Annual Report 2015
89
2 SIGNIFICANT ACCOUNTING POLICIES
(continued)
2.6 Summary of significant accounting policies
(continued)
m) Fiduciary assets
The Group provides custody, trustee and investment management services to third parties. All related assets are held in a
fiduciary capacity and are not included in these consolidated financial statements as they are not the assets of the Group.
These assets under administration at September 30, 2015 totalled $32.1 billion (2014: $31.8 billion).
n) Earnings per share
Data on basic earnings per share has been computed by dividing the net profit attributable to equity holders of the parent,
by the weighted average number of ordinary shares in issue during the year.
For the diluted earnings per share, the weighted average number of ordinary shares in issue is adjusted to assume conversion
of all dilutive potential ordinary shares. The Group has one category of dilutive potential ordinary shares, which are share
options granted to Executive Management.
The difference between the weighted average number of shares used as the denominator in calculating basic earnings per
share and that used for calculating diluted earnings per share is due to share options granted during the year.
o) Foreign currency translation
The individual financial statements of each group entity is presented in the currency of the primary economic environment,
in which the entity operates (its functional currency). The consolidated financial statements are expressed in Trinidad and
Tobago dollars, which is the functional currency of the parent.
Monetary assets and liabilities of the parent, which are denominated in foreign currencies are expressed in Trinidad and
Tobago dollars at rates of exchange ruling on September 30. Non monetary assets and liabilities denominated in foreign
currencies are translated at historic rates. All revenue and expenditure transactions denominated in foreign currencies are
translated at mid-exchange rates and the resulting profits and losses on exchange from these trading activities are dealt with
in the consolidated statement of income.
The assets and liabilities of subsidiary companies are translated into Trinidad and Tobago dollars at the mid-rates of
exchange ruling at the statement of financial position date and all resulting exchange differences are recognised in other
comprehensive income. All revenue and expenditure transactions are translated at an average rate.
p) Revenue Recognition
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue
can be reliably measured, regardless of when the payment is being made. Revenue is measured at the fair value of the
consideration received or receivable, taking into account contractually defined terms of payment and excluding taxes or
duty. The Group has concluded that it is the principal in all of its revenue arrangements since it is the primary obligor in all
the revenue arrangements, has pricing latitude and is also exposed to inventory and credit risks.
The specific recognition criteria described below must also be met before revenue is recognised.
