KENANGA ANNUAL REPORT 2018

NOTES TO THE FINANCIAL STATEMENTS 31 December 2018 260 KENANGA INVESTMENT BANK BERHAD 50. FINANCIAL RISK MANAGEMENT (CONT’D.) (b) Market risk (cont’d.) (i) Interest rate risk (cont’d.) Group (cont’d.) 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 2017 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 % Assets Cash and bank balances 1,116,959 230,558 - - - - - 1,347,517 3.09 Financial assets at fair value through profit or loss - - - - - - 557,568 557,568 4.03 Financial investments available-for-sale 115,013 - 116,671 418,160 359,833 490 - 1,010,167 4.05 Financial investments held-to-maturity - 6,000 10,001 22,000 - - - 38,001 5.63 Derivative financial assets - - - - - 67,393 - 67,393 Loans, advances and financing 2,135,497 41,303 10,496 8,205 - - - 2,195,501 7.12 Balances due from clients and brokers - - - - - 494,883 - 494,883 Other assets - - - - - 118,417 - 118,417 Other non interest sensitive balances - - - - - 663,134 - 663,134 Total assets 3,367,469 277,861 137,168 448,365 359,833 1,344,317 557,568 6,492,581 Liabilities Deposits from customers 2,448,389 1,400,080 385,445 - - - - 4,233,914 3.54 Deposits and placement of banks and other financial institutions 210,762 - - - - - - 210,762 3.54 Borrowings 82,000 3,000 - - 5,000 - - 90,000 4.56 Obligations on securities sold under repurchase agreements 74,993 - - - - - - 74,993 Derivative financial liabilities - - - - - 36,174 - 36,174 Balances due to clients and brokers - - - - - 624,612 - 624,612 Structured product 19,114 - 27,847 - - - - 46,961 12.04 Other non interest sensitive balances - - - - - 283,699 - 283,699 Total liabilities 2,835,258 1,403,080 413,292 - 5,000 944,485 - 5,601,115 Equity - - - - - 891,466 - 891,466 Non-controlling interest - - - - - - - - Total liabilities and shareholders’ equity 2,835,258 1,403,080 413,292 - 5,000 1,835,951 - 6,492,581 On-balance sheet interest sensitivity gap 532,211 (1,125,219) (276,124) 448,365 354,833 (491,634) 557,568 - Cumulative interest sensitivity gap 532,211 (593,008) (869,132) (420,767) (65,934) (557,568) - -