2007 - April
2007 - April
2007 - April
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2.0<br />
Notes to the consolidated financial statements at December 31 st <strong>2007</strong><br />
In <strong>2007</strong>, the Group also developed its business in the life<br />
and savings sector through a portfolio of investment policies<br />
without any discretionary profit-sharing.<br />
The corresponding risks are borne by subscribers. An<br />
optional guarantee (capped in terms of its amount) may be<br />
put in place when taking out such policies. In the event of<br />
subscription, this guarantee is broken up and assimilated<br />
with an insurance policy under IFRS.<br />
9.3.2. Procedure for managing financial risks relating<br />
to insurance companies<br />
The Group’s portfolio primarily comprises insurance company<br />
investments, the financial management of which is delegated<br />
in most cases to specialized service providers within the<br />
framework of mandates.<br />
Insurance regulations define strict criteria for the eligibility of<br />
financial instruments as well as exposure limits, rules for the<br />
distribution of the portfolio between various instruments,<br />
and rules governing the distribution of risks. In addition,<br />
they stipulate that no financial futures may be used for the<br />
management of investments.<br />
In connection with this management, the Group does not<br />
currently use any instruments to hedge against financial risks.<br />
Neither does APRIL GROUP hold any securitization vehicles<br />
(CDO or other) in its portfolios.<br />
9.3.3. Exposure to financial risks<br />
Market risk<br />
The following table presents all of the Group’s financial assets exposed to equity market risks by region:<br />
EQUITY RISK EXPOSURE<br />
BY PLACE OF LISTING<br />
(in thousand euros)<br />
Dec 31 st ,<br />
<strong>2007</strong><br />
Europe USA Other zones Total<br />
Dec 31 st ,<br />
2006<br />
Dec 31 st ,<br />
<strong>2007</strong><br />
Dec 31 st ,<br />
2006<br />
Dec 31 st ,<br />
<strong>2007</strong><br />
Dec 31 st ,<br />
2006<br />
Dec 31 st ,<br />
<strong>2007</strong><br />
Dec 31 st ,<br />
2006<br />
Shares available for sale (1)<br />
Shares recorded on a fair value<br />
basis for earnings<br />
Shares held for transaction purposes<br />
Equity securities available for sale (1)<br />
SHARES<br />
Equity UCITS available for sale (1) 49,328 41,420 2,172 4,537 51,500 45,957<br />
Equity UCITS recorded on a fair value<br />
basis for earnings<br />
Equity UCITS held for transaction<br />
purposes<br />
EQUITY UCITS 49,328 41,420 2,172 4,537 51,500 45,957<br />
TOTAL PORTFOLIO 49,328 41,420 2,172 4,537 51,500 45,957<br />
In% 95.8% 90.1% 4.2% 9.9% 100.0% 100.0%<br />
(1) Not including assets available for sale on which the impairment in value has been booked against earnings.<br />
139<br />
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