What the prospectus can tell you
 Mutual funds provide a lot of information that can make it easier to identify and diversify among different subclasses of investments. This is because the fund company has to state in its prospectus how the fund is invested, and what its major holdings are. For instance, if a mutual fund invests primarily in small-cap technology stocks, this will be stated in its prospectus. This means you have some sense of what major asset classes and subclasses the fund invests in, such as small-, medium-, and large-cap stocks, short- and long-term government and corporate bonds, international stocks and bonds, and stocks in specific sectors and industries.
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Don Kittell