✨ Financial Statements Notes
14 SEPTEMBER 2012 NEW ZEALAND GAZETTE, No. 114 3289
ASB COMMUNITY TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2012
The effect on the Group’s Statement of Comprehensive Income and Statement of Financial Position as at 31 March 2011, due to a possible change in market risk (including interest rate risk, currency risk and pricing risk) is represented in the following table:
| | Sensitivity Range
| (-1 to +1 standard deviation from the
| expected annual return) | Sensitivity Impact
| (from the expected annual return)
| $000 |
|----------------------------|---------------------------------------------|---------------------------------------|
| Growth Assets | -5.8% to +26.6% | -28,044 to +128,616 |
| Diversified Assets | -1.0% to +17.4% | -1,664 to +28,954 |
| Inflation Proofing Assets | -6.6% to +23.4% | -5,261 to +19,930 |
| Deflation Proofing Assets | +0.1% to +11.5% | +362 to +41,628 |
| Total Portfolio | -0.8% to +17.6% | -8,841 to +194,503 |
There is a 68% probability that the return in any one year will be within the range of -0.8% to +17.6%.
These sensitivity analyses are based on the volatility of each asset class and the portfolio as a whole, as measured by plus or minus one standard deviation. The overall effect of the Group’s diversified portfolio of uncorrelated financial assets is to reduce volatility and stabilise investment returns over time.
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NZ Gazette 2012, No 114
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Notes to the Financial Statements of ASB Community Trust
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💰 Finance & RevenueFinancial Statements, Investments, Currency Risk, Hedging, Pricing Risk, Market Sensitivity, Portfolio Analysis