KENANGA ANNUAL REPORT 2018

NOTES TO THE FINANCIAL STATEMENTS 31 December 2018 262 KENANGA INVESTMENT BANK BERHAD 50. FINANCIAL RISK MANAGEMENT (CONT’D.) (b) Market risk (cont’d.) (i) Interest rate risk (cont’d.) Bank 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 892,544 200,000 - - - - - 1,092,544 3.09 Financial assets at fair value through profit or loss - - - - - - 549,735 549,735 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 2,139,979 40,101 - - - - - 2,180,080 7.12 Balances due from clients and brokers - - - - - 494,883 - 494,883 Other assets - - - - - 66,582 - 66,582 Other non interest sensitive balances - - - - - 765,170 - 765,170 Total assets 3,147,536 246,101 126,672 440,160 359,833 1,394,518 549,735 6,264,555 Liabilities Deposits from customers 2,482,622 1,410,081 385,445 - - - - 4,278,148 3.54 Deposits and placement of banks and other financial institutions 210,762 - - - - - - 210,762 3.54 Borrowings 64,000 - - - 5,000 - - 69,000 4.19 Obligations on securities sold under repurchase agreements 74,993 - - - - - - 74,993 Derivative financial liabilities - - - - - 36,174 - 36,174 Balances due to clients and brokers - - - - - 416,960 - 416,960 Structured product 19,114 - 27,847 - - - - 46,961 12.04 Other non interest sensitive balances - - - - - 197,394 - 197,394 Total liabilities 2,851,491 1,410,081 413,292 - 5,000 650,528 - 5,330,392 Equity 934,163 934,163 Total liabilities and shareholders’ equity 2,851,491 1,410,081 413,292 - 5,000 1,584,691 - 6,264,555 On-balance sheet interest sensitivity gap 296,045 (1,163,980) (286,620) 440,160 354,833 (190,173) 549,735 - Cumulative interest sensitivity gap 296,045 (867,935) (1,154,555) (714,395) (359,562) (549,735) - -