29 Financial Assets
|
Dec. 31, 2019 |
Dec. 31, 2020 |
||
|---|---|---|---|---|
in € million |
non-current |
current |
non-current |
current |
|
|
|
|
|
Non-consolidated subsidiaries |
2.0 |
– |
1.5 |
– |
Joint venture investments valued at equity |
29.5 |
– |
32.9 |
– |
Other investments |
140.2 |
– |
309.7 |
– |
Loans to other investments |
33.3 |
– |
33.3 |
– |
Securities |
4.4 |
– |
4.9 |
– |
Other non-current loans |
11.7 |
– |
11.3 |
– |
Derivatives |
110.6 |
0.7 |
22.4 |
0.4 |
|
331.7 |
0.7 |
416.0 |
0.4 |
|
|
|
|
|
Accounting Policies
Financial assets are recognized in the balance sheet when Vonovia becomes a contracting party of the financial instrument. A financial asset is derecognized when the contractual rights to the cash flows from a financial asset expire, or the financial asset is transferred and Vonovia neither retains control nor retains material risks and rewards associated with ownership of the financial asset.
In accordance with IFRS 9, the classification of financial assets takes into account both the business model in which financial assets are held and the characteristics of the cash flows of the assets in question. These criteria determine whether the assets are measured at amortized cost using the effective interest method or at fair value.
With regard to the business model criterion, all financial investments at Vonovia are to be assigned to the “hold to collect” model pursuant to IFRS 9.4.1.2(a). Whenever financial investments are categorized as equity instruments, Vonovia has exercised the irrevocable option to state future changes to the fair value in other comprehensive income in equity. Gains and losses recognized in other comprehensive income are never reclassified from total equity to the income statement on their disposal.
The carrying amount of financial assets corresponds to maximum risk of loss as of the reporting date.
The € 160.2 million increase in other investments results from the acquisition of a 2.6% stake in the Vesteda Residential Fund FGR, Amsterdam, Netherlands.
The loans to other investments not yet due relate to a loan to the property fund DB Immobilienfonds 11 Spree-Schlange von Quistorp KG.
Non-current derivatives include positive market values from cross currency swaps in the amount of € 18.4 million (Dec. 31, 2019: € 29.1 million), together with positive market values in the amount of € 4.0 million (Dec. 31, 2019: € 81.5 million) from embedded derivatives and other interest rate derivatives. The decrease in the the reporting year results from the utilization of termination options in connection with refinancing measures relating to Hembla in the amount of € 75.5 million.