Non-Consolidated Annual Report 2016

BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED NON-CONSOLIDATED ANNUAL REPORT 2016 73 BARBADOS PUBLIC WORKERS' CO-OPERATIVE CREDIT UNION LIMITED Notes to the Non-consolidated Financial Statements For the year ended March 31, 2016 (Expressed in Barbados dollars) 57 25. Fair Value, continued The following table shows a reconciliation of all movements in the fair value of financial investments categorised within Level 1 between the beginning and end of the reporting period. 2016 2015 Balance - beginning of year $ 1,205,000 1,290,000 Unrealised gain (loss) 320,000 (85,000) Balance - end of year $ 1,525,000 1,205,000 The following table shows a reconciliation of all movements in the fair value of financial investments categorised within Level 3 between the beginning and end of the reporting period. 2016 2015 Balance - beginning of year $ 682,522 664,348 Purchases 71,916 18,174 Balance - end of year $ 754,438 682,522 There were no transfers in or out of Level 3 during the year ended March 31, 2016 (2015 - nil). The financial investments classified as Level 3 securities are carried at cost as fair value cannot be reliably estimated. Therefore no significant unobservable inputs have been considered in determining its value. The application of sensitivity analysis is therefore not relevant. 26. Capital Management The Credit Union’s objectives when managing capital, which is a broader concept than the ‘equity’ on the face of the statement of financial position, are: • To comply with the capital requirements set by the regulators of financial institutions where the Credit Union operates; • To safeguard the Credit Union’s ability to continue as a going concern so that it can continue to provide returns to its shareholders and benefits to other stakeholders; and • To maintain a strong capital base to support the development of its business.