DBS BANK CHINA LIMITED NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2012 All amounts expressed in Rmb unless otherwise stated
[English translation for reference only]
54
48 FINANCIAL RISK MANAGEMENT continued
48.3 Market risk continued i
Trading market risk continued
As at 1 January 2012 to 31 December 2012
Rmb in million 31 December 2012 Average
Highest Lowest
Total 11.34
8.65 12.25
5.88 As at
1 January 2011 to 31 December 2011 31 December 2011 Average
Highest Lowest
Total 9.01
7.58 14.12
4.39 using a 1-year historical observation period
ii Non-trading market risk
Non-trading market risk arises from changes in foreign exchange rates and interest rate. Non- trading market risk arises in the course
of a the Bank’s management of funds arising from banking intermediation;
b the Bank’s banking business; specifically, from mismatches in the interest rate profile of assets and liabilities; and c from the effect of exchange rate movements
on the Ban k’s earnings and capital accounts.
China BRMC and China MRC oversee non-trading market risk and allocate core limits to risk taking units, including the setting of operational limits and guidelines to refine risk
management.
A Currency risk
Non-trading foreign exchange exposure covers the foreign exchange risk arising from foreign currency earnings. This non-trading foreign exchange risk is monitored using FX Delta report.
The table below summarizes the Bank’s exposure to foreign currency exchange rate risk at the end of reporting period. Included in the table are the Bank’s assets and liabilities at carrying
amounts in Rmb, categorized by the original currency.
DBS BANK CHINA LIMITED NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2012 All amounts expressed in Rmb unless otherwise stated
[English translation for reference only]
55
48 FINANCIAL RISK MANAGEMENT continued
48.3 Market risk continued ii Non-trading market risk continued
A Currency Risk continued
31 December 2012 RMB
USD HKD
Others Total
Assets
Cash and deposits with the central bank
14,076,680,004 416,828,875
27,279,999 7,096,034
14,527,884,912 Deposits with other banks
8,937,880,178 4,844,086,463
208,935,115 222,403,043
14,213,304,799 Placements with other banks
10,512,664,885 944,438,189
- -
11,457,103,074 Trading assets
3,987,444,525 -
- -
3,987,444,525 Investment securities - available-for-
sale 3,051,065,805
- -
- 3,051,065,805
Derivative assets 2,479,530,299
329,369,674 107,692
64,816,262 2,873,823,927
Interest receivable 378,355,013
207,420,841 4,397,073
2,541,194 592,714,121
Loans and advances 31,850,150,004
12,695,819,340 1,734,571,036
571,269,786 46,851,810,166
Fixed assets 97,164,247
- -
- 97,164,247
Long-term prepaid expenses 34,745,216
- -
- 34,745,216
Deferred income tax assets 160,799,598
- -
- 160,799,598
Other assets 95,933,134
33,954,672 -
10,931,991 140,819,797
Total assets
75,662,412,908 19,471,918,054
1,975,290,915 879,058,310
97,988,680,187 s
Liabilities
Due to other banks and financial institutions
855,497,819 205,840,906
45,447,274 -
1,106,785,999 Placements from other banks
3,250,000,000 10,685,063,731
- -
13,935,063,731 Financial assets sold under
repurchase agreements 2,141,329,682
- -
- 2,141,329,682
Derivative liabilities 1,008,494,555
1,649,248,297 94,326
86,243,531 2,744,080,709
Due to customers 59,404,004,609
4,796,990,573 298,043,938
3,311,741,193 67,810,780,313
Payroll and welfare payable 113,652,239
- -
- 113,652,239
Taxes payable 25,904,944
- -
- 25,904,944
Interest payable 1,105,064,171
42,863,955 2,505,694
56,645,243 1,207,079,063
Bond issued 497,867,340
- -
- 497,867,340
Other liabilities 237,397,290
225,458,921 12,196,822
18,000,472 493,053,505
Total liabilities 68,639,212,649
17,605,466,383 358,288,054
3,472,630,439 90,075,597,525
Net on-balance sheet position 7,023,200,259
1,866,451,671 1,617,002,861
2,593,572,129 7,913,082,662
Financial guarantees and credit related commitments
23,698,238,120 2,162,674,679
91,865,592 30,491,005
25,983,269,396
DBS BANK CHINA LIMITED NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2012 All amounts expressed in Rmb unless otherwise stated
[English translation for reference only]
56
48 FINANCIAL RISK MANAGEMENT continued
48.3 Market risk continued ii
