Financial Awareness Session on Mutual Funds: Department of Commerce and Business Administration
The Department of Commerce and Business Administration of Besant Women’s College, under the Internal Quality Assurance Cell (IQAC), in collaboration with the Association of Mutual Funds in India (AMFI), Mumbai, organized a Financial Awareness Session on Mutual Funds on 8th September 2025 at 1:00 p.m. in the college A.V. Room.
The session aimed to promote financial literacy among students and help them understand the importance of investing in mutual funds as a means of disciplined savings, wealth creation, and long-term financial security.
In today’s fast-evolving financial world, it is essential for students — especially those pursuing commerce and management — to be aware of various investment avenues and the regulatory mechanisms that ensure transparency and investor protection. This session provided a comprehensive understanding of the concept, working, and benefits of mutual funds.
The session was conducted by Dr. Prashanth, Assistant Professor in the Department of Economics, School of Social Work, Roshni Nilaya, Mangalore. Dr. Prashanth has extensive knowledge in the areas of economics, finance, and investor education. His session combined
theoretical clarity with practical insights, making complex financial concepts easy to understand for students.
About the Topic – Mutual Funds
Dr. Prashanth began the session by introducing the concept of Mutual Funds as a professionally managed investment vehicle that pools money from multiple investors to invest in diversified financial instruments such as equities, bonds, and money market securities.
He explained that mutual funds are ideal for individuals who wish to invest in the financial markets but lack the expertise or time to analyze and manage investments on their own. Mutual funds are managed by professional fund managers who make investment decisions on behalf of investors.
Key Points Covered:
- Definition and Concept:
A mutual fund is a trust that collects money from investors and invests in securities in line with specific investment objectives. The income earned through these investments is distributed proportionally among investors after deducting applicable expenses.\
- Types of Mutual Funds:
Equity Funds: Invest primarily in company shares; suitable for long-term growth.
Debt Funds: Invest in government or corporate bonds; ideal for stable returns and low risk.
Hybrid Funds: Combine both equity and debt investments to balance risk and return.
Index Funds and ETFs: Track the performance of a market index such as Nifty or Sensex.
Sectoral Funds: Focused on specific sectors like banking, IT, or healthcare.
- Structure of Mutual Funds:
Dr. Prashanth explained the roles of key entities such as:
Asset Management Company (AMC): Manages the fund’s investments.
Trustee: Ensures that the AMC operates in the interest of investors.
Custodian: Holds the fund’s securities safely.
Registrar and Transfer Agent (RTA): Manages investor records and transactions.\
- Concept of NAV (Net Asset Value):
NAV represents the per-unit value of a mutual fund and is calculated daily. It determines the price at which investors buy or sell fund units.
- Benefits of Investing in Mutual Funds:
Professional Management of funds by experienced managers.
Diversification reduces overall investment risk.
Liquidity allows investors to redeem units anytime.
Transparency through regular disclosures by AMCs.
Regulatory Protection by SEBI and AMFI.
Affordability – investors can start with small amounts via SIPs.
- Systematic Investment Plan (SIP):
Dr. Prashanth emphasized SIP as a disciplined way to invest fixed amounts regularly. He illustrated how SIPs help investors benefit from rupee cost averaging and compound growth over time.
- Risk and Return Relationship:
The resource person clarified that while higher returns are linked to higher risks, proper diversification and long-term investment can help minimize market fluctuations.
- Investor Protection Measures:
SEBI (Securities and Exchange Board of India) acts as a regulator ensuring fair practices and transparency
AMFI (Association of Mutual Funds in India) promotes ethical standards, investor education, and grievance redressal.
- How to Invest in Mutual Funds:
The session explained both online and offline investment procedures, KYC requirements, and the role of financial advisors in helping investors choose suitable schemes.
- Interactive Session
Students actively participated in the Q&A session at the end of the presentation. Questions related to SIP duration, taxation on returns, difference between mutual funds and shares, and risk management were discussed in detail. Dr. Prashanth patiently answered each query and encouraged students to start learning about financial planning early in life.
Outcome and Feedback
The session received overwhelming response and positive feedback from students. Many participants expressed that this was their first detailed exposure to investment-related concepts. The session succeeded in instilling confidence and awareness about financial planning, particularly the benefits of investing through mutual funds.
Students also appreciated the real-world examples and the use of visual presentations that made technical concepts easy to grasp.
Conclusion
The Financial Awareness Session on Mutual Funds conducted by Dr. Prashanth in association with AMFI (Mumbai) was highly enriching and educational. It effectively bridged the gap between classroom learning and real-world financial knowledge.
Through this program, students gained practical insights into the working of mutual funds, the importance of early and systematic investments, and the role of regulatory bodies in protecting investor interests.
The Department expressed heartfelt thanks to Dr. Prashanth for his informative presentation, to AMFI for its collaboration, and to the college management for its continuous support in promoting financial literacy among students.
