122
Religare Health Trust
Notes to the
Financial Statements
For the financial year ended 31 March 2016
32. Fair value of financial instruments (cont’d)
(d)
Level 3 fair value measurements (cont’d)
(ii)
Valuation policies and procedures
The Group engages external, independent and qualified valuers to determine the fair value of the Group’s
unquoted shares and properties at the end of every financial year.
The Trustee-Manager is responsible for selecting and engaging valuation experts that possess the relevant
credentials and knowledge for the valuation of the unquoted shares and properties.
For valuation performed by external valuers, management reviews the appropriateness of the valuation
methodologies and assumptions adopted.
Significant changes in fair value measurements from period to period are evaluated by management for
reasonableness. Key drivers of the changes are identified and assessed for reasonableness against relevant
information from independent external sources, or internal sources if necessary and appropriate. Significant
valuation issues are reported to the Audit and Risk Management Committee.
(e)
Fair value of financial instruments by classes that are not carried at fair value and whose carrying amounts are
reasonable approximation of fair value
Financial assets - current (other than short term investments and unquoted shares) (Note 19), trade receivables (Note 22),
other assets - current, cash and bank balances (Note 23), loans and borrowings (Note 24), trade and other payables (Note 25)
and other liabilities - current (Note 26).
The carrying amounts of these financial assets and liabilities are reasonable approximation of fair values, either due to
their short-term nature or that they are floating rate instruments that are re-priced to market interest rates on or near
the end of the reporting period.
