KENANGA ANNUAL REPORT 2020

242 5 1 2 3 4 6 7 FINANCIAL STATEMENTS NOTES TO THE FINANCIAL STATEMENTS 31 December 2020 42. COMMITMENTS AND CONTINGENCIES In the normal course of business, the Group and the Bank enter into various commitments and incur certain contingent liabilities with legal recourse to their customers. No material losses are anticipated as a result of these transactions. As at reporting date, the commitment and contingencies are as follows: Group Bank 2020 Principal amount RM’000 2019 Principal amount RM’000 2020 Principal amount RM’000 2019 Principal amount RM’000 Commitments to extend credit with maturity of less than 1 year: - share margin financing 2,534,315 1,892,577 2,534,315 1,892,577 - foreign exchange related contracts 58,554 30,356 58,554 30,356 - equity exchange related contracts 158,546 108,435 158,546 108,435 Commitments to extend credit with maturity of more than 1 year: - equity exchange related contracts 520 520 520 520 Other commitments with an original maturity of less than 1 year: - corporate loans 60,050 23,742 107,550 66,742 Other commitments with an original maturity of more than 1 year: - corporate loans 98,851 76,458 118,851 101,458 - others 5,500 - - - Monies held in trust on behalf of client (Note 5) 1,257,682 623,581 1,257,682 623,581 Securities borrowing and lending 1,544 2,705 1,544 2,705 Derivative financial assets (Note 8): - dual currency investment - options 3,655 4,509 3,655 4,509 - equity related contracts - options 47,685 66,528 47,685 66,528 - equity related contracts - swap 31,216 52,340 31,216 52,340 - equity related contracts - forward 57,354 77,667 57,354 77,667 - index futures 2,688 - 2,688 - Derivative financial liabilities (Note 23): - dual currency investment - options 3,655 4,509 3,655 4,509 - equity related contracts - options 451,950 72,413 451,950 72,413 - equity related contracts - swaps 19,467 - 19,467 - - equity related contracts - forward 3,200 - 3,200 - Capital commitment: - Authorised and contracted for 4,588 5,344 4,261 5,147 Investment in equity funds - - 35,981 17,854 4,801,020 3,041,684 4,898,674 3,127,341