✨ Financial Statements Notes
THE WAIKATO COMMUNITY TRUST INCORPORATED
NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
The Trust manages credit concentration risks through:
- a diversified and non-correlated basket of investments across traditional and alternative classes
- selecting diverse fund managers
- ensuring compliance with the individual mandate requirements of each fund manager, where applicable.
The Trust’s investment advisors and management review the portfolio for compliance against each investment mandate on a regular basis and report findings to the Trust’s Board of Trustees.
16.5 Liquidity Risk Management
Liquidity risk is the risk that the Trust will encounter difficulty raising liquid funds to meet commitments as they fall due. Prudent liquidity risk management implies maintaining sufficient cash and the ability to close out market positions.
In meeting its liquidity requirements, the Trust maintains a level of investments that can be converted into cash at short notice.
Liquidity Risk Tables - Financial Liabilities
The following tables detail the Trust’s remaining contractual maturity for its financial liabilities. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Trust can be required to pay. The table includes both principal and interest cash flows.
| Not later than 1 Month | 1 - 3 Months | Total | |
|---|---|---|---|
| NZ$'000 | NZ$'000 | NZ$'000 | |
| 2012 | |||
| Non Interest Bearing Payables | |||
| - Trade and Other Payables | 355 | - | 355 |
| - Donations Payable | 1,255 | - | 1,255 |
| - Derivatives at Fair Value Through Profit or Loss | - | - | - |
| 1,610 | - | 1,610 |
| 2011 | | | |
| Non Interest Bearing Payables | | | |
| - Trade and Other Payables | 265 | - | 265 |
| - Donations Payable | 1,480 | - | 1,480 |
| - Derivatives at Fair Value Through Profit or Loss | - | 1,550 | 1,550 |
| | 1,745 | 1,550 | 3,295 |
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NZ Gazette 2012, No 97
✨ LLM interpretation of page content
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Notes to Financial Statements for The Waikato Community Trust Incorporated
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💰 Finance & RevenueFinancial Statements, Liquidity Risk, Investment Strategy, Waikato Community Trust