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PPS
INTEGRATED REPORT 2018
120
NOTES TO THE
CONSOLIDATED
FINANCIAL STATEMENTS
(continued)
for the year ended 31 December 2018
5. FINANCIAL ASSETS – INVESTMENTS AT FAIR VALUE THROUGH PROFIT
OR LOSS
Group
2018
2017
R'000
R'000
Analysis of financial assets held at fair value through profit or loss
Level 1 fair value financial assets
Equity securities:
– local listed
13 683 791
14 711 830
– international listed
104 144
96 834
13 787 935
14 808 664
Level 2 fair value financial assets
Debt securities – fixed interest rate:
– government bonds and local listed
8 974 934
7 094 137
– international listed
381 367
328 108
9 356 301
7 422 245
Unit trusts and pooled funds:
– local pooled funds and unit trusts
13 805 341
12 620 444
– international equity unit trusts
3 532 610
3 595 646
– international fixed interest unit trusts
38 608
145 800
– international balanced unit trusts
2 467 713
2 595 847
19 844 272
18 957 737
Total level 2 fair value financial assets
29 200 573
26 379 982
Total financial assets at fair value through profit or loss
42 988 508
41 188 646
The investment in local pooled funds and unit trusts comprises mainly of:
Debt securities
6 356 534
5 697 315
Cash and cash equivalents
189 286
199 166
Equities
5 454 349
5 313 187
International
1 805 172
1 410 776
International investments denominated in foreign currencies were translated to Rands at the closing exchange
rates at 31 December 2018 of:
$1 = R14.35 (2017: $1 = R12.38)
N$1 = R1.00 (2017: N$1 = R1.00)
At 31 December 2018, investments classified as Level 2 comprise approximately 67.9% (2017: 64.0%) of financial
assets measured at fair value. Debt securities are classified as Level 2 as directly observable market inputs
other than level 1 inputs have been used to value these bonds. The observable inputs used to determine the
fair value of unit trusts and pooled funds classified as Level 2 are the unit prices published by the unit trust
fund managers.
At 31 December 2018, no financial assets are classified as Level 3 (2017: nil).