2018 UEM Edgenta Annual Report

42. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONT’D.) (f) Fair value Financial instruments that are not measured at fair value and whose carrying amounts are reasonable approximation of fair value Included in these classes of financial instruments are certain financial instruments that are not carried at fair value and whose carrying amounts are reasonable approximation of fair value: Note Trade and other receivables 21 Cash, bank balances and deposits 24 Borrowings 29 Trade and other payables 31 The carrying amounts of these financial assets and financial liabilities are reasonable approximation of fair values due either to the short term nature or insignificant impact of discounting or that they are floating rate instruments that are re-priced to market interest rates on or near the reporting date. Determination of fair value The following table provides the fair value measurement hierarchy of the Group’s assets and liabilities: Significant observable inputs Level 2 RM’000 Group 2018 Assets measured at fair value: Short term investments* 107,178 2017 Assets measured at fair value: Short term investments** 183,425 * The valuation date of these financial instruments is 31 December 2018. ** The valuation date of these financial instruments is 31 December 2017. There have been no transfers between levels during the period. Short term investments are valued based on currently available deposits with similar terms and maturities. NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2018 Management Discussion & Analysis UEM Edgenta Berhad Annual Report 2018 About UEM Edgenta Chairman’s Statement 244