Financial Report 2019

Notes to the Consolidated Financial Statements 合併財務報表附註 The University of Hong Kong 香港大學 105 37. FINANCIAL RISK MANAGEMENT 財務風險管理 (i) Financial risk factors The Group’s activities expose it to a variety of financial risks: market risk (including foreign exchange risk, price risk and interest rate risk), credit risk and liquidity risk. The Group’s overall risk management focuses on controlling the impact arising from unpredictability of financial markets and seeks to minimise potential adverse effects on the Group’s financial performance. The Finance Committee assumes the risk management responsibility and monitors regularly the risk exposures of the Group. (1) Market risk Market risk represents the risk that the value of financial assets will decrease as a result of movements in market variables such as foreign exchange rates, stock prices and interest rates. The Group is exposed to market risk mainly through the investment funds it holds. The Group’s investments comprise of equities, debt securities, hedge funds and structured and time deposits. The investment principle of the Group is to invest prudently in order to preserve capital and achieve optimal risk diversification while generating the required return and liquidity. The Group employs reputable third party investment managers to manage a proportion o f i t s i nves tmen t s , t h r ough un i t t r us t s and segregated investment portfolios, and delegates the Finance and Enterprises Office of the University to manage structured and time deposits and debt investments carried at amortised cost. The Finance Committee appoints an Investments Sub-Committee to oversee and advise on the Group’s investment strategy and to monitor the performance of the investment managers. The Investments Sub-Committee sets specific exposure limits to different asset classes and monitors the actual exposures regularly according to the latest market conditions. The Investments Sub- Committee also formulates investment guidelines and restrictions on areas such as stock markets, foreign currencies and credit standing of issuers of debt securities for the investment managers to comply with. The investment guidelines and restrictions specify exposure limits to different asset types, instruments, foreign currencies and stock markets and prohibits investments that carry unacceptable level of risk. Compliance with the investment guidelines and restrictions are monitored on a regular basis by the custodians and the Finance and Enterprises Office of the University. (i) 財務風險因素 本機構的活動承受著多種的財務風 險﹕市場風險（包括外匯風險、價格 風險和利率風險）、信貸風險及流動 資金風險。本機構的整體風險管理 專注於控制因財務市場難以預測的 影響，並尋求儘量減低對本機構財 務表現的潛在不利影響。財務委員 會負責本機構風險管理及定期監察 的風險設定。 (1) 市場風險 市場風險是因滙率、股票價格 及利率等市場變數出現變動而 引致財務資產出現虧損的風 險。本機構承受的市場風險主 要來自其持有的投資基金。本 機構的投資包括股本證券、債 券、對沖基金、結構性存款及 定期存款。本機構的投資原則 是以審慎的投資保障本金及實 現適當分散風險，同時取得所 需的回報及流動資金。本機構 從外委聘具規範的投資經理透 過單位信託基金及獨立投資組 合管理部分投資，也授權財務 及企業管理處管理結構性存 款、定期存款及以攤銷成本列 賬之債務投資。 財務委員會委任投資附設委員 會負責監督及建議本機構的投 資策略和監察投資經理的表 現。投資附設委員會對各種投 資類別訂下明確的投放額度， 並定期就最新的市場環境監察 實際的投放情況。投資附設委 員會也制訂給各投資經理遵守 的投資指引及限制範圍，如股 票市場、外幣及發債者的信貸 情況。投資指引及限制明確訂 出各種投資類別、工具、外幣 及股票市場的投放額度，同時 禁止從事風險達到不能接受水 平的投資。大學的財務及企業 管理處和保管銀行負責定期檢 視投資指引及限制是否被徹實 遵行。 Notes to the Consolidated Financial Statements 合併財務報表附註 2019 Financial Report 二零一九財務報告 106 37. FINANCIAL RISK MANAGEMENT – Cont’d 財務風險管理－續 (i) Financial risk factors – Cont’d (1) Market risks – Cont’d Foreign exchange risk The Group operates mainly in Hong Kong. Other than financial investments denominated in foreign currencies in the investment funds, the Group has limited exposure to foreign exchange risk which arises from foreign currency purchases and receipts/payment for activities jointly organised with overseas institutions. For financial investments denominated in foreign currencies, a significant portion is denominated in United States dollars to which the Hong Kong dollar is pegged. When seeking to optimise the return on its funds available for investment, the Group may invest in non- Hong Kong dollar securities from time to time under the limit prescribed by the Investments Sub- Committee. At 30 June 2019, the percentage of financial investments denominated in currencies other than Hong Kong Dollar and US Dollar to total financial investments of the Group is 8% (2018: 9%). The Group’s financial investments include Financial Investments at Amortised Cost, Financial Assets at Fair Value through Profit or Loss, Bank Deposits and Cash and Cash Equivalents and the details of the exposure are as follows: 2019 2018 Euro 歐羅 2% 2% Sterling 英鎊 1% 1% Japanese Yen 日圓 1% 1% Renminbi 人民幣 2% 2% Others 其他 2% 3% Total 總額 8% 9% The Group does no t have ma t e r i a l f i nanc i a l liabilities denominated in foreign currency and cons i de r s t he r e l a t ed f or e i gn exchange r i sk immaterial. (i) 財務風險因素－續 (1) 市場風險－續 外匯風險 本機構的主要營運地點為香 港。故此除來自投資基金中以 外幣作結算的金融投資外，本 機構對用外幣購物及來自與海 外機構聯合舉辦活動的收 / 付款 只承受有限之外匯風險。而以 外幣作結算的金融投資大部份 都是投放在與港元掛鈎的美元 當中。為求於可供投資的資金 中獲得最大之回報，本機構亦 會根據投資附設委員會制訂的 額度投資非港元證券。 於二零一九年六月三十日，本 機構以港元或美元以外的外幣 作結算之金融投資佔總金融投 資百分之八（二零一八年為百分 之九）。本機構之金融投資包括 以攤銷成本列賬的財務投資、 按公平值計入損益賬的財務資 產、銀行存款及現金及等同現 金，其外匯風險詳情表列如下： 本機構無重大外幣財務負債， 並認為有關的外匯風險微不足 道。