Document ID: chunk:federal_register_of_legislation:F2023L00722:front:0:p5
Version: federal_register_of_legislation:F2023L00722
Segment Type: other
Provision Reference: 
Character Range: 12092–16204

all its liabilities. This includes equity securities lent or sold by the entity under repurchase agreements, where the transaction does not result in the transfer of the rights of ownership of the securities away from the entity to another party.
Equity method      The equity method is a method of accounting whereby the investment is initially recognised at cost and adjusted thereafter for the post-acquisition change in the investor's share of net assets of the investee. The investor's profit or loss includes its share of the profit or loss of the investee. The investor's other comprehensive income includes its share of the other comprehensive income of the investee.
Exposure type      The exposure types are:

                          * cash and cash equivalents;
                          * interest rate investments (direct);
                          * equities (direct);
                          * property (direct);
                          * loans (direct);
                          * indirect investments;
                          * derivatives (assets);
                          * other investments (direct);
                          * receivables;
                          * reinsurance assets;
                          * other assets;
                          * creditors and accruals;
                          * borrowing;
                          * derivatives (liabilities);
                          * other liabilities;
                          * off-balance sheet assets; and
                          * off-balance sheet liabilities.

F
Fair value amount of exposure   Means value of the exposure, where the measurement base is fair value in accordance with Australian Accounting Standards.

G
General fund                                  General fund has the same meaning as in HPS 001.
(Private health insurer fund type)

Goodwill                                      An asset representing the future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognised.
Goodwill - related party's own balance sheet  This is the value of goodwill reported on the balance sheet of the related party (subsidiary, joint venture or associate).

H
Health benefits fund                Health benefits fund has the same meaning as in the Act.
(Private health insurer fund type)

I
Indirect investments                                                                                           This is the value of the net assets of unit trusts or managed investment schemes invested in by the fund, or mandates individually managed on behalf of the fund.

Interest rate investments (direct)                                                                             This is the value of debt securities held by the fund as at the relevant date. A debt security is a transferable instrument evidencing a relationship of indebtedness. It is characterised by having a definable return that is not based on the economic performance of the issuing entity.

Investment not subject to regulatory adjustments for goodwill, intangibles and prudential capital requirement  An investment in a subsidiary, associate or joint venture that is not subject to the regulatory adjustments relating to goodwill, intangibles and prudential capital requirement is an equity investment that:
                                                                                                                     * is operationally independent;
                                                                                                                     * represents a genuine arm's length investment;
                                                                                                                     * is not subject to prudential capital requirements; and
                                                                                                                     * does not undertake 'health insurance business' or business related to health insurance business.

J
Joint venture  A