Decision on the Content and Layout of Forms of Financial Statements of Voluntary Pension Funds

RS Official Gazette, No 87/2014
Pursuant to Article 26, paragraph 3 of the Law on Accounting (RS Official Gazette, No 62/2013) and Article 18, paragraph 1, item 3 of the Law on the National Bank of Serbia (RS Official Gazette, Nos 72/2003, 55/2004, 85/2005 – other law, 44/2010, 76/2012 and 106/2012), Governor of the National Bank of Serbia issues DECISION ON THE CONTENT AND LAYOUT OF FORMS OF FINANCIAL STATEMENTS OF VOLUNTARY PENSION FUNDS

1. This Decision sets out the content and layout of forms of financial
   statements of voluntary pension funds (hereinafter: fund), including the content of items in the Balance Sheet – Statement of Net Assets, Income Statement, Cash Flow Statement and Statement of Changes in Net Assets, and notes to financial statements. The forms referred to in paragraph 1 hereof are enclosed herewith as Schedulees 1, 2, 3 and 4 and are integral hereto. The contents of some classes of accounts, groups of accounts and accounts in forms referred to in paragraph 1 hereof are prescribed by the Decision on the Chart of Accounts and Content of Accounts in the Chart of Accounts of Voluntary Pension Funds. The amounts disclosed in the statement forms referred to in Article 1 hereof shall be expressed in thousands of dinars.
2. A fund management company (hereinafter: management company)
   shall enter data in the form Balance Sheet – Statement of Net Assets in columns 4–7, according to the contents of classes of accounts, groups of accounts and accounts designated in column 1 of the form.
3. A management company shall enter data in columns 4–6 of the
   Income Statement form, in accordance with the content of accounts designated in column 1 of the form.
4. A management company shall enter data in columns 4 and 5 of the
   Cash Flow Statement form.
   For the purposes of this Decision, cash flows are collections and payments of cash assets of the fund. Cash flows are not inter-fund transfers among individual accounts of cash assets of the fund.

The amount of cash inflows and outflows may be determined based on records of inflows and outflows in business accounts and the foreign currency account or from appropriate accounts in the forms Balance Sheet – Statement of Net Assets and Income Statement, and groups of accounts and accounts in business books of the fund.
5. A management company shall enter data in columns 4–6 of the
Statement of Changes in Net Assets form, in accordance with the content of classes of accounts and accounts from column 1 of the form. Balances on accounts from column 1 shall be entered under designations ADP from 4001 to 4003 on the last day of the relevant period. Accounts payable from column 1, without initial balance, shall be entered under designations ADP from 4004 tо 4007, for the relevant period. Accounts receivable from column 1, without initial balance, shall be entered under designations ADP from 4008 to 4012, for the relevant period.
6. Notes to financial statements shall contain in particular:
1) general data on the fund;
2) grounds for compilation of financial statements;
3) significant accounting policies;
4) description of the fund's risk management system;
5) analysis of items in financial statement forms;
6) analysis of success in investing fund assets and managing the fund;
7) additional disclosures required by the IFRS.
The general data referred to in paragraph 1, subparagraph 1) of this
Section shall consist of identification data (name and registration number),
data on establishment of the fund and management company, laws regulating fund operation, name of the custody bank and number of the account where fund assets are held, description of the fund, description of the manner and sources of assets collection, data on members of the fund, its investment policy and conditions for the withdrawal of assets, and tax treatment of contributions and withdrawals. The grounds referred to in paragraph 1, subparagraph 2 hereof are accounting regulations which apply to the preparation of financial statements, and information on the alignment of financial statements with domestic regulations and the IFRS, including any exemptions from such regulations.

The accounting policies referred to in paragraph 1, subparagraph 3 hereof include references to the IFRS, accounting principles of recognition, measurement, classification and disclosure of each item of financial statement forms, currency translation methods and the assessment of assets and liabilities items at fair value, and the overview of comparative data for the prior period. The description from paragraph 1, subparagraph 4 of this Section means the overview and analysis of the most important aspects of funds’ risk management, with a particular emphasis on the process of fund’s risk management, in accordance with the decision regulating risk management in operation of management companies and funds. The analysis of items referred to in paragraph 1, subparagraph 5 hereof shall at least the description and structure of all items of financial statements. The analysis of individual items in the Balance Sheet – Statement of Changes in Net Assets form shall also disclose at minimum information on the structure of all items in the statement and characteristics of financial instruments disclosed in them. In respect of debt securities, the minimum information disclosed shall include the portfolio structure by types of securities, maturity structure, type of interest rate (fixed, variable), effective interest rate in percentage, issuer's credit rating at the moment of investment and on the balance sheet day, significant shares of securities of individual issuers, and each significant share of the fund in the total issues of issuer's securities. The classification of debt securities by types means the classification into bonds, depositary receipts, treasury bills and notes, and other debt securities. Bonds are further classified at least into bonds of the National Bank of Serbia, Republic of Serbia, autonomous province, local self￾government authorities, bonds issued with the guarantee of the Republic of Serbia, including bonds of banks, other legal persons, mortgage bonds, bonds of international financial institutions, foreign states and central banks, bonds of foreign banks and other foreign legal persons. In respect of equities, the minimum information disclosed shall include the portfolio structure by types of securities, the average dividend rate of the auction portfolio, and significant shares of securities of individual issuers. The classification of equities by types means the classification into shares of domestic and foreign legal persons, with both types further classified into shares of banks and other legal entities.

The classification of investment into open-end investment funds by types means the classification into domestic and foreign investment funds. Investment into each investment fund and returns yielded by the investment fund in accordance with the law regulating operation of investment funds shall be disclosed individually. Deposits shall be classified at least into short- and long-term deposits, and real estate shall be classified at least into land, business, residential and business-residential facilities, commercial facilities and other. The analysis of individual items in the Income Statement form shall also at minimum include analysis of individual items of net gains and losses, the analysis of fees to the management company and the manner of allocating these expenses against fund assets, and the analysis of costs relating to investment of fund assets, which are borne by the fund, in accordance with the Law on Voluntary Pension Funds and Pension Schemes. The analysis of individual items of net gains and losses referred to in paragraph 14 hereof shall at minimum include the analysis of total revenue and expenditure, based on which the items were created, allocated by forms of investment. The analysis of success in investing fund assets and managing the fund shall include the disclosure of the success of investment, whereas minimum information disclosed shall include the fund’s rate of return for the past twelve months, for a five-year period, and for the period since the start of fund's operation.
7. This Decision shall apply to financial statements compiled as at 31
December 2014.
8. This Decision repeals the Decision on the Content and Forms of
Financial Statements of Voluntary Pension Funds (RS Official Gazette, No 60/2011).
9. This Decision shall be published in the RS Official Gazette and shall
enter into force on 31 December 2014.
D. No 17 Governor
20 August 2014 National Bank of Serbia Belgrade Dr Jorgovanka Tabaković, sign.

Schedule 1
To be completed by the management company Registration number Activity code Tax ID number Name of fund:
Registration number of fund:
Name of management company:
BALANCE SHEET – STATEMENT OF NET ASSETS as at __________ (in RSD thousand) Class of account s, group of account s, account Item ADP Note Current year Previous year End-of￾period Start-of￾period 1 2 3 4 5 6 7 ASSETS 10 Cash 0001 11 Receivables from management companies 0002 12 Other receivables 0003 200, 203,
part 205,
210, 211
Securities of international financial institutions, governments and central banks 0004 204,
part
205, 212
Debt securities of companies 0005
202, 213 Depositary receipts 0006
206, 215 Open-end investment funds 0007 207, 214 Shares 0008 201 Deposits with banks 0009 208 Real estate 0010 209, 219 Other fund investment 0011 TOTAL ASSETS (from 0001 tо 0011) 0012 LIABILITIES 30 Liabilities to the management company 0401 31 Other liabilities arising from operation 0402 4 Liabilities under membership 0403 TOTAL LIABILITIES (from 0401 tо 0403) 0404 NET ASSETS 800 Net contributions 0405 801 Gain of the current year 0406 802 Gain of previous years 0407 803 Loss of the current year 0408 804 Loss of previous years 0409 TOTAL NET ASSETS AVAILABLE FOR PENSIONS (0405+0406+0407-0408-0409) 0410 In ________________________, Legal representative of the management company On _____________________ __________________________

Schedule 2
To be completed by the management company Registration number Activity code Tax ID number Name of fund:
Registration number of fund:
Name of management company:
INCOME STATEMENT for the period ending on __________ (in RSD thousand) Accoun t Item ADP Note Current year Previous year 1 2 3 4 5 6 602-502 Net gains from the sale of securities and investment units of open-end investment funds 1001 502-602 Net losses from the sale of securities and investment units of open-end investment funds 1002 603-503 Net gains from value adjustment of securities and investment units of open-end investment funds 1003 503-603 Net losses from value adjustment of securities and investment units of open-end investment funds 1004 604-504 Net exchange rate gains 1005 504-604 Net exchange rate losses 1006 605-505 Net gains from sale of real estate 1007 505-605 Net losses from sale of real estate 1008 606-506 Net gains from adjustment of real estate value 1009 506-606 Net losses from adjustment of real estate value 1010 600 Interest income 1011 601 Dividend income 1012 607 Income from lease 1013 609 Other income 1014 500 Fees to management company 1015 507 Costs relating to purchase, sale and transfer of securities 1016 508 Costs of current real estate maintenance 1017 509 Other expenditure 1018 Gain (1001-1002+1003-1004+1005-1006+1007-1008+1009- 1010+1011+1012+1013+1014-1015-1016-1017-1018) Loss (1002-1001-1003+1004-1005+1006-1007+1008-1009+1010- 1011-1012-1013-1014+1015+1016+1017+1018) In ________________________, Legal representative of the management company On _____________________ __________________________

Schedule 3
To be completed by the management company Registration number Activity code Tax ID number Name of fund:
Registration number of fund:
Name of management company:
CASH FLOW STATEMENT for the period ending on __________ (in RSD thousand) ITEM ADP Current year Previous year 1 2 3 4 A. I CASH FLOWS FROM OPERATING ACTIVITIES Cash flows from operating activities (from 3002 tо 3008) 3001
1. Inflows from the sale of securities and investment units of open-end
investment funds 3002
2. Inflows from the sale of real estate 3003
3. Inflows from interest 3004
4. Inflows from dividends 3005
5. Inflows from real estate lease 3006
6. Net inflows from deposits 3007
7. Other inflows 3008
II Cash outflows from operating activities (from 3010 tо 3016) 3009
1. Outflows from the purchase of securities and investment units of open￾end investment funds 3010
2. Outflows from the purchase, sale and transfer of securities 3011
3. Outflows from the purchase of real estate 3012
4. Outflows from current real estate maintenance 3013
5. Net outflows from deposits 3014
6. Outflows from fees to management company 3015
7. Other outflows 3016
III Net cash inflow from operating activities (3001 - 3009) 3017 IV Net cash outflow from operating activities (3009 - 3001) 3018 B. I CASH FLOWS FROM FINANCING ACTIVITIES Cash inflows from financing activities (from 3020 tо 3023) 3019
1. Inflows from members' contributions 3020
2. Inflows from employers' contributions 3021
3. Inflows from other funds on the basis of change in membership 3022
4. Other inflows 3023
II Cash outflows from financing activities (from 3025 tо 3029) 3024
1. Outflows from scheduled withdrawals by members 3025
2. Outflows from payments to insurance companies 3026
3. Outflows from one-off withdrawals by members 3027

4. Outflows from payments to other funds based on change in membership 3028
5. Other outflows 3029
III Net cash inflows from financing activities (3019- 3024) 3030 IV Net cash outflows from financing activities (3024 - 3019) 3031
C. TOTAL NET CASH INFLOWS (3017 + 3030) 3032
D. TOTAL NET CASH OUTFLOWS (3018 + 3031) 3033 E. NET INCREASE IN CASH (3032 - 3033) 3034 F. NET DECREASE IN CASH (3033- 3032) 3035 G. CASH AT THE BEGINNING OF THE YEAR (Note: ) 3036 H. Exchange rate gains from calculation of cash 3037
I. Exchange rate losses from calculation of cash 3038
J.
CASH AT END-PERIOD (Note: )
(3034-3035+3036+3037-3038) 3039
In ________________________, Legal representative of the management company On _____________________ __________________________

Schedule 4
To be completed by the management company Registration number Activity code Tax ID number Name of fund:
Registration number of fund:
Name of management company:
STATEMENT ON CHANGES IN NET ASSETS for the period ending on __________ (in RSD thousand) Class of account s, account Item ADP Note Current year Previous year 1 2 3 4 5 6 8 Net assets as at 1 January 4001 801 Gain of the current year 4002 803 Loss of the current year 4003 410 Members’ contributions 4004 411 Employers’ contributions 4005 412 Payments from other funds on the basis of change in membership 4006 413 Unallocated payments 4007 400 Scheduled withdrawals 4008 401 Payments to insurance companies 4009 402 One-off withdrawals 4010 403 Payments to other funds on the basis of change in membership 4011 409 Payments on other grounds 4012 Net increase in net assets (4002- 4003+4004+4005+4006+4007-4008-4009-4010- 4011-4012) Net decrease in net assets (4003-4002-4004-4005- 4006-4007+4008+4009+4010+4011+4012) 4014 Net assets as at 31 December (4001+4013-4014) 4015 In ________________________, Legal representative of the management company On _____________________ __________________________