75
4. Financial Instruments, Financial Risks and Capital Assets
Management (cont’d)
b) Financial risk management policies and objectives (cont’d)
(vi) Fair value of financial assets and financial liabilities (cont’d)
Financial Asset
Available-for-sale
(see Note 12)
Group
Fair Value as at ($’000)
Co-operative
Fair Value as at ($’000)
Fair Value
Hierarchy
Valuation
technique(s)
and key
input(s)
December 31,
2014
December31,
2013
December 31,
2014
December 31,
2013
1)
Quoted unit trust
investments
604,013
567,100
505,834
475,418
Level 1
(a)
2) Quoted equity
investments
141,538
103,468
141,538
103,468
Level 1
(a)
3) Quoted bond
investments
196,408
210,412
196,408
210,412
Level 1
(a)
4) Unquoted debt
instruments
28,000
28,000
28,000
28,000
Level 2
(b)
5) Unquoted equity
investments
15,201
14,270
-
-
Level 3
(c)
Total
985,160
923,250
871,780
817,298
The fair values of other financial assets and liabilities are determined as follows:
(a) the fair values of financial assets and financial liabilities traded on liquid markets are determined with reference
to quoted market prices;
(b) the fair values of the unquoted debt instruments included within level 2 are estimated based on discounted
cash flow analysis. Key inputs include the contract interest rates, discounted at a rate that reflects the credit
risk of various counterparties;
(c) The fair values of the unquoted equity investments included within level 3 are estimated based on the Group’s
share of the net asset values of the investee company, which approximates their fair values as at December 31,
2014. The investee company’s main asset is an investment property which is carried at fair value.
Notes to Financial Statements
December 31, 2014
