Notes to the Annual Financial Statements

  • Notes 1 - 2
  • Notes 3 - 4
  • Notes 5 - 7
  • Notes 8 - 9
  • Note 10 - Group
  • Note 10 - Company
  • Note 11
  • Note 12
  • Note 13
  • Notes 14 - 15
  • Note 16
  • Note 17
  • Notes 18 - 20
  • Note 21
  • Notes 22 - 24
  • Note 25
  • Note 26
  • Notes 27 - 28
  • Note 29
  • Notes 30 - 32
  • Notes 33 - 35
  • Notes 36 - 38
  • Note 39
  • Note 40
  • Note 40 cont & 41
  • Note 42
  • Note 42.1.2
  • Note 42.1.2.2 (1)
  • Note 42.1.2.2 (2)
  • Note 42.1.2.2 (3)
  • Note 42.1.2.2 (4)
  • Note 42.1.3 (1)
  • Note 42.1.3 (2)
  • Note 42.1.4 (1)
  • Note 42.1.4 (2)
  • Note 42.2 (1)
  • Note 42.2 (2)
  • Note 42.2 (3)
  • Note 42.3
  • Note 42.4
  • Note 42.4.1 (1)
  • Note 42.4.2 & 42.5
  • Note 42.6
  • Notes 43 - 45
  • Note 46 (1)
  • Notes 46 (2) & 47
  • For the year ended 31 March

        Group   Company
                 
        2018 2017   2018 2017
        R’000 R’000   R’000 R’000
    1 Operating revenue          
                 
      Fees and performance participations   1,756,642   1,505,007      
      Brokerage and trading income   189,430   184,320      
      Net interest received in respect of stockbroking activities (note 1.1)   538,871   613,798      
      Rentals received   4,199   4,070      
                 
          2,489,142   2,307,195      
                 
    1.1 Net interest received in respect of stockbroking activities          
      Interest received (note 1.1.1)   1,157,191   1,174,232      
      Interest paid (note 1.1.2)   (618,320)   (560,434)      
                 
          538,871   613,798      
                 
    1.1.1 Interest received          
      Scrip lending                                                                                         84,984   77,868      
      Client accounts                                                                       26,154   19,528      
      Margin, collateral and OTC derivatives   1,046,053   1,076,836      
                 
          1,157,191   1,174,232      
                 
      Arising on:          
      Loans and receivables at amortised cost   1,157,191   1,174,232      
                 
          1,157,191   1,174,232      
                 
    1.1.2 Interest paid          
      Scrip lending                                                                                         90,443   46,437      
      Margin, collateral and OTC derivatives   527,877   513,997      
                 
          618,320   560,434      
                 
      Arising on:          
      Financial liabilities measured at amortised cost   618,320   560,434      
                 
          618,320   560,434      
                 
    2 Investment and other income          
                 
      Dividend income:   20,625   48,106     644,031   431,808
        Financial instruments at fair value through profit or loss   5,123   17,645     -     -  
        Preference share investments   1,260   954     -     -  
        Private equity investments   -     231     -     -  
        Property fund investments   13,746   28,774     -     -  
        Share portfolio investments   -     31     -     -  
        Collective investment schemes   496   471     -     -  
        Investment in equity accounted investees   -     -       3,750   -  
        Investment in subsidiaries   -     -       640,281   431,808
      Realised (losses)/gains:   (2,290)   266,720     -     -  
        Financial instruments at fair value through profit or loss   (2,238)   266,592     -     -  
        Private equity investments   (1,241)   (627)     -     -  
        Collective investment schemes   185   42     -     -  
        Other   1,004   713     -     -  
      Fair value adjustments:   54,016   (55,491)     -     -  
        Private equity investments   (1,053)   5,417     -     -  
        Financial instruments at fair value through profit or loss   19,909   (29,813)     -     -  
        Property fund investments   32,536   (54,813)     -     -  
        Share portfolio investments   855   1,186     -     -  
        Collective investment schemes   227   3,044     -     -  
        Hedge fund investments   1,542   19,488     -     -  
    2 Investment and other income (continued)          
                 
      Interest (expense)/income:   (9,501)   (97,558)     -     -  
        Financial instruments at fair value through profit or loss   (12,828)   (97,493)     -     -  
        Loans and receivables at amortised cost   2,592   4,358     -     -  
        Private equity investments   735   2,389     -     -  
        Hedge fund investments   -     (6,812)     -     -  
                 
          62,850   161,777     644,031   431,808
                 
      Arising on:          
      Financial assets at fair value through profit or loss   72,082   261,011     -     -  
      Financial liabilities at fair value through profit or loss   (12,828)   (97,493)     -     -  
      Loans and receivables at amortised cost   3,596   5,071     -     -  
      Financial liabilities measured at amortised cost   -     (6,812)     -     -  
      Non-financial instruments   -     -       644,031   431,808
                 
          62,850   161,777     644,031   431,808
  •     Group   Company
                 
        2018 2017      
        R’000 R’000      
                 
    3 Investments linked to policyholder investment contracts and policyholder investment contract liabilities          
                 
    3.1 Fair value gains on linked financial investments          
                 
      Peregrine Life investment contract benefits          
      Realised and unrealised (losses)/gains on policyholder investments   (22,714)   151,061      
      Net investment income   107,598   105,217      
                 
          84,884   256,278      
                 
      Non-Peregrine Life investment contract benefits          
      Realised and unrealised (losses)/gains on investment contracts   (40,143)   25,894      
                 
          (40,143)   25,894      
                 
      Total linked investments gains   44,741   282,172      
                 
    3.2 Fair value loss on policyholder contract liabilities          
                 
      Peregrine Life investment contract expense incurred          
      Fair value adjustment on policyholder liabilities   (84,884)   (256,278)      
                 
          (84,884)   (256,278)      
                 
      Non-Peregrine Life investment contract expenses incurred          
      Fair value adjustment on investment contract liabilities   40,143   (25,894)      
                 
          40,143   (25,894)      
                 
      Total policyholder contract expenses incurred   (44,741)   (282,172)      
                 
      Fair value adjustments on linked financial investments and contract liabilities     -     -        
                 
        Group    
                 
        2018 2017      
        R’000 R’000      
                 
    4 Operating Expenses          
                 
      Include:          
      Directors’ emoluments (note 4.1)   29,339   31,486      
      Executive directors: managerial services paid for by subsidiaries   25,282   27,514      
      Non-executive directors: fees paid for by subsidiaries   4,057   3,972      
                 
      Key management remuneration                                                                           268,895   294,091      
        Salaries and contributions                                                                             121,189   118,234      
        Pension benefits                                                                                   3,350   3,382      
        Bonus and performance participations                                                     144,356   172,475      
                 
      Staff-related costs                                                                     571,668   538,757      
        Salaries and contributions                                                                             376,772   373,270      
        Pension benefits                                                                                   32,514   30,178      
        Bonus and performance participations                                                     162,382   135,309      
                 
      Auditors' remuneration   13,088   12,709      
        Audit fees   12,362   12,207      
        Other services: Advisory fees   726   502      
                 
      Internal audit   724   1,064      
                 
      Depreciation and intangible amortisation   45,589   42,897      
                 
      Other administration costs   998,468   877,389      
                 
          1,927,771   1,798,393      
                 
    4 Operating Expenses (continued)          
                 
          Fees Basic salary Pension fund benefits Performance bonus/ Short term incentive award ("STI") Emoluments for services Long-term incentive award ("LTI")
    (note 4.2)
    Total emoluments
                       
          R’000 R’000 R’000 R’000 R’000 R’000 R’000
                       
    4.1 Directors’ emoluments - paid for by subsidiaries                
                       
      For the year ended 31 March 2018                
      Executive directors     -     6,020   805   14,425   21,250   4,032   25,282
        J Hertz ¹     -     899   117   -     1,016   -     1,016
        RE Katz     -     2,635   350   8,969   11,954   2,016   13,970
        M Yachad     -     2,486   338   5,456   8,280   2,016   10,296
                       
      Non-executive directors     2,922   1,135   -     -     4,057   -     4,057
        SA Melnick ²     521   1,135   -     -     1,656   -     1,656
        LN Harris     357   -     -     -     357   -     357
        P Goetsch       192   -     -     -     192   -     192
        S Stein     801   -     -     -     801   -     801
        BC Beaver     608   -     -     -     608   -     608
        S Sithole     443   -     -     -     443   -     443
                       
            2,922   7,155   805   14,425   25,307   4,032   29,339
                       
      For the year ended 31 March 2017                
      Executive directors     -     7,248   988   15,762   23,998   3,516   27,514
        J Hertz     -     2,507   342   6,867   9,716   1,172   10,888
        RE Katz     -     2,418   330   4,718   7,466   1,172   8,638
        M Yachad     -     2,323   316   4,177   6,816   1,172   7,988
                       
      Non-executive directors     2,773   1,199   -     -     3,972   -     3,972
        SA Melnick ²     489   1,199   -     -     1,688   -     1,688
        LN Harris     335   -     -     -     335   -     335
        P Goetsch       180   -     -     -     180   -     180
        S Stein     782   -     -     -     782   -     782
        BC Beaver     571   -     -     -     571   -     571
        S Sithole     416   -     -     -     416   -     416
                       
            2,773   8,447   988   15,762   27,970   3,516   31,486

    1. J Hertz, the previous Group CEO, stepped down on 31 July 2017.

    2. The basic salary paid to SA Melnick comprises emoluments paid by the Stenham Group in the amount of £60 000 (2017: £60 000) and emoluments paid by local subsidiaries in the amount of R101 607 (2017: R95 295).

    4 Operating Expenses (continued)
       
    4.2 Directors’ emoluments -  long-term Executive remuneration scheme (note 29.2.4)
       
          LTI Award Vested     Unvested*    
          Total 2016 2017 2018 2019 2020 2021
                       
          R’000 R’000 R’000 R’000 R’000 R’000 R’000
                       
      RE Katz                
        2016     4,688   1,172   1,172   1,172   1,172   -     -  
        2017     3,375   -     -     844   844   1,687   -  
        2018     3,174   -     -     -     794   794   1,586
                       
      M Yachad                
        2016     4,688   1,172   1,172   1,172   1,172   -     -  
        2017     3,375   -     -     844   844   1,687   -  
        2018     3,174   -     -     -     794   794   1,586


    The 2016 LTI Award amounted to R14.1 million, of which R3.5 million has vested at the end of the 2016 and 2017 financial years respectively and R2.3 million at the end of 2018 financial year, with the balance of R1.2 million being forfeited (as a result of J Hertz stepping down before the payment date, being 30 June 2018). Of the remaining balance of R3.5 million, R2.3 million will vest in 2019 and R1.2 million will be forfeited.

    The 2017 LTI Award amounted to R10.1 million, of which R1.7 million has vested and R843 626 forfeited at the end of the 2018 financial year. Of the remaining balance of R7.6 million, R2.5 million will be forfeited and the balance of R5.1 million will vest over the next two financial years, of which R1.7 million will vest at the end of the 2019 financial year and R3.4 million at the end of the 2020 financial year.

    The 2018 LTI Award amounted to R6.4 million, of which R1.6 million will vest at the end of the 2019 and 2020 financial years respectively with the remaining balance of R3.2 million vesting at the end of the 2021 financial year.

    Shortly before the end of the current financial year, the LTI plan was modified from a long-term employee benefit to an equity-settled share-based payment and as a consequence the LTI awards vesting for the year ended 31 March 2018 and thereafter of R13.8 million will be equity settled with the award values vesting being converted to a quantum of shares and such quantum of shares being purchased by the Company to meet such obligations (note 23). Dividends declared on the LTIs awarded will accrue to the Executive Directors and earn interest at the prevailing market rates.

    *  For further details on the vesting conditions of the LTI rewards refer to Group Remuneration Committee Report.

  •     Group   Company
                 
        2018 2017   2018 2017
        R’000 R’000   R’000 R’000
                 
    5 Net interest income          
                 
      Interest income (note 5.1)   140,840   105,760     13,311   13,112
      Interest expense (note 5.2)   (48,243)   (63,211)     (1,316)   (1,362)
                 
          92,597   42,549     11,995   11,750
                 
    5.1 Interest income          
      Bank balances     120,672   97,596     310   392
      JSE Trustees   4,141   3,418     -     -  
      Loans and receivables   13,880   1,569     13,001   12,720
      Other   2,147   3,177     -     -  
                 
          140,840   105,760     13,311   13,112
                 
      Arising on:          
      Loans and receivables at amortised cost   139,880   103,823     13,311   13,112
      Financial assets at fair value through profit or loss   421   877     -     -  
      Non-financial instruments   539   1,060     -     -  
                 
          140,840   105,760     13,311   13,112
                 
    5.2 Interest expense          
      Bank overdraft   2,126   907     -     -  
      Loans and other payables   6,958   26,733     1,316   1,362
      Interest bearing borrowings   37,945   34,917     -     -  
      Other   1,214   654     -     -  
                 
          48,243   63,211     1,316   1,362
                 
      Arising on:          
      Financial liabilities at amortised cost   47,886   62,969     1,316   1,362
      Non-financial instruments   357   242     -     -  
                 
          48,243   63,211     1,316   1,362
                 
    6 Capital items          
                 
      Gain on disposal of 49.99% interest in equity accounted investee: Caveo Fund Solutions Proprietary Limited   -     19,026     -     -  
      Gain on disposal of intangible assets - customer relationships : Stenham Trustees Limited   -     2,279     -     -  
      Gain on unbundling of investment in subsidiary: Sandown Capital Limited   -     -       851,059   -  
                 
          -     21,305     851,059   -  
                 
    7 Taxation          
                 
      South African normal taxation   145,523   127,062     3,353   3,283
        Current year   142,151   125,678     3,353   3,283
        Prior year under provision   3,372   1,384     -     -  
      Deferred taxation   12,443   1,501     -     -  
        Current year   9,703   874     -     -  
        Prior year under provision   2,740   627     -     -  
      Foreign taxation   5,317   2,929     -     -  
        Current year   2,960   3,215     -     -  
        Prior year under/(over) provision   2,357   (286)     -     -  
                 
          163,283   131,492     3,353   3,283
                 
      Profit before taxation                                                                                 847,616   834,439     1,506,149   442,684
      Share of profits from equity accounted investees   (130,798)   (100,006)     -     -  
                 
      Profit before taxation and share of profits from equity accounted investees   716,818   734,433     1,506,149   442,684
                 
      Tax rate reconciliation % %   % %
      Standard rate of taxation   28.0   28.0     28.0   28.0
      Adjusted for:          
      Disallowable expenditure ¹   2.2   1.8     -     0.1
      Capital profits and exempt income ²   (0.7)   (6.3)     (27.8)   (27.4)
      Income earned in non taxed jurisdictions and in jurisdictions with differing tax rates   (7.9)   (4.5)     -     -  
      Prior year assessed losses utilised for which no deferred tax asset raised   -     (1.3)     -     -  
      Prior year under provision   1.2   0.2     -     -  
                 
      Effective rate of taxation   22.8   17.9     0.2   0.7
                 
      Estimated assessable losses available for set-off against future taxable income   88,382   112,524     -     -  
      Applied to reduce deferred tax 3   (76,654)   (100,796)     -     -  
                 
          11,728   11,728     -     -  

    1. Comprises primarily of amortisation of intangible assets and expenses attributable to dividend and other exempt income.     

    2. Comprises primarily of dividend income and non-taxable portion on capital gains arising on the disposal of financial investments and in the current year for the Company a capital gain on the unbundling of an investment in a subsidiary company in terms of Section 46 of the Income Tax Act (note 6).     

    3. Estimated assessable losses which have been applied to reduce deferred tax are anticipated to be utilised within a period of not less than 12 months but not exceeding 24 months.

  •     Group
           
        2018 2017
           
    8 Earnings and headline earnings per share    
           
      Basic earnings per share (cents)   238.5   236.9
      Headline earnings per share (cents)   238.5   230.0
           
      The calculation of basic and headline earnings per share is based on the following data:    
           
        R’000 R’000
           
      Earnings    
        Profit attributable to equity holders   513,176   501,850
        Profit attributable to ordinary shareholders   503,924   489,917
        Headline earnings   503,924   475,733
           
        ’000 ’000
           
      Number of shares    
        Weighted average number of ordinary shares in issue during the year   211,293   206,820
           
           
      Profit attributable to ordinary shareholders is arrived at after adjusting profit attributable to equity holders for the earnings attributable to 3,9 million (2017: 5,1 million) Peregrine shares, classified as participating treasury shares, which are held on behalf of the participants by the Citadel Investment Services Proprietary Limited (2017: 4 008 600 shares held by the Citadel Holdings Limited Employee Share Participation Scheme and 1 117 590 by Citadel Investments Services Proprietary Limited) in terms of the Citadel deferred remuneration schemes (notes 29.2.2 and 29.2.3).

    Basic earnings per share is calculated by dividing profit attributable to ordinary shareholders by the weighted average number of shares in issue during the year.

    Diluted earnings per share is calculated by adjusting the weighted average number of ordinary shares outstanding assuming conversion of all dilutive potential ordinary shares. The participating treasury shares held at reporting date could potentially have a dilutive effect on conversion to ordinary shares. Diluted earnings per share has not been disclosed as the participating treasury shares have an anti-dilutive effect.
           
          2018   2017
        R’000 R’000 R’000 R’000
               
        Gross Net Gross Net
               
      Reconciliation between earnings and headline earnings:        
               
      Profit attributable to equity holders     513,176     501,850
      Adjustment relating to earnings attributable to participating treasury shares (notes 29.2.2 and 29.2.3)     (9,252)     (11,933)
      Profit attributable to ordinary shareholders     503,924     489,917
      Adjustments:        
      Gain on disposal of interest in equity accounted investee ¹ (note 6)   -     -     (19,026)   (12,395)
      Gain on disposal of intangible assets - customer relationships ² (note 6)   -     -     (2,279)   (1,789)
               
      Headline earnings     503,924     475,733
               
      1 In respect of the prior year, the tax effect amounted to R4.3 million and R2.4 million was attributable to participating treasury shareholders and non-controlling interest.
    2 In respect of the prior year, there was no tax effect and R490 282 was attributable to participating treasury shareholders and non-controlling interest.
               
          2018   2017
          ’000   ’000
      Reconciliation of ordinary shares in issue and weighted average issued ordinary shares:        
               
      Ordinary shares in issue     226,066     226,066
      Adjusted by the weighted average number of:        
      New shares allotted and issued     -       -  
      Treasury shares in issue     (14,773)     (19,246)
               
            211,293     206,820
               
          Group   Company
                   
          2018 2017   2018 2017
          R’000 R’000   R’000 R’000
    9 Dividends            
                   
      Cash dividend paid     326,207   316,538     350,402   350,402
                   
      Ordinary cash dividend declared on 13 June 2017 paid on 07 August 2017 (cents per share)         155       155  
                   
      Ordinary cash dividend declared on 08 June 2016 paid on 08 August 2016 (cents per share)           155       155
                   
      Distribution in specie     1,198,780       1,198,780  
                   
      An ordinary cash dividend of 170 cents per share declared by the directors on 12 June 2018 in respect of the year ended 31 March 2018 will be paid to shareholders on Monday, 06 August 2018 (Directors' report).

    The financial statements do not reflect this dividend.

    Distribution in specie relates to the unbundling and distribution by the Company of all its shares in Sandown Capital, being 100% of the issued share capital of Sandown Capital, in the ratio of one Sandown Capital share for every one Peregrine share held at close of trade on Friday, 1 December 2017, being the unbundling record date, as fully detailed in the Restructure and Unbundling Circular. Further information pertaining to the unbundled assets and liabilities is disclosed in note 12.2.
  •       Group  
                       
          Financial instruments at fair value through profit or loss Loans and receivables at amortised cost Financial liabilities at amortised cost Non-financial instruments and financial instruments beyond the scope of
    IFRS 7
    Total Fair value of financial instrument
                       
          Held-for-trading Designated at Inception          
                       
        Notes R’000 R’000 R’000 R’000 R’000 R’000 R’000
                       
    10 Analysis of assets and liabilities by financial instrument classification                
                       
      2018                
      Non-current assets     -     5,680,398   73,609   -     1,237,175   6,991,182   5,680,398
                       
      Property, plant and equipment   11   -     -     -     -     121,677   121,677   -  
      Intangible assets   13   -     -     -     -     658,055   658,055   -  
      Investment in equity accounted investees   15   -     -     5,812   -     367,782   373,594   -  
      Investments linked to policyholder investment contracts 16.1   -     5,670,093   -     -     -     5,670,093   5,670,093
      Financial investments* 17.1   -     10,305   36,029   -     -     46,334   10,305
      Loans and receivables   18   -     -     31,768   -     -     31,768   -  
      Deferred taxation   19   -     -     -     -     89,661   89,661   -  
                       
      Current assets     10,754,063   87,174   7,800,313   -     37,524   18,679,074   10,841,237
                       
      Financial investments 17.2   -     87,174   -     -     -     87,174   87,174
      Loans and receivables   18   -     -     163,863   -     -     163,863   -  
      Trade and other receivables   20   -     -     422,123   -     19,206   441,329   -  
      Amounts receivable in respect of stockbroking activities* 21.1   10,754,063   -     4,547,604   -     -     15,301,667   10,754,063
      Taxation     -     -     -     -     18,318   18,318   -  
      Cash and cash equivalents   22   -     -     2,666,723   -     -     2,666,723   -  
                       
      Total assets     10,754,063   5,767,572   7,873,922   -     1,274,699   25,670,256   16,521,635
                       
      Non-current liabilities     -     5,670,093   -     423,258   38,709   6,132,060   5,670,093
                       
      Policyholder investment contract liabilities 16.2   -     5,670,093   -     -     -     5,670,093   5,670,093
      Interest-bearing borrowings**   25   -     -     -     423,258   -     423,258   -  
      Loans and payables   26   -     -     -     -     29,385   29,385   -  
      Deferred taxation   19   -     -     -     -     9,324   9,324   -  
                       
      Current liabilities     8,764,847   31,339   -     7,885,467   338,690   17,020,343   8,796,186
                       
      Interest-bearing borrowings**   25   -     -     -     52,468   -     52,468   -  
      Financial instrument liabilities 27   -     31,339   -     -     -     31,339   31,339
      Trade and other payables 28   -     -     -     483,695   294,257   777,952   -  
      Amounts payable in respect of stockbroking activities* 21.2   8,764,847   -     -     7,349,304   -     16,114,151   8,764,847
      Taxation     -     -     -     -     44,433   44,433   -  
                       
      Total liabilities     8,764,847   5,701,432   -     8,308,725   377,399   23,152,403   14,466,279
                       
      Fair value information has not been provided for financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation of fair value.
                       
      * The fair value disclosed for this item only relates to the held-for-trading and designated at inception portions and therefore excludes the financial instruments that are measured at amortised cost.
    ** The difference between the fair value and the carrying value of the interest bearing borrowings is in aggregate quantitatively immaterial. The fair value was determined using discounted cash flow models, applying a market related interest rate linked to JIBAR, together with the expected settlement amounts of the loan.
                       
                       
          Group  
                       
          Financial instruments at fair value through profit or loss Loans and receivables at amortised cost Financial liabilities at amortised cost Non-financial instruments and financial instruments beyond the scope of
    IFRS 7
    Total Fair value of financial instrument
                       
          Held-for-trading Designated at Inception          
                       
        Notes R’000 R’000 R’000 R’000 R’000 R’000 R’000
                       
    10 Analysis of assets and liabilities by financial instrument classification (continued)                
                       
      2017                
      Non-current assets     -     6,485,184   34,906   -     1,225,864   7,745,954   6,485,184
                       
      Property, plant and equipment   11   -     -     -     -     129,335   129,335   -  
      Intangible assets   13   -     -     -     -     662,536   662,536   -  
      Investment in equity accounted investees   15   -     -     5,800   -     335,625   341,425   -  
      Investments linked to policyholder investment contracts 16.1   -     6,013,781   -     -     -     6,013,781   6,013,781
      Financial investments* 17.1   -     471,403   13,841   -     -     485,244   471,403
      Loans and receivables   18   -     -     15,265   -     -     15,265   -  
      Deferred taxation   19   -     -     -     -     98,368   98,368   -  
                       
      Current assets     11,513,147   255,745   7,831,598   -     40,100   19,640,590   11,768,892
                       
      Financial investments 17.2   281,520   255,745   -     -     -     537,265   537,265
      Loans and receivables   18   -     -     95,987   -     -     95,987   -  
      Trade and other receivables   20   -     -     412,823   -     21,238   434,061   -  
      Amounts receivable in respect of stockbroking activities* 21.1   11,231,627   -     4,571,308   -     -     15,802,935   11,231,627
      Taxation     -     -     -     -     18,862   18,862   -  
      Cash and cash equivalents   22   -     -     2,751,480   -     -     2,751,480   -  
                       
      Total assets     11,513,147   6,740,929   7,866,504   -     1,265,964   27,386,544   18,254,076
                       
      Non-current liabilities     -     6,013,781   -     449,971   34,829   6,498,581   6,013,781
                       
      Policyholder investment contract liabilities 16.2   -     6,013,781   -     -     -     6,013,781   6,013,781
      Interest-bearing borrowings**   25   -     -     -     349,979   -     349,979   -  
      Loans and payables***   26   -     -     -     99,992   23,893   123,885   -  
      Deferred taxation   19   -     -     -     -     10,936   10,936   -  
                       
      Current liabilities     11,885,080   178,828   -     4,920,658   365,358   17,349,924   12,063,908
                       
      Interest-bearing borrowings**   25   -     -     -     42,800   -     42,800   -  
      Loans and payables***   26   -     -     -     161,050   -     161,050   -  
      Financial instrument liabilities 27   36,797   178,828   -     -     -     215,625   215,625
      Trade and other payables 28   -     -     -     524,751   332,378   857,129   -  
      Amounts payable in respect of stockbroking activities* 21.2   11,848,283   -     -     4,192,057   -     16,040,340   11,848,283
      Taxation     -     -     -     -     32,980   32,980   -  
                       
      Total liabilities     11,885,080   6,192,609   -     5,370,629   400,187   23,848,505   18,077,689
                       
      Fair value information has not been provided for financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation of fair value.
                       
      * The fair value disclosed for this item only relates to the held-for-trading portion and therefore excludes the financial instruments that are measured at amortised cost.
    ** The difference between the fair value and the carrying value of the interest bearing borrowings is in aggregate quantitatively immaterial. The fair value was determined using discounted cash flow models, applying a market related interest rate linked to JIBAR, together with the expected settlement amounts of the loan.
    *** The loans were entered into at the end of the previous financial year on market-related terms with third parties. R157 million of the loan is short term and therefore the carrying amount is deemed to be a reasonable approximation of the fair value. The difference between the fair value and the carrying amount of the balance of R104 million is quantitatively immaterial.  
  •       Company  
                       
          Financial instruments at fair value through profit or loss Loans and receivables at amortised cost Financial liabilities at amortised cost Non-financial instruments and financial instruments beyond the scope of
    IFRS 7
    Total Fair value of financial instrument
                       
          Held-for-trading Designated at Inception          
                       
        Notes R’000 R’000 R’000 R’000 R’000 R’000 R’000
                       
    10 Analysis of assets and liabilities by financial instrument classification (continued)                
                       
      2018                
      Non-current assets                
      Investment in subsidiaries 14   -     -     -     -     555,686   555,686   -  
      Investment in equity accounted investee 15   -     -     -     -     3,750   3,750   -  
                       
      Current assets                
      Loans to related parties 39.1   -     -     510,085   -     -     510,085   -  
      Taxation     -     -     -     -     1   1   -  
      Cash and cash equivalents 22   -     -     619   -     -     619   -  
                       
      Total assets     -     -     510,704   -     559,437   1,070,141   -  
                       
      Current liabilities                
      Loans from related parties 39.1   -     -     -     21,087   -     21,087   -  
      Trade and other payables 28   -     -     -     1,368   -     1,368   -  
                       
      Total liabilities     -     -     -     22,455   -     22,455   -  
                       
      2017                
      Non-current assets                
      Investment in subsidiaries 14   -     -     -     -     683,139   683,139   -  
                       
      Current assets                
      Loans to related parties 39.1   -     -     431,652   -     -     431,652   -  
      Cash and cash equivalents 22   -     -     706   -     -     706   -  
                       
      Total assets     -     -     432,358   -     683,139   1,115,497   -  
                       
      Current liabilities                
      Loans from related parties 39.1   -     -     -     20,389   -     20,389   -  
      Trade and other payables 28   -     -     -     1,036   -     1,036   -  
                       
      Total liabilities     -     -     -     21,425   -     21,425   -  
                       
      Fair value information has not been provided for financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation of fair value.
  •       Group
                   
        Land & buildings Computer software & hardware Furniture, fittings & office equipment Motor vehicles Leasehold improvements Total
                   
        R’000 R’000 R’000 R’000 R’000 R’000
                   
    11 Property, plant and equipment            
                   
      2018            
                   
      Carrying value at beginning of the year   71,049   17,827   20,362   202   19,895   129,335
        Cost   71,874   80,842   58,526   294   34,246   245,782
        Accumulated depreciation   (825)   (63,015)   (38,164)   (92)   (14,351)   (116,447)
                   
      Additions   -     14,791   819   370   -     15,980
                   
      Disposals   -     (800)   -     -     -     (800)
        Cost   -     (1,321)   (13)   -     -     (1,334)
        Accumulated depreciation   -     521   13   -     -     534
                   
      Depreciation   (1,237)   (11,022)   (6,482)   (145)   (3,957)   (22,843)
                   
      Translation difference   -     7   (2)   -     -     5
        Cost   -     (206)   (51)   -     (145)   (402)
        Accumulated depreciation   -     213   49   -     145   407
                   
      Carrying value at end of the year   69,812   20,803   14,697   427   15,938   121,677
        Cost   71,874   94,106   59,281   664   34,101   260,026
        Accumulated depreciation   (2,062)   (73,303)   (44,584)   (237)   (18,163)   (138,349)
                   
      2017            
                   
      Carrying value at beginning of the year   47,145   15,851   13,305   277   14,507   91,085
        Cost   47,145   75,085   47,257   294   26,272   196,053
        Accumulated depreciation   -     (59,234)   (33,952)   (17)   (11,765)   (104,968)
                   
                   
      Additions   24,729   12,156   13,605   -     9,559   60,049
                   
      Disposals   -     (30)   (173)   -     -     (203)
        Cost   -     (336)   (883)   -     -     (1,219)
        Accumulated depreciation   -     306   710   -     -     1,016
                   
      Depreciation   (825)   (9,906)   (6,313)   (75)   (4,171)   (21,290)
                   
      Translation difference   -     (244)   (62)   -     -     (306)
        Cost   -     (6,063)   (1,453)   -     (1,585)   (9,101)
        Accumulated depreciation   -     5,819   1,391   -     1,585   8,795
                   
      Carrying value at end of the year   71,049   17,827   20,362   202   19,895   129,335
        Cost   71,874   80,842   58,526   294   34,246   245,782
        Accumulated depreciation   (825)   (63,015)   (38,164)   (92)   (14,351)   (116,447)
                   
      Land and buildings represent expenditure on the construction of the Remaining Extent of Erf 57373 Cape Town, where Citadel owns a 33,33% undivided share of the development. The development was completed and occupied as at 31 August 2016. For the prior year the expenditure includes borrowing costs capitalised during the construction period amounting to R2 million.

    There are no restrictions on title and none of the assets have been pledged as security, other than as noted in note 25.
  • 12 Corporate transactions            
                   
    12.1 Acquisitions during the current year            
                   
    12.1.1 Impex Treasury Solution Proprietary Limited            
                   
      On 1 April 2017, Peregrine Treasury Solutions Proprietary Limited ("PTS"), a wholly owned subsidiary of Citadel Holdings Proprietary Limited, acquired the entire issued share capital of Impex Treasury Solution Proprietary Limited ("Impex Treasury") for a total cash consideration of R20 million. Impex Treasury was acquired as it is aligned with the business profile of PTS. In the twelve months to 31 March 2018, Impex Treasury contributed revenue of R28.9 million and profit after tax of R8.5 million.
                   
      The acquisition had the following effect on the Group's assets and liabilities assumed at the acquisition date. The fair values reflected below represent their carrying values at the date of acquisition and therefore no fair value adjustments were recognised on acquisition. The gross acquired trade receivables amounted to R2.1 million. Trade receivables were not impaired and the full amount had been received subsequent to the acquisition and before year-end. The goodwill arising from the acquisition consists of the surplus above net assets and the customer relationship acquired and is presented in intangible assets on the face of the statement of financial position.
     
            Group      
            R'000      
      Identifiable assets       9,894      
        Intangibles - Customer relationships       6,000      
        Deferred taxation       245      
        Trade and other receivables       2,100      
        Cash and cash equivalents       1,549      
      Identifiable liabilities       (3,877)      
        Trade and other payables       (3,224)      
        Taxation       (653)      
                   
      Fair value of identifiable net assets assumed       6,017      
      Goodwill arising on acquisition       13,983      
                   
      Fair value of total net assets assumed       20,000      
                   
    12.2 Group restructure and unbundling            
                   
      With effect from 2 October 2017, the Group transferred to Sandown Capital Limited ("Sandown Capital"), then a wholly-owned subsidiary, all attributable surplus balance sheet investments within the Group. Full details of the restructure and unbundling are contained in the Circular to Peregrine shareholders issued on Tuesday, 14 November 2017. The effect of the restructure and unbundling on the Group's assets and liabilities is presented below. The restructure and unbundling resulted in the operating entities within the Group (which generate predominantly annuity earnings) being housed within Peregrine Holdings Limited. The intention of the Peregrine board then being, subject to working capital requirements, to seek new opportunities in investments that meet the Group's required return on equity parameters and cash required to retire debt within the operating entities, to declare and pay a dividend equivalent to substantial portion of each year's headline earnings. The Group continues to implement its strategy of reinforcing its offering as a highly cash generative, low capital intensive, high return on equity business.
                   
      The below amounts represent the carrying values as at 2 October 2017 of the unbundled assets and liabilities. The Group's surplus net assets unbundled represent their fair values as at 2 October 2017.
                   
            Group   Company  
            R'000   R'000  
      Identifiable assets unbundled       1,385,935     347,721  
        Investment in subsidiary company (annexure A)       -       347,721  
        Financial investments       1,178,865     -    
        Trade and other receivables       28,148     -    
        Taxation       4,443     -    
        Cash and cash equivalents       174,479     -    
      Identifiable liabilities unbundled       (154,253)     -    
        Loans and other payables       (136,110)     -    
        Trade and other payables       (12,316)     -    
        Deferred taxation       (5,827)     -    
                   
      Surplus net assets unbundled       1,231,682     347,721  
      Gain on unbundling (note 6)       -       851,059  
      Non-controlling interest       (32,902)     -    
                   
      Attributable surplus net assets unbundled       1,198,780     1,198,780  
  •         Group
                   
            Goodwill Customer relationships Trade name Total
                   
            R’000 R’000 R’000 R’000
                   
    13 Intangible assets            
                   
      2018            
                   
      Carrying value at beginning of the year       461,464   178,111   22,961   662,536
        Cost       1,068,615   561,388   111,689   1,741,692
        Amortisation and impairment       (607,151)   (383,277)   (88,728)   (1,079,156)
                   
      Acquisitions through business combinations       13,983   6,000   -     19,983
                   
      Amortisation       -     (20,603)   (2,143)   (22,746)
                   
      Translation difference       (1,294)   (293)   (131)   (1,718)
        Cost       (6,323)   (3,704)   (999)   (11,026)
        Amortisation and impairment       5,029   3,411   868   9,308
                   
      Carrying value at end of the year       474,153   163,215   20,687   658,055
        Cost       1,076,275   563,684   110,690   1,750,649
        Amortisation and impairment       (602,122)   (400,469)   (90,003)   (1,092,594)
                   
      2017            
                   
      Carrying value at beginning of the year       499,158   236,636   31,576   767,370
        Cost       1,252,789   709,050   140,793   2,102,632
        Amortisation and impairment       (753,631)   (472,414)   (109,217)   (1,335,262)
                   
      Disposals       -     (18,540)   -     (18,540)
        Cost       -     (39,729)   -     (39,729)
        Amortisation       -     21,189   -     21,189
                   
      Amortisation       -     (19,316)   (2,291)   (21,607)
                   
      Translation difference       (37,694)   (20,669)   (6,324)   (64,687)
        Cost       (184,174)   (107,933)   (29,104)   (321,211)
        Amortisation and impairment       146,480   87,264   22,780   256,524
                   
      Carrying value at end of the year       461,464   178,111   22,961   662,536
        Cost       1,068,615   561,388   111,689   1,741,692
        Amortisation and impairment       (607,151)   (383,277)   (88,728)   (1,079,156)
                   
      The cash generating units ("CGU") to which the intangibles relate are as detailed in the segmental report.

    Goodwill is not amortised but assessed annually for impairment. Customer relationships comprise client mandates acquired on the acquisition of Deloitte Private clients in 2006, the Stenham group in 2009, Montier Partners in 2011, Peregrine FX in 2012, Wealthcorp in 2014, Cannon Asset Managers in 2014, Cannon Trustees in 2015, Consolidated Financial Planning in 2016 and Impex Treasury Solution at the beginning of the period under review.

    With effect from 1 April 2017, Peregrine Treasury Solutions Proprietary Limited , a wholly owned subsidiary of Citadel Holdings Proprietary Limited recognised goodwill of R14 million and a customer relationship intangible asset of R6 million on the acquisition of the entire issued share capital of Impex Treasury Solution Proprietary Limited (note 12.1).

    With effect from 1 April 2016, Stenham Trust Limited ("Stenham Trust") disposed of 33% of the net book value of it's customer relationships amounting to R19 million (£877 030), to the new joint venture, Bellerive Stenham Trust Limited (note 15.1). Stenham Trust has transferred to the joint venture, that part of its fiduciary trust business that includes the relationships and engagements with the trusts and trust structures managed by Stenham Trust that relate to the gaming business and its entire fiduciary trust business relating to certain Family Office clients for a total aggregate cash consideration of R21 million (£1 million) payable over two years (note 18), resulting in a non-taxable gross profit of R2 million (£115 750) in the prior year.

    No internally generated intangibles are recognised.

    Critical accounting estimates and assumptions applied in testing for the impairment of goodwill and intangibles are detailed in note 40.1.
  •     Group   Company
                 
        2018 2017   2018 2017
        R’000 R’000   R’000 R’000
    14 Interest in subsidiaries          
                 
      Shares at cost         478,040   605,493
      Share schemes         77,646   77,646
                 
                555,686   683,139
                 
      Details of principal subsidiary companies are set out in annexure A.          
                 
    15 Investment in equity accounted investees          
                 
      Shares at cost   240,187   240,187     -     -  
      Share of post-acquisition reserves   120,347   91,940     -     -  
      Loans (note 15.3)   9,310   9,298     -     -  
      Distribution receivable (note 15.4)   3,750   -       3,750   -  
                 
          373,594   341,425     3,750   -  
                 
      Movement for the year:          
      At beginning of the year   341,425   318,969     -     -  
      Acquisitions during the year   -     12,301     -     -  
      Disposals during the year   -     (974)     -     -  
      Share of profits from equity accounted investees   130,798   100,006     -     -  
      Distributions   (102,146)   (75,664)     -     -  
      Distribution receivable   3,750   -       3,750   -  
      Foreign exchange translation differences   (245)   (13,269)     -     -  
      Loan receivable advances   312   320     -     -  
      Loan receivable repayments   (300)   (264)     -     -  
                 
          373,594   341,425     3,750   -  
                 
      Details of the group’s investments in equity accounted investees are set out in annexure B.
     
           
                 
      Summarised financial information of equity accounted investees:          
                 
      Assets   1,101,157   1,332,211      
      Liabilities   (490,914)   (606,305)      
                 
      Equity   610,243   725,906      
                 
      Revenue   691,588   519,330      
      Profit and other comprehensive income for the year   187,909   206,385      
                 
    15.1 Acquisitions during the prior year          
                 
      With effect from 1 April 2016, Stenham Trust Limited ("Stenham Trust") entered into an agreement whereby an independent Trust and Fiduciary company and Stenham Trust have formed Bellerive Stenham Trust Limited, a 50/50 joint venture, with effect from 1 April 2016 for a cash consideration of R2.3 million (£125 000) (note 33.1).  

    With effect from 1 March 2017, Peregrine Fund Platform Proprietary Limited ("PFP"), a subsidiary of the Group, entered into a joint venture agreement with an independent third party, whereby PFP subscribed for a 50% interest in Salient Quantitative Investment Management Proprietary Limited for a cash consideration of R10 million (note 33.1).

    Bellerive Stenham Trust Limited and Salient Quantitative Investment Management Proprietary Limited are both considered to be joint ventures as the parties have rights to the net assets and therefore the Group's interest therein has been equity accounted.
                 
    15.2 Disposal during the prior year          
                 
      With effect from 1 April 2016, Peregrine SA Holdings Proprietary Limited disposed of its 49.99% shareholding in Caveo Fund Solutions Proprietary Limited for a cash consideration of R20 million, resulting in a gross capital profit of R19 million (note 33.2).
                 
    15 Investment in equity accounted investees (continued)          
                 
    15.3 Terms of loans          
                 
      The loans to associates comprise:

    • A shareholder loan of R3.5 million (2017: R3.5 million) to Main Street Proprietary Limited which is unsecured, interest free and repayable subject to a twelve month notice period or earlier by mutual agreement.

    • A subordinated loan of R5.5 million (2017: R5.5 million) to Legae Securities Proprietary Limited that bears interest at 3 month JIBAR rate plus 1%. This subordination is in place for a minimum period of two years unless the Director of Surveillance of the JSE Limited gives written approval for the subordinated claim to be repaid in whole or in part prior to such date. This loan is repayable by no later than March 2040.

    • A loan of R312 424 (2017: R300 543) to Java Capital Proprietary Limited is unsecured, interest free and repayable on demand or within a period not exceeding 30 years.
     
                 
    15.4 Distribution receivable          
                 
      During the course of the year, Nala PGR SA Holdings Proprietary Limited (previously Nala Empowerment Investment Proprietary Limited) declared a dividend of R12.5 million, of which the Company is entitled to R3.750 million.
  •     Group
           
        2018 2017
        R’000 R’000
    16 Policyholder investment contract investments and liabilities    
           
    16.1 Investments linked to policyholder investment contracts    
           
      Peregrine Life investments   5,228,463   5,532,008
        Collective investment schemes   4,925,751   5,194,786
        Equities   293,582   324,840
        Cash   9,130   12,382
           
      Non-Peregrine Life investments    
        Collective investment schemes   441,630   481,773
           
      Total investments linked to policyholder investment contracts   5,670,093   6,013,781
           
    16.2 Policyholder investment contract liabilities    
           
      Peregrine Life investments contract liabilities    
      Balance at the beginning of the year   5,532,008   5,362,724
      Premium income   471,528   675,338
      Net investment income (note 3.1)   107,598   105,217
        Interest   74,061   33,151
        Dividends received - local   32,738   71,764
        Dividends received - foreign   736   301
        Other Income   63   1
           
      Fund balance adjusted for gross fund inflows   6,111,134   6,143,279
      Policy surrenders paid   (370,348)   (241,236)
      Policy transfers out   (174,796)   (160,723)
      Annuities paid   (264,253)   (249,298)
      Death claims paid   (30,974)   (54,658)
      Investment fees paid   (46,405)   (41,213)
      Management and operating expenses   (19,424)   (17,842)
      Current and deferred taxation   (1,861)   (4,956)
      Switches in transfer   48,104   7,594
      Net realised and unrealised changes in fair value of investments   (22,714)   151,061
           
      Balance at the end of the year   5,228,463   5,532,008
           
      Non-Peregrine Life investment contract liabilities    
      Contract liabilities   441,630   481,773
           
          5,670,093   6,013,781
           
    16 Policyholder investment contract investments and liabilities (continued)    
           
    16.2 Policyholder investment contract liabilities (continued)    
           
      The amounts due to policyholders under these contracts are based on the fair value of the financial asset held within the appropriate unit-linked funds. The contractual maturity amount of this liability is therefore the same as its carrying amount. No changes in the fair value of this liability are considered to be attributable to changes in the Group's credit risk, as fair value is determined based on the fair value of the financial assets supporting the policies.

    The investments linked to the policyholder investment contracts designated as at fair value through profit or loss are equity securities that otherwise would have been classified as available-for-sale.

    The Group’s exposure to credit, currency and interest rate risks is disclosed in note 42.
  •     Group
           
        2018 2017
        R’000 R’000
           
    17 Financial investments    
           
    17.1 Non-current investments    
           
      Property fund investments - listed (note 12.2)   -     363,024
      Property fund investments - unlisted (note 12.2)   1,402   95,716
      Private equity investments   561   4,145
        Listed   561   3,145
        Unlisted (note 12.2)   -     1,000
      Collective investment schemes   2,011   1,921
      Preference shares - unlisted (note 39.4)   36,029   13,841
      Share portfolio investments - listed   6,007   6,272
      Share portfolio investments - unlisted   324   325
           
          46,334   485,244
           
    17.2 Current investments    
           
      Financial assets at fair value through profit or loss (note 12.2)   -     281,520
      Hedge funds - unlisted (note 12.2)   40,292   213,363
      Collective investment schemes   30,375   25,066
      Share portfolio investments - listed   12,682   11,967
      Private equity investments - unlisted   3,825   5,349
           
          87,174   537,265
           
      A register of investments is available for inspection at the registered office of the Company in terms of Section 26 of the Companies Act of South Africa.

    Financial assets at fair value through profit or loss:
    In terms of current International Financial Reporting Standards certain of the Group's proprietary hedge fund investments are required to be consolidated due to the fact that the Group has effective control both in terms of kick-out rights and with direct and indirect holdings being within the indicative range outlined within IFRS 10. The Hedge Funds measure all debt and equity investments at fair value through profit or loss upon initial recognition as it manages these securities on a fair value basis in accordance with its documented investment strategy. Financial instruments are designated as at fair value through profit or loss if they do not meet the requirements in terms of IAS 39 to be classified as held-for-trading. Internal reporting and performance measurement of these securities are on a fair value basis.

    Hedge funds - unlisted:
    The unlisted hedge fund investments pertain to Hedge Funds that do not meet the requirements of IFRS 10 and therefore have not been consolidated but rather accounted for in terms of IAS 39. Disinvestment is at the discretion of the Group and is allowed on a monthly basis.
     
      Included in the comparative period are listed and unlisted property fund investments of R457 million, unlisted private equity investments of R1 million and unlisted hedge fund investments (accounted for in terms of IAS 39) of R119 million which were unbundled to Sandown Capital with effect from 2 October 2017 (note 12.2). In addition, certain of the Group's proprietary hedge fund investments which were consolidated in terms of IFRS 10 and disclosed as financial assets at fair value through profit or loss were de-consolidated with effect from 2 October 2017 as the Group's attributable share of these unredeemed hedge fund assets were transferred to Sandown Capital as part of the unbundling.

    Financial assets, disclosed as part of unlisted hedge fund investments, held on behalf of the Citadel 2017 deferred remuneration scheme (note 29.2.3) amounting to R37 million (2017: Citadel 2015 deferred remuneration scheme R82 million) have been ceded and pledged in favour of Investec Bank Limited (note 25).

    The valuation techniques applied and inputs to the valuation techniques in respect of the prior year unlisted private equity investments are described in note 42.4.1.

    Refer to note 42.1 for full assessment of market risk.
  •     Group
           
        2018 2017
        R’000 R’000
    18 Loans and receivables    
           
      Deltavest Limited (note 18.1)   25,171   8,663
      Nala PGR SA Holdings Proprietary Limited (previously Nala Empowerment Investment Company Proprietary Limited) (note 18.1)   5,075   7,026
      Envisionit Stock Lending Solutions Proprietary Limited (note 18.1)   1,200   1,169
      Bellerive Stenham Trust Limited (note 18.1)   -     8,264
      Sandown Capital Limited (note 18.2)   120,000   -  
      All Weather Natural Selection En Commandite Partnership shareholder loans (note 18.2)   22,841   33,945
      G3 Market Neutral En Commandite Partnership shareholder loans (note 18.2)   -     45,503
      Directors of a subsidiary company (note 18.2)   13,540   6,682
      Green Oak Capital Proprietary Limited (note 18.2)   7,804   -  
           
          195,631   111,252
      Less: Current portion disclosed under current assets   (163,863)   (95,987)
      Deltavest Limited   (85)   (80)
      Bellerive Stenham Trust Limited   -     (8,264)
      Nala PGR SA Holdings Proprietary Limited (previously Nala Empowerment Investment Company Proprietary Limited)   (5,075)   (7,026)
      Envisionit Stock Lending Solutions Proprietary Limited   (1,200)   (1,169)
      Sandown Capital Limited   (120,000)   -  
      All Weather Natural Selection En Commandite Partnership shareholder loans   (22,841)   (33,945)
      G3 Market Neutral En Commandite Partnership shareholder loans   -     (45,503)
      Directors of a subsidiary company   (6,858)   -  
      Green Oak Capital Proprietary Limited   (7,804)   -  
           
          31,768   15,265
           
    18.1 Loans and receivables: equity accounted investees    
           
      The loan advance of R25 million (2017: R9 million) to Deltavest Limited comprises partly of a dollar denominated loan of $640 000 (R8 million) (2017: R9 million) and partly of a sterling denominated loan of £1.050 million (R17 million) which amount was advanced on 1 March 2018. The dollar denominated loan bears interest at the USA prime overdraft rate calculated daily. Interest is payable quarterly from 1 April 2016 and the capital sum is repayable by no later than 31 March 2021. The loan is secured by Deltavest Limited's investment in Delta One Global Opportunities Fund. The sterling denominated loan bears interest at the Intercontinental Exchange London Interbank Offered Rate ("LIBOR") rate plus 3% per annum calculated daily and compounded and capitalised every six months. The interest and capital is either repayable within a 90 day written notice to repay issued by the Group or any portion thereof at the discretion of Deltavest Limited. The loan is unsecured.

    The loan to Nala PGR SA Holdings Limited (previously Nala Empowerment Investment Company Proprietary Limited), in which the Group has a 30% interest, was unsecured, interest free and had no fixed terms of repayment, but limited to a period not exceeding 30 years. The loan was settled in the first quarter of the 2019 financial year.

    The loan to Envisionit Stock Lending Solutions Proprietary Limited is unsecured and interest free. The loan was settled on 6 April 2018.

    During the prior year Stenham Trustees Limited ("Stenham Trust"), a subsidiary of the Group, entered into a joint venture agreement with the Bellerive Group with an effective date of 1 April 2016. A purchase consideration of R21 million (£1 million) was payable by the joint venture company, Bellerive Stenham Trust Limited, for the purchase of that part of the trust fiduciary business relating to the gaming business and the entire trust fiduciary business relating to certain Family Office clients (note 13). Consideration was due in four equal tranches payable biannually over two years and was conditional on warranties represented by Stenham Trust that the business will generate both revenues in excess of £1 million and profit before tax of at least £500 000. The consideration due for the current year of R8.5 million (£500 000) (2017: R10.4 million (£500 000)) was received.
           
    18 Loans and receivables (continued)    
           
    18.2 Loans and receivables: other    
           
      As part of the restructure and unbundling transaction (note 12.2), whereby the Group's surplus non-operating assets were consolidated into Sandown Capital, then a wholly owned subsidiary, the Group entered into a disposal agreement with Sandown Capital in terms of which the Group disposed of its unredeemed hedge funds assets with effect from 2 October 2017 with part of the consideration payable left owing by way of an interest bearing loan, of which R120 million was outstanding at year end. The loan bears interest at a rate equal to the rate at which interest is payable by the Group in terms of the Group's revolving credit facility ("RCF") with Investec Bank Limited ("Investec"). The interest is calculated daily and compounded monthly and is payable monthly in arrears on or before the last day of each month, with the first payment having been made by 31 October 2017. Subsequent to year end R40 million of the loan was repaid, with the balance of R80 million due by no later than 1 August 2018.  

    The loan to the partners of All Weather Natural Selection En Commandite Partnership are unsecured, bear interest at the South African Benchmark Overnight Rate ("SABOR") and are repayable either within 10 days after disinvestment from the fund or on 90 days' notice.

    The loan to the partners of G3 Market Neutral En Commandite Partnership was unsecured, bore interest at SABOR and was settled during the course of the current financial year.

    The loan advances of R14 million (2017: R7 million) to the directors of one of the Group's subsidiary companies comprise partly of an interest bearing loan of R7 million and partly of a non-interest bearing loan of R7 million. The interest bearing loan bears interest at, for so long as the Group owes any amount to Investec in terms of a RCF, the rate payable in terms of the RCF, or if the Group no longer owes any amount to Investec in terms of the RCF, the official rate of interest as set out in the Seventh Schedule to the Income Tax Act, 1962, as amended from time to time. The interest due accrues daily and is compounded and capitalised monthly in arrears. The interest is payable annually from 31 March 2016. The loan is repayable by 31 March 2020. As security the director has pledged and ceded his 2 893 shares held in the subsidiary company. The non-interest bearing portion of the loan advances are unsecured and repayable by 30 June 2018.

    The loan to Green Oak Capital Proprietary Limited bears interest at the return, in basis points, achieved by the PIM Investments 19 Trust, being the net return after fees. The interest is calculated and compounded monthly. The interest is payable within sixty days of demand being made therefor, provided that such demand shall not be made prior to 31 March 2019. The loan is unsecured and is repayable within a thirty day notice period effective from 31 March 2019.  
           
      Refer to note 42.2 for full assessment of credit risk.
           
        Group
           
        2018 2017
        R’000 R’000
           
    19 Deferred taxation    
           
      Recognised deferred tax assets and (liabilities) are attributable to the following:    
      Investments   (5,550)   (5,550)
      Estimated tax losses   21,463   28,223
      Capital allowances   923   1,369
      Fair value adjustments - financial instruments   (4,344)   (22,924)
      Prepayments   (1,281)   (1,735)
      Accruals   62,399   82,841
      Lease smoothing   6,727   5,208
           
          80,337   87,432
           
      Deferred tax asset   89,661   98,368
      Deferred tax liability   (9,324)   (10,936)
           
          80,337   87,432
           
      Reconciliation of movement in deferred tax balance:    
      At beginning of the year   87,432   88,544
      Acquisition of subsidiary (note 12.1)   245   -  
      Disposal of immaterial subsidiaries   (690)   -  
      Restructure and unbundling to Sandown Capital Limited (note 12.2)   5,827   -  
      Movement through profit and loss:   (12,443)   (1,501)
        Tax losses utilised   (6,385)   (52,526)
        Estimated assessable losses for set-off against future income   -     31,195
        Capital allowances   (449)   (89)
        Fair value adjustments - financial instruments   11,616   47,200
        Prepayments   454   (113)
        Accruals   (19,198)   (29,205)
        Lease smoothing   1,519   2,037
           
      Movement through other comprehensive income:   (34)   389
        Currency translation differences   (34)   389
           
          80,337   87,432
           
        Group
           
        2018 2017
        R’000 R’000
    20 Trade and other receivables    
           
      Trade and other receivables   412,260   355,693
      Balances due from brokers   2,908   45,263
      Prepayments   16,933   16,340
      Trade receivables due from associates (note 39.2)   9,228   16,765
           
          441,329   434,061
           
      Balances due from brokers represent cash deposits with brokers, transferred as collateral against open futures and forward contracts, cash collateral for borrowed securities and sales transactions awaiting settlement. In accordance with the Hedge Fund's policy of trade date accounting for regular way sale transactions, sale transactions awaiting settlement represent amounts receivable for securities sold, but not yet settled as at the reporting date.

    Refer to note 42.2 for full assessment of credit risk.
  •     2018 2017
        R’000 R’000
    21 Financial assets and liabilities arising from stockbroking activities    
           
    21.1 Amounts receivable in respect of stockbroking activities    
           
      Securities trading balances (note 21.1.1)   3,864,348   2,524,929
      Dividends claims   13,671   41,216
      Collateral for scrip-lending facilities (note 21.1.2)   496   547,300
      Strate settlement account   320,678   -  
      Financial assets held-for-trading (notes 21.3 and 42.1.2.1)   9,849,758   11,231,627
      Amounts receivable in respect of OTC derivatives and other financial instruments*   945,078   959,627
      Margins   307,638   498,236
           
          15,301,667   15,802,935
           
      * Included in amounts receivable in respect of OTC derivatives and other financial instruments in respect of the current year of R945 million, is an amount of R904 million that has been classified as a financial asset held for trading.    
           
    21.1.1 Securities trading balances    
           
      Amounts owing by clients in respect of transactions   3,864,348   2,524,929
           
          3,864,348   2,524,929
           
    21.1.2 Collateral for scrip-lending facilities    
           
      As at 31 March 2018, Peregrine Equities Proprietary Limited had pledged cash in the amount of R496 272 (2017: R547 million) and scrip to the value of R12.1 billion (2017: R12.7 billion) as collateral for scrip lending facilities.

    Refer to note 42.2 for full assessment of credit risk.
           
    21.2 Amounts payable in respect of stockbroking activities    
           
      Securities trading balances (note 21.2.1)   1,684,661   1,027,040
      Client collateral   595,725   175,272
      Strate settlement account   141,790   504,007
      Financial liabilities held-for-trading (note 21.3)   7,682,093   11,848,283
      Equity swaps and futures margins   2,757,114   2,124,664
      Amounts payable in respect of OTC derivatives and other financial instruments*   3,252,768   361,074
           
          16,114,151   16,040,340
           
      * Included in amounts payable in respect of OTC derivatives and other financial instruments in respect of the current year of R3.3 billion, is an amount of R1.1 billion that has been classified as a financial liability held for trading.    
           
    21.2.1 Securities trading balances    
           
      Amounts owing to clients in respect of transactions   1,684,661