KENANGA ANNUAL REPORT 2017

50. FINANCIAL RISK MANAGEMENT (CONT’D.) (b) Market risk (cont’d.) (i) Interest rate risk (cont’d.) Group 2016 Up to 1 month RM’000 >1-3 months RM’000 >3-12 months RM’000 >1-5 years RM’000 Over 5 years RM’000 Non interest sensitive RM’000 Trading book RM’000 Total RM’000 Effective interest rate % Assets Cash and bank balances 1,087,208 140,393 – – – – – 1,227,601 3.00 Financial assets at fair value through profit or loss – – – – – – 388,248 388,248 4.04 Financial investments available-for-sale 235,165 14,796 70,871 267,431 348,951 490 – 937,704 4.16 Financial investments held-to-maturity – 2,000 – 38,000 – – – 40,000 5.74 Derivative financial assets – – – – – 39,117 – 39,117 Loans, advances and financing 2,033,585 58,549 380 13,070 – – – 2,105,584 7.09 Balances due from clients and brokers – – – – – 445,005 – 445,005 Other assets – – – – – 231,439 – 231,439 Other non interest sensitive balances – – – – – 655,082 – 655,082 Total assets 3,355,958 215,738 71,251 318,501 348,951 1,371,133 388,248 6,069,780 Liabilities Deposits from customers 1,844,526 970,635 470,866 – – – – 3,286,027 3.64 Deposits and placement of banks and other financial institutions 530,861 20,093 – – – – – 550,954 3.64 Borrowings 125,700 40,000 – – – – – 165,700 4.67 Obligations on securities sold under repurchase agreements 27,253 – – – – – – 27,253 Derivative financial liabilities – – – – – 47,406 – 47,406 Balances due to clients and brokers – – – – – 857,065 – 857,065 Structured product 17,658 – 6,385 – – – – 24,043 13.68 Other non interest sensitive balances – – – – – 215,140 – 215,140 Total liabilities 2,545,998 1,030,728 477,251 – – 1,119,611 – 5,173,588 Equity – – – – – 885,956 – 885,956 Non-controlling interest – – – – – 10,236 – 10,236 Total liabilities and shareholders’ equity 2,545,998 1,030,728 477,251 – – 2,015,803 – 6,069,780 On-balance sheet interest sensitivity gap 809,960 (814,990) (406,000) 318,501 348,951 (644,670) 388,248 – Cumulative interest sensitivity gap 809,960 (5,030) (411,030) (92,529) 256,422 (388,248) – – Annual Report 2017 31 December 2017 195 notes to the financial statements