Annual Report Development Fund

Transcription

1 Annual Report Development Fund For the year ended 31 December 2015 The Uniting Church in Australia, Synod of Victoria and Tasmania Development Fund (the Fund) The head office: 130 Little Collins Street Melbourne, Victoria, Australia 3000 Auditor: Deloitte Touche Tohmatsu 550 Bourke Street Melbourne, Victoria, Australia 3000 The Financial Statements are prepared by UCA Cash Management Fund Limited as manager of the Fund on behalf of the Uniting Church in Australia Property Trust (Victoria). The Fund is managed in accordance with a management agreement between UCA Cash Management Fund Limited and The Uniting Church in Australia Property Trust (Victoria). The agreement was renewed on 2 June UCA Funds Management Level 5, 130 Little Collins Street, Melbourne, Victoria, 3000 Phone: Fax: info@ucafunds.com.au UCA Funds Management is the registered business name of UCA Funds Management Limited ABN , AFSL , and is a social enterprise of The Uniting Church in Australia, Synod of Victoria and Tasmania. ARDF1005v2

2 Deloitte Touche Tohmatsu ABN Bourke Street Melbourne VIC 3000 GPO Box 78 Melbourne VIC 3001 Australia Tel: Fax: Independent Auditor s Report to the Investors of The Uniting Church in Australia Synod of Victoria and Tasmania Development Fund We have audited the accompanying financial report of The Uniting Church in Australia Synod of Victoria and Tasmania Development Fund ( the Fund ), which comprises the statement of financial position as at 31 December 2015, the statement of profit and loss and other comprehensive income, the statement of cash flows and the statement of changes in equity for the year then ended, notes comprising a summary of significant accounting policies and other explanatory information, and Directors statement in relation to Development Fund as set out on pages 4 to 15. Directors Responsibility for the Financial Report The directors of UCA Cash Management Fund Limited, to whom this responsibility has been delegated by the Uniting Church in Australia Property Trust (Victoria) are responsible for the preparation and fair presentation of the financial report in accordance with Australian Accounting Standards (including the Australian Accounting Interpretations), and for such internal control as directors determine is necessary to enable the preparation of the financial report that is free from material misstatement, whether due to fraud or error. In Note 2, the directors also state, in accordance with Accounting Standard AASB 101 Presentation of Financial Statements, that the financial statements comply with International Financial Reporting Standards. Auditor s Responsibility Our responsibility is to express an opinion on the financial report based on our audit. We conducted our audit in accordance with Australian Auditing Standards. Those standards require that we comply with relevant ethical requirements relating to audit engagements and plan and perform the audit to obtain reasonable assurance whether the financial report is free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. The procedures selected depend on the auditor s judgement, including the assessment of the risks of material misstatement of the financial report, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Fund s preparation and fair presentation of the financial report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Fund s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the directors, as well as evaluating the overall presentation of the financial report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. 2 Development Fund Annual Report 31 December 2015

3 Opinion In our opinion: (a) the financial report of The Uniting Church in Australia Synod of Victoria and Tasmania Development Fund presents fairly, in all material respects, the Fund s financial position as at 31 December 2015 and its financial performance for the year then ended in accordance with Australian Accounting Standards (including Australian Accounting Interpretations); and (b) the financial statements also comply with International Financial Reporting Standards as disclosed in Note 2. DELOITTE TOUCHE TOHMATSU Neil Brown Partner Chartered Accountants Melbourne, 19 April 2016 Development Fund Annual Report 31 December

4 Statement in relation to the Development Fund In the opinion of the directors of UCA Cash Management Fund Limited: a) the financial statements and notes set out on pages 5 to 15: i) comply with Australian Accounting Standards and other mandatory professional reporting requirements; ii) give a true and fair view of the Fund s financial position as at 31 December 2015 and its performance for the year ended on that date; and iii) comply with International Financial Reporting Standards. b) there are reasonable grounds to believe that the Fund will be able to pay its debts as and when they become due and payable. This declaration is made in accordance with a resolution of the directors of UCA Cash Management Fund Limited, to whom this responsibility has been delegated by the Uniting Church in Australia Property Trust (Victoria). R J Carter Director M Walsh Director Melbourne, 19 April Development Fund Annual Report 31 December 2015

5 Statement of Profit and Loss and Other Comprehensive Income for the year ended 31 December 2015 Notes $ 000 $ 000 Investment income Interest received from related parties 7 h) 4,265 5,150 Interest on loans Total investment income 4,625 5,855 Expenses Loan fee Grant to Synod 7 a) Recoverable fee 7 g) Total expenses Profit attributable to investors 4,145 4,975 Financing costs attributable to investors Distributions to investors 5 4,145 4,975 Increase/(decrease) in net assets attributable to investors Net profit for the year Other comprehensive income for the year Other comprehensive income for the year Total comprehensive income for the year The above Statement of Profit and Loss and Other Comprehensive Income should be read in conjunction with the accompanying notes. Statement of financial position as at 31 December 2015 Notes $ 000 $ 000 Assets Investment in UCA Cash Management Fund Limited 7 h) 128, ,705 Accrued income 66 General loans 12,475 Earmarked loans 93 Total assets 128, ,339 Liabilities (excluding net assets attributable to investors) Net assets attributable to investors 128, ,339 Liabilities attributable to investors 4 (128,138) (142,339) Net assets The above Statement of Financial Position should be read in conjunction with the accompanying notes. Development Fund Annual Report 31 December

6 Statement of Cash Flows for the year ended 31 December 2015 Notes $ 000 $ 000 Cash flows from operating activities Income received from loans Interest received from UCA Cash Management Fund Limited 4,265 5,150 Loan fee paid (49) (84) Recoverable fee paid 7 g) (55) (65) Net loan (advances)/repayment 12,568 3,050 Investment in UCA Cash Management Fund Limited (40,993) (37,562) Proceeds from disposal of investment in UCA Cash Management Fund Limited 42,560 30,112 Grant to Synod (376) (731) Net cash inflow from operating activities 9 a) 18, Cash flows from financing activities Distributions paid to investors (870) (1,017) Withholding tax deducted (from distributions paid to investors) (2) (5) Applications received from investors 36,017 44,730 Redemptions paid to investors (53,491) (44,335) Net cash inflow/(outflow) from financing activities (18,346) (627) Net change in cash and cash equivalents Cash and cash equivalents at beginning of the year Cash and cash equivalents at end of the year The above Statement of Cash Flows should be read in conjunction with the accompanying notes. Statement of changes in equity for the year ended 31 December 2015 Notes $ 000 $ 000 Total equity at the beginning of the year Net profit Other comprehensive income for the year Total comprehensive income for the year Total equity at the end of the year Under Australian Accounting Standards, Net assets attributable to investors is classified as a financial liability rather than equity. As a result there was no equity at the start or end of the year. The above Statement of Changes in Equity should be read in conjunction with the accompanying notes. 6 Development Fund Annual Report 31 December 2015

7 Notes to and forming part of the Accounts for the year ended 31 December 2015 Note 1: General Information This general purpose financial report includes the financial statements and notes of the Development Fund (the Fund) as an individual entity for the year ended 31 December The Fund is managed in accordance with a management agreement between UCA Cash Management Fund Limited and The Uniting Church in Australia Property Trust (Victoria). The agreement was renewed on 2 June The financial statements were authorised by the Directors of UCA Cash Management Fund Limited, to whom this responsibility has been delegated by the Uniting Church in Australia Property Trust (Victoria) on 19 April The Fund does not guarantee an income stream or return on capital. a) Investors The Fund is available to Uniting Church members, adherents, congregations and programs and any other individual or organisation that wishes to promote the work of the Church by investing in the Fund. The objectives of the Fund are to provide an income stream to investors and to provide competitive returns. During 2015 the Fund was required to inform existing investors that the capital guarantee provided by The Uniting Church in Australia Property Trust (Victoria) would cease to exist. b) Loans During 2015 UCA Funds Management Limited reviewed the investment strategy for the Development Fund. It was agreed that the Development Fund would only invest in the UCA Cash Management Fund Limited. During the reporting period all loans were transferred to the UCA Cash Management Fund Limited. Prior year Loan information Loans are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. They arise when the Fund provides money directly to a debtor with no intention of selling the receivable. These loans are interest bearing. Loans are recorded at amortised cost less any impairment losses. General loans: Made to congregations and programs of the Uniting Church. Loans are for capital works, such as the purchase of land or equipment, construction or renovation of church centres, manses and halls. Earmarked loans: Any Uniting Church body may arrange for amounts to be deposited in the Development Fund which are earmarked for that body and corresponding loans can be made as per the conditions above. Note 2: Summary of significant accounting policies The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all periods presented, unless otherwise stated. a) Basis of Preparation This general purpose financial report has been prepared in accordance with Australian Accounting Standards and Interpretations and other authoritative pronouncements of the Australian Accounting Standards Board. Compliance with International Financial Reporting Standards (IFRS) Australian Accounting Standards include Australian equivalents to International Financial Reporting Standards (AIFRS). Compliance with AIFRS ensures that the financial report of the Fund, comprising the financial statements and notes hereto complies with International Financial Reporting Standards (IFRS). The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain financial assets held at fair value with changes in fair value recognised through the statement of comprehensive income. b) Investment income Interest income is calculated using the effective Development Fund Annual Report 31 December

8 interest rate basis. The effective interest method is a method of calculating the amortised cost of a financial asset or financial liability and of allocating the interest income or interest expense over the relevant period. c) Financial Assets held at fair value through profit or loss Classification The Fund s investments are classified as financial instruments designated at fair value through profit or loss. These include financial assets that are not held for trading purposes and which may be sold. Financial assets designated at fair value through profit or loss at inception are those that are managed and their performance evaluated on a fair value basis in accordance with the Fund s documented investment strategy. Measurement Financial assets held at fair value through profit or loss are measured initially at fair value excluding any transaction costs that are directly attributable to the acquisition or issue of the financial asset. Transaction costs on financial assets at fair value through profit or loss are expensed immediately. Subsequent to initial recognition, all instruments held at fair value through profit or loss are measured at fair value with changes in their fair value recognised in the statement of comprehensive income. The following represents the basis of valuation for financial reporting purposes: Investment in UCA Cash Management Fund Limited The Fund s investment in UCA Cash Management Fund Limited is available within 24 hours. Recognition/derecognition The Fund recognises financial assets on the date it becomes party to the contractual agreement (trade date) and recognises changes in fair value of the financial assets from this date. Financial assets are derecognised when the rights to receive cash flows from the financial assets have expired or the Fund has transferred substantially all risks and rewards of ownership. d) Cash and cash equivalents Cash and cash equivalents include cash on hand, deposits held at call at banks and other short-term highly liquid investments. Payments and receipts relating to the deposit of funds into UCA Cash Management Fund Limited are classified as cash flows from operating activities, as movements in the fair value in these securities represent the Fund s main income generating activity. e) Loans Prior year Loans are recorded at amortised cost less any impairment losses. f) Functional and presentation currency Items included in the Fund s financial statements are measured using the currency of the primary economic environment in which it operates (the functional currency ). This is the Australian dollar, which reflects the currency of the economy in which the Fund operates. The Australian dollar is also the Fund s presentation currency. g) Distributions The Fund fully distributes its distributable income to investors. The distributions are recognised as a finance cost in the statement of comprehensive income. Distributions are allocated to investors on 30 June and 31 December each year. h) Income Tax The Fund is exempt from Income Tax under Section 50-5 of the Income Tax Assessment Act i) Goods and Services Tax (GST) Where applicable, GST incurred by the Fund, that is not recoverable from the Australian Taxation Office, has been recognised as part of the expense to which it applies. Receivables and payables are stated with any applicable GST in their value. The amount of any GST recoverable from, or payable to, the Australian Taxation Office is included as a receivable or payable in the balance sheet. Cash flows relating to GST are included in the cash flow statement on a gross basis. 8 Development Fund Annual Report 31 December 2015

9 (j) Recoverable fee UCA Cash Management Fund Limited is responsible for the administration of the Fund and pays all operational and regulatory expenses incurred by the Fund. The Terms and Conditions of the Fund allows for reasonable expenses incurred for the administration of the Fund to be deducted prior to the distribution of income to investors. k) Grant to Synod The Fund is managed on behalf of The Uniting Church in Australia Property Trust of Victoria and Tasmania. The grant is calculated as the residual of the net amount of interest earned and the amount of interest distributed to investors. l) Loan Fees During the reporting period the monthly loan fee was calculated at 0.50% per annum based on the prior months loan balance outstanding. The fee is paid to The Uniting Church in Australia, Synod of Victoria and Tasmania, as a contribution towards the payment of operating expenses by UCA Cash Management Fund Limited. This fee ceased from September m) Impairment All loans from the Development Fund were guaranteed by The Uniting Church in Australia Property Trust (Victoria). Any loans that are impaired are paid out from property settlement monies or directly from The Uniting Church in Australia Synod of Victoria and Tasmania. n) Rounding off amounts to nearest thousand dollars The Fund is of a kind referred to in Class Order 98/100 (as amended) issued by the Australian Securities and Investments Commission, relating to the rounding off of amounts in the directors report and financial statements. Amounts have been rounded off in accordance with that Class Order to the nearest thousand dollars, or in certain cases, to the nearest dollar. o) New accounting standards and interpretations The Fund has adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board (the AASB) that are relevant to its operation and that are effective for the current reporting period. The adoption of these Standards has not had a material impact on the Fund. New Accounting Standards that have been issued but are not yet effective have not been adopted during the reporting period. A number of Australian Accounting Standards and Interpretations are in issue but are not effective for the current year end. The reported results and position of the Company will not change on adoption of these pronouncements as they do not result in any changes to the Company s existing policies. The Company does not intend to adopt any of these pronouncements before their effective dates. These include; AASB 9 Financial Instruments (December 2009) and AASB Amendments to Australian Accounting Standards arising from AASB 9, AASB Amendments to Australian Accounting Standards Mandatory Effective Date of AASB 8 and Transition Disclosure, AASB Amendments to Australian Accounting Standards Conceptual Framework, Materiality and Financial Instruments Effective from 1 January 2017 AASB 9 Financial Instruments (December 2010), AASB Amendments to Australian Accounting Standards arising from AASB 9 (December 2010), AASB Amendments to Australian Accounting Standards Mandatory Effective Date of AASB 8 and Transition Disclosure, AASB Amendments to Australian Accounting Standards Conceptual Framework, Materiality and Financial Instruments Effective from 1 January 2017 p) Use of estimates There have not been any critical accounting judgements or estimations made in the preparation of the financial statements for the year ended. q) Critical accounting judgments and key sources of estimation uncertainty There have not been any critical accounting judgments or estimations made in the preparation of the financial statements for the year ended. Development Fund Annual Report 31 December

10 Note 3: Fund Operation The Fund is managed in accordance with a management agreement between UCA Cash Management Fund Limited and The Uniting Church in Australia Property Trust (Victoria). The agreement was renewed on 2 June Note 4: Net assets attributable to investors Movements in investor funds during the year were: $ 000 $ 000 Opening balance 142, ,990 Applications 36,017 44,730 Redemptions (53,491) (44,335) Distributions reinvested 3,273 3,954 Closing balance 128, ,339 During the year distributions to investors of $3,273,000 (2014: $3,954,000) were satisfied through the distribution reinvestment plan, $870,000 (2014: $1,016,000) was paid to investors and withholding tax deducted from distributions paid to investors was $2,000 (2014: $5,000). There were no distributions payable at 31 December 2015 (2014: nil). Note 5: Distributions Distribution for the six months ended 30 June Distribution for the six months ended 31 December Total distributions allocated to investors $ 000 $ 000 2,246 2,471 1,899 2,504 4,145 4,975 Note 6: Financial risk management The Fund is exposed to a variety of financial risks: market risk (including interest rate risk and other price risk), credit risk and liquidity risk. All of the Fund s assets as at 31 December 2015 are invested in UCA Cash Management Fund Limited (2014: 91%). These risks (including measuring and monitoring of the risks) are managed by UCA Cash Management Fund Limited. The Fund s assets did not include loans to congregations and agencies of the Uniting Church in Australia as at 31 December 2015 (2014: 9%); these risks (including measuring and monitoring of the risks) are managed by the Fund with the policies and procedures approved by management. The objective of the Fund is to provide investors with competitive returns by investing in UCA Cash Management Fund Limited. a) Market Risk Market price risk is the risk that the value of the Fund s investment in UCA Cash Management Fund Limited will fluctuate as a result of changes in market values. i) Interest rate risk The Fund s interest-bearing securities are invested in fixed and floating rates and are exposed to risks associated with the effects of fluctuations in the prevailing levels of market interest rates. The table in note 6 (e) summarises the impact of increases/decreases in official interest rates on the Portfolio s net assets attributable to unitholders at 31 December The analysis is based on the assumption that official interest rates increased/decreased by 75 basis points (2014: 75 basis points) with all other variables held constant and that the Fund s cash and fixed interest securities and loans moved according to the historical correlation with official interest rates. The interest rate risk disclosures have been prepared on the basis of the Fund s direct investments and not on a look-through basis for investments held indirectly through other funds. Consequently, the disclosure of interest rate risk in the note may not represent the true interest rate risk profile of the Fund. 10 Development Fund Annual Report 31 December 2015

11 The following table summarises the Fund s exposure to interest rate risks and analyses the Fund s interest bearing investments into relevant maturity groupings based on the remaining period to the contractual maturity date at the year-end date. ii) Other price risk Other price risk is the risk that the fair value of a financial instrument will fluctuate because of changes in market prices. The Fund is not exposed to other price risk as (a) loans are not subject to other price risk; and (b) the Fund s investments in the UCA Cash Management Fund Limited are redeemable at par value. b) Credit risk Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. The Fund s exposure to credit risk is limited to its investment in UCA Cash Management Fund Limited. In the prior year loans which are advanced from the Fund were approved by the Board of Mission and Resourcing (BOMAR) in accordance with the management agreement with UCA Cash Management Fund Limited. Any shortfall in income is normally capitalised and repaid on the maturity of the loan. 3 months or less Floating interest 4 12 months 1 5 years Over 5 years Noninterest bearing Total $ 000 $ 000 $ 000 $ 000 $ 000 $ Financial assets Investment in the UCA Cash Management Fund Limited 128, ,138 Total 128, ,138 Weighted average interest rate 3.31% 0.00% 0.00% 0.00% 0.00% 3.31% 2014 Financial assets Investment in the UCA Cash Management Fund Limited 129, ,705 Accrued income General loans ,195 12,475 Earmarked loans Total 129, , ,339 Weighted average interest rate 4.45% 5.75% 5.49% 5.64% 0.00% 4.55% Development Fund Annual Report 31 December

12 As at 31 December 2015 there were no loans (2014: 2 loans amounting to $10,892) that were past due or impaired. As at 31 December 2015 there were no loans (2014: 2 loans amounting to $286,817) that would otherwise be past due or impaired that renegotiated their terms. c) Liquidity risk Liquidity risk is the risk that the Fund will not be able to meet its liabilities (redemptions from the Fund) as they fall due. Redemptions are payable within 24 hours and the funds required are from UCA Cash Management Fund Limited. As the majority of the Fund s investments are in the UCA Cash Management Fund Limited and as these are available within 24 hours, the Directors consider that the Fund should be able to meet expected levels of withdrawal. Refer to note 6 (a) (i). d) Fair values The carrying amounts of the Fund s assets and liabilities at the balance sheet date approximated their fair values. e) Sensitivity analysis The following table summarises the sensitivity of the Fund s financial assets to interest rate risk. Impact on operating profit/net assets attributable to investors Carrying amount Internet rate risk -75 bps +75 bps $ 000 $ 000 $ Investment in UCA Cash Management Fund LImited 128,138 (961) 961 General loans Earmarked loans Total increase/(decrease) 128,138 (961) Investment in UCA Cash Management Fund LImited 129,705 (973) 973 General loans 12,475 (94) 94 Earmarked loans 93 (1) 1 Total increase/(decrease) 142,273 (1,068) 1, Development Fund Annual Report 31 December 2015

13 f) Fair value measurement Amount at 31 December 2015 Level 1 Level 2 Le vel 3 $ 000 $ 000 $ 000 $ 000 Financial assets at fair value through profit and loss Investment in UCA Cash Management Fund Limited 128, ,138 Total 128, ,138 Amount at 31 December 2014 Level 1 Level 2 Le vel 3 $ 000 $ 000 $ 000 $ 000 Financial assets at fair value through profit and loss Investment in UCA Cash Management Fund Limited 129, ,705 Total 129, ,705 Level 1 fair value measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or liabilities. Quoted market price represents the fair value determined based on quoted prices on active markets as at the reporting date, without any deduction for transaction costs. Level 2 fair value measurements are those derived from inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices). Financial instruments that trade in markets that are not considered active but values are based on quoted market prices, dealer quotations or alternative pricing sources supported by observable inputs are classified with Level 2. These include the Investment in UCA Cash Management Fund Limited which is a financial instrument that trades in markets that are not considered active but the underlying asset values are based on quoted market prices. Level 3 fair value measurements are those derived from valuation techniques that included inputs for the assets or liability that are not based on observable market data (unobservable inputs). Note 7: Related parties a) Grants The Development Fund pays grants to the Synod for the purpose of supporting its mission. Grants are paid on 30 June and 31 December. The grant is based on the net amount of interest received and the distribution to investors. The amount granted for this reporting period was $376,152 (2014: $731,195). b) Manager of the Fund The Development Fund is managed in accordance with a management agreement between UCA Cash Management Fund Limited and The Uniting Church in Australia Property Trust (Victoria). The agreement was renewed on 2 June Development Fund Annual Report 31 December

14 c) Key management personnel - Directors The names of the persons who were the Directors of UCA Cash Management Fund Limited at any time during the year and up to the date of this report were: R J Carter > > Non-Executive Director, Chairperson Board of Directors J C Bell > > Non-Executive Director D Cousins > > Non-Executive Director Appointed 1 February 2016 J Etherington > > Non-Executive Director, Deputy Chairperson Board of Directors > > Chairperson Audit, Risk & Compliance Committee > > Chairperson Remuneration & Nomination Committee D F Hawkey > > Non-Executive Director L R Mann > > Non-Executive Director Chairperson, Due Diligence Committee T C McCredden > > Non-Executive Director R G Moore > > Non-Executive Director Retired 1 December 2015 M Walsh > > Executive Director D A Watson > > Non-Executive Director Appointed 1 February 2016 G E Wilson > > Non-Executive Director Chairperson, Investment Committee Other key management personnel Except for UCA Funds Management, there were no other persons with responsibility for planning, directing and controlling the activities of the Fund, directly or indirectly during the financial year. During the reporting period, 2 Directors held accounts totalling $1,567,715 (2014: 2 Directors held accounts totaling $1,022,748). d) Key management personnel compensation Key Management personnel are remunerated by the Uniting Church in Australia Property Trust (Victoria). Payments made from the Fund to either this entity or the Manager, UCA Cash Management Fund Limited do not include any amounts attributable to compensation of key management personnel. e) Other transactions within the Fund Apart from those details disclosed in this note, no key management personnel have entered into any material contract with the Fund since the end of the previous financial year and there were no material contracts involving directors interests existing at year end. f) Management fees The Development Fund does not pay UCA Cash Management Fund Limited any fees for the administration of the fund. g) Recoverable fee A recoverable fee is charged to the Fund by UCA Funds Management Limited at the end of each month based on the Fund s net asset value. The fee is capped at 5 basis points. The recoverable fee charged was $55,000 (2014: $65,000). h) Investment in UCA Cash Management Fund Limited The Development Fund invests its cash holdings in UCA Cash Management Fund Limited. $ 000 $ 000 Investment in UCA Cash Management Fund Limited 128, ,705 Interest received 4,265 5,150 Maturity analysis: The amount invested with UCA Cash Management Fund Limited is available within 24 hours. 14 Development Fund Annual Report 31 December 2015

15 Note 8: Auditor s remuneration $ $ Audit services Audit of financial report 12,212 12,212 Non-audit services Other Total 12,212 12,212 The auditor for the year was Deloitte Touche Tohmatsu. The audit fees were paid by UCA Cash Management Fund Limited, on behalf of the Development Fund. Note 9: Note to the cash flow statement a) Reconciliation of net profit/(loss) to net cash inflow/(outflow) from operating activities Profit attributable to investors Changes in operating assets and liabilities (Increase)/decrease in Investment in UCA Cash Management Fund Limited Decrease/(increase) in accrued income (Increase)/decrease in loans $ 000 $ 000 4,145 4,975 1,567 (7,450) ,568 3,050 b) Non-cash financing activities During the year distributions to investors totalling $3,273,000 (2014: $3,958,000) were satisfied through the distribution reinvestment plan. Note 10: Events occurring after balance sheet date No significant events have occurred since balance date which would impact on the financial position of the Fund disclosed in the balance sheet at 31 December 2015, or the results and cash flows of the Fund for the year ended on that date. The Fund has converted to a Managed Investment Scheme effective from 8 February 2016 and is now known as the Uniting Ethical Enhanced Cash Trust. Note 11: Contingent assets and liabilities and commitments There were no outstanding contingent assets and liabilities or commitments as at 31 December 2015 or at 31 December Net cash outflow from operating activities 18, Development Fund Annual Report 31 December