2019 Integrated Report

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) for the year ended 31 December 2019 126 | PPS INTEGRATED REPORT 2019 Group 2019 2018 R'000 R'000 Unit trusts and pooled funds: – local unit trusts and pooled funds 14 693 319 13 805 341 – international equity unit trusts 4 064 572 3 532 610 – international fixed interest unit trusts 135 409 38 608 – international balanced unit trusts 2 855 981 2 467 713 21 749 281 19 844 272 Total level 2 fair value financial assets 32 311 408 29 200 573 Total financial assets at fair value through profit or loss 47 725 372 42 988 508 The investment in local unit trusts and pooled funds comprises mainly of: 14 693 319 13 805 341 - Debt securities 7 626 277 6 356 534 - Cash and cash equivalents 362 704 189 286 - Equities 4 953 813 5 454 349 - International 1 750 525 1 805 172 International investments denominated in foreign currencies were translated to Rands at the closing exchange rates at 31 December 2019 of: $1 = R14.00 (2018: $1 = R14.35) N$1 = R1.00 (2018: N$1 = R1.00) At 31 December 2019, investments classified as Level 2 comprise approximately 67.7% (2018: 67.9%) of financial assets measured at fair value. Debt securities are classified as Level 2 as directly observable market inputs other than level 1 inputs have been used to value these bonds. The observable inputs used to determine the fair value of unit trusts and pooled funds classified as Level 2 are the unit prices published by the unit trust fund managers. At 31 December 2019, no financial assets are classified as Level 3 (2018: nil). Group 2019 2018 R'000 R'000 Analysis of movements in financial assets held at fair value through profit or loss: Opening balance 42 988 507 41 188 646 Additions 25 982 112 25 665 587 Disposals at carrying value (23 174 845) (21 428 722) Fair value net gains/(losses) excluding net realised gains/(losses) 1 822 408 (2 563 915) Accrued interest movements 107 190 126 912 Closing balance 47 725 372 42 988 508 The spread of investments by sector: Industrial (%) 49.0% 49.0% Financial (%) 32.6% 32.6% Resources (%) 18.4% 18.4% 5. FINANCIAL ASSETS – INVESTMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS (continued)