248
PERENNIAL REAL ESTATE HOLDINGS LIMITED
Annual Report 2015
NOTES TO THE FINANCIAL STATEMENTS
26 FINANCIAL INSTRUMENTS
(continued)
Measurement of fair values
(i)
Valuation techniques and significant unobservable inputs
The following tables show the valuation techniques used in measuring Level 2 and Level 3 fair values, as well as the
significant unobservable inputs used.
Financial instruments measured at fair value
Significant
Inter-relationship between
unobservable significant unobservable inputs
Type
Valuation technique
inputs
and fair value measurement
Other financial assets
The fair value is calculated using Not applicable Not applicable
– unquoted equity
the net asset value of the
investee entity, adjusted for the
fair value of the underlying assets
and liabilities, where applicable
Financial instruments not measured at fair value
Type
Valuation technique
Significant unobservable inputs
Security deposits
Discounted cash flows
(1)
Not applicable
(1)
It is assumed that inputs considered observable used in the valuation technique are significant to the fair value measurement.
(ii) Transfers between the levels
There were no transfers between the levels during the period/year.
(iii) Level 3 fair values
The following table shows a reconciliation from the opening balances to the ending balances for Level 3 fair values:
Group
Available-
for-sale
financial
assets
$’000
At 1 July 2014
–
Additions
5,445
Change in fair value recognised in OCI
(26)
At 31 December 2015
5,419
