fund has paid, the performance of the Fund, the history of the funds expenses and assets, and the turnover of the portfolio. The history is complete since the inception of the Fund on an annual basis. An important thing to note is if the expenses have declined as assets have grown and whether the portfolio turnover has been low.
Most funds state a goal for the level of turnover in the portfolio.
A fund with a high turnover will usually be a sign of a more aggressive portfolio or one with a higher tax liability. A high turnover is not necessarily a bad thing but something to be aware of and to ask questions about when you call the fund company. This all encompassing category details what the Fund can and cannot do from an investment and policy standpoint. The section is usually broken down by asset class showing whether the Fund can invest in those types of securities and the percentage allowed of each. Portfolio turnover is referenced here.