✨ Financial Statements and Notes
NEW ZEALAND GAZETTE, No. 105
29 AUGUST 2014
ASB COMMUNITY TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2014
9. FINANCIAL ASSETS AND LIABILITIES
The Trust has the following financial assets and liabilities:
Financial Assets
| Group | Trust | |||
|---|---|---|---|---|
| 2014 | 2013 | 2014 | 2013 | |
| $ 000 | $ 000 | $ 000 | $ 000 | |
| ---------------- | -------------- | ------------ | -------------- | ------------ |
| Cash at Bank | 1,911 | 2,794 | 1,911 | 2,794 |
| Investments | 1,141,180 | 1,097,018 | 1,141,180 | 1,097,018 |
| Other Assets | 892 | 1,113 | 892 | 1,113 |
Fair Value Hierarchy
The following table analyses Financial Assets carried at Fair Value by valuation method as defined by NZ IFRS 7 (PBE) Financial Instruments: Disclosures. The Group’s Custodian (JP Morgan Chase Bank NA) measures the fair value of an instrument using quoted prices in an active market, when available. (Level 1)
If a market for a financial instrument is not active, then the Group’s Custodian establishes fair value using a valuation technique. Valuation techniques include using recent arms length transactions between knowledgeable, willing parties (if they are available), reference to the current fair value of other instruments that are substantially the same, discounted cash flow analyses and option pricing models. The chosen valuation technique makes maximum use of market inputs, relies as little as possible on estimates specific to the fund, incorporates all factors that market participants would consider in setting a price and is consistent with accepted economic methodologies for pricing financial instruments. Inputs to valuation techniques reasonably represent market expectations and measures of risk-return factors inherent in the financial instrument. The Group’s Custodian calibrates valuation techniques and tests them for validity using prices from observable current market transactions in the same instrument or based on other available observable market data. (Level 2)
Valuation techniques however, can use market data or inputs which are largely unobservable and have a more than insignificant impact on either the fair value of the instrument or the profit or loss of the instrument. The Private Equity Fund investment valuations are provided by the Fund Manager with reference to the net assets of the fund. Depending on the timing of the valuations, net asset values are adjusted for any capital calls or distributions made between the valuation date and reporting date. (Level 3)
The different hierarchy levels have been summarised as follows:
- Level 1: quoted prices (unadjusted) which are regularly available to market participants in active markets for identical assets and prices represent actual and regularly occurring market transactions on an arm’s length basis
- Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset, either directly (i.e. as prices) or indirectly (i.e. derived from prices)
- Level 3: inputs for the asset that are not based on observable market data (unobservable inputs)
Next Page →
NZ Gazette 2014, No 105
✨ LLM interpretation of page content
💰
ASB Community Trust Financial Statements
(continued from previous page)
💰 Finance & RevenueFinancial Statements, Community Trusts, Revenue, Expenses, Grants, NZ IFRS 9, Financial Instruments, Financial Reporting Framework, Public Benefit Entities