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HALF-YEAR REPORT 2016
Notes to the Consolidated Financial Statements
For the six months ended 30 June 2016
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34 Structured entities
(a) Consolidated structured entities
The principal guaranteed wealth management products issued and managed by CITIC Bank, a
subsidiary of the Group, represent products to which CITIC Bank has guaranteed the investor’s
principal investment. The investments of the wealth management products and the corresponding
source of funding are categorised as financial assets and financial liabilities in accordance with the
accounting policies.
(b) Structured entities sponsored by third party institutions in which the Group
holds an interest
The Group holds an interest in some structured entities sponsored by third party institutions through
investments in debt securities issued by these structured entities. Such structured entities include
wealth management products, investment management products managed by securities companies,
trust investment plans, asset-backed financings and investment funds and the Group does not
consolidate these structured entities.
The following table sets out an analysis of the carrying amounts of interests held by the Group as at
the balance sheet date in the structured entities sponsored by third party institutions, as well as an
analysis of the line items in the balance sheet in which the relevant assets are recognised:
As at 30 June 2016
Carrying amount
Financial
assets at fair
value through
profit or loss
Held-to-
maturity
investments
Available-
for-sale
financial
assets
Investments
classified as
receivables
Total
Guarantees
Maximum
loss exposure
HK$ million HK$ million HK$ million HK$ million HK$ million HK$ million HK$ million
Wealth management products
–
–
17,737
236,344
254,081
–
254,081
Investment management products
managed by securities companies
–
–
178
1,013,841
1,014,019
–
1,014,019
Trust investment plans
–
–
3,759
129,891
133,650
–
133,650
Asset-backed securities
–
3,418
8,893
–
12,311
–
12,311
Investment funds
351
–
4,592
–
4,943
–
4,943
Total
351
3,418
35,159
1,380,076
1,419,004
–
1,419,004
As at 31 December 2015
Carrying amount
Financial
assets at fair
value through
profit or loss
Held-to-
maturity
investments
Available-
for-sale
financial
assets
Investments
classified as
receivables
Total
Guarantees
Maximum loss
exposure
HK$ million HK$ million HK$ million HK$ million HK$ million HK$ million HK$ million
Wealth management products
–
–
21,206
176,186
197,392
–
197,392
Investment management products
managed by securities companies
–
–
420
986,698
987,118
–
987,118
Trust investment plans
–
–
4,836
167,074
171,910
5,040
176,950
Asset-backed financings
–
6,333
6,150
–
12,483
–
12,483
Investment funds
3,227
–
2,133
–
5,360
–
5,360
Total
3,227
6,333
34,745
1,329,958
1,374,263
5,040
1,379,303