in unquoted debt security, deposits, bank and cash balances, derivative financial instruments and financial assets at FVTPL Risk management objectives, policies and processes for managing the risk Investments, deposits, bank and cash balances, derivative financial instruments and financial assets measured at FVTPL are liquid security and mainly with reputable financial institutions. Investment in unquoted debt security are investment in an associate’s financial instruments. The credit risk of this associate is monitored on a quarterly basis and the loss allowances are provided for accordingly. Exposure to credit risk, credit quality and collateral The maximum exposure to credit risk is represented by the carrying amounts in the SOFP. In view of the sound credit rating of counterparties, the Group and the Company do not expect any counterparty to fail to meetits obligations. The Group and the Company do not have overdue investments that have not been impaired. The investments, deposits, cash and bank balances and derivative financial instruments are unsecured. Bank and cash balances are held with banks and financial institutions which have lower credit risks. In addition, some of the bank balances are insured by Government agencies. Consequently, the Group and the Company are of the view that the loss allowance is not material and hence, it is not provided for. The total investment in unquoted debt security and the impairment provided are as follows: Company 2023 RM’million 2022 RM’million Investment in unquoted debt security 287.5 278.5 Less: Loss allowances (28.2) (25.1) 259.3 253.4 NOTES TO THE FINANCIAL STATEMENTS 31 December 2023 FINANCIAL STATEMENTS Sec 5 317 45 FINANCIAL INSTRUMENTS (CONTINUED) (b) Financial risk management (continued) Credit risk (continued) (ii) Investment in unquoted debt security, deposits, bank and cash balances, derivative financial instruments and financial assets at FVTPL (continued) Impairment losses The impairment for the remaining investment in unquoted debt security, deposits,