CFM INDOSUEZ Wealth Management - 2019 annual report

Level 1 instruments (options, futures, etc.), regardless of the underlying asset (interest rate, currencies, precious metals, main equity indices) and equities and bonds listed on an active market. A market is considered to be active when prices are readily and regularly available from stock exchanges, brokers, traders, price assessment services or regulatory agencies and such prices represent actual transactions that regularly occur on the market under normal conditions. Corporate and government and agency bonds whose valuation is based on prices obtained from independent sources that are considered executable and regularly updated are classified as Level 1. Most sovereign bond holdings are classified at this level. Level 2 instruments The main products recognised in Level 2 are: - linear derivatives such as interest rate swaps, currency swaps, and foreign exchange forward contracts. These products are valued using simple models shared by the market, based on parameters that are either directly observable (exchange rate, interest rates) or that can be derived from the market price of observable products (currency swaps); - non-linear vanilla products such as caps, floors, swaptions, currency options, stock options, credit default swaps, including digital options. These products are valued using simple models that are shared by the market based on parameters that are either directly observable (exchange rate, interest rates, stock prices) or that can be derived from the market price of observable products (volatilities). Level 3 instruments Level 3 products are those that do not meet the criteria for clas- sification at level 1 and 2, and are thus mainly products with a high model risk or products whose valuation requires the use of significant unobservable parameters. N o t e 11 : I m p a c t o f c h a n g e s t o a c c o u n t i n g m e t h o d s o r o t h e r e v e n t s 11. 1 i m pa c t o f i f r s 1 6 at 1 j a n u a r y 2 01 9 BALANCE SHEET ASSETS (in thousands of euros) (in thousands of euros) 01/01/2019 restated Impact of IFRS 16 01/01/2019 reported Cash and amounts due from central banks 305,688 305,688 Financial assets at fair value through profit or loss 5,625 5,625 Financial assets held for trading 3,968 3,968 Other financial assets at fair value through profit or loss 1,657 1,657 Hedging derivatives 28,531 28,531 Financial assets at fair value through other comprehensive income 214,958 214,958 Debt instruments recognised at fair value through other comprehensive income recyclable to income 214,655 214,655 Equity instruments recognised at fair value through other comprehensive income not recyclable to income 303 303 Financial assets at amortised cost 5,245,321 5,245,321 Loans and receivables due from credit institutions 1,802,331 1,802,331 Loans and receivables due from clients 3,277,040 3,277,040 Debt securities 165,950 165,950 Revaluation differences on portfolios hedged against interest rate risk 2,345 2,345 Current and deferred tax assets 4,798 4,798 Accrual accounts and miscellaneous assets 64,151 64,151 Non-current assets held for sale and discontinued operations Investments in companies accounted for by the equity method Investment properties 1,270 1,270 Property, plant and equipment (1) 13,200 3,287 9,913 Intangible assets (1) 39,445 -1,193 40,638 Goodwill Total assets 5,925,332 2,094 5,923,238 134 CFM Indosuez Wealth Management