KENANGA ANNUAL REPORT 2018

NOTES TO THE FINANCIAL STATEMENTS 31 December 2018 259 ANNUAL REPORT 2018 50. FINANCIAL RISK MANAGEMENT (CONT’D.) (b) Market risk (cont’d.) (i) Interest rate risk (cont’d.) Group Up to 1 month >1-3 months >3-12 months >1-5 years Over 5 years Non interest sensitive Trading book Total Effective interest rate 2018 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 % Assets Cash and bank balances 897,263 196,235 - - - 257,762 - 1,351,260 3.31 Financial assets at fair value through profit or loss - - - - - - 189,224 189,224 4.35 Financial instruments at fair value through other comprehensive income (“FVOCI”) 679,164 - 180,278 401,405 399,075 1,754 - 1,661,676 4.10 Financial instruments at amortised cost - 8,716 - 62,461 50,079 - - 121,256 4.96 Derivative financial assets - - - - - 71,992 - 71,992 Loans, advances and financing 1,923,847 19,820 33,441 27,747 - 60 - 2,004,915 7.61 Balances due from clients and brokers - - - - - 296,323 - 296,323 Other assets 79,401 - - - - 96,472 - 175,873 Other non interest sensitive balances - - - - - 674,009 - 674,009 Total assets 3,579,675 224,771 213,719 491,613 449,154 1,398,372 189,224 6,546,528 Liabilities Deposits from customers 2,526,837 892,512 942,755 200,000 - - - 4,562,104 3.72 Deposits and placement of banks and other financial institutions 95,016 - - - - - - 95,016 3.72 Borrowings 82,300 12,000 - - 25,000 - - 119,300 5.09 Obligations on securities sold under repurchase agreements 83,067 - - - - - - 83,067 Derivative financial liabilities - - - - - 12,693 - 12,693 Balances due to clients and brokers - - - - - 481,932 - 481,932 Structured product 13,636 - 23,586 - - - - 37,222 14.50 Other non interest sensitive balances - - - - - 284,188 - 284,188 Total liabilities 2,800,856 904,512 966,341 200,000 25,000 778,813 - 5,675,522 Equity - - - - - 871,006 - 871,006 Non-controlling interest - - - - - - - - Total liabilities and shareholders’ equity 2,800,856 904,512 966,341 200,000 25,000 1,649,819 - 6,546,528 On-balance sheet interest sensitivity gap 778,819 (679,741) (752,622) 291,613 424,154 (251,447) 189,224 - Cumulative interest sensitivity gap 778,819 99,078 (653,544) (361,931) 62,223 (189,224) - -