GHL System Berhad Annual Report 2018

a n n u a l r e p o r t 2 0 1 8 111 NOT ES TO THE F I NANC I A L STAT EMENTS 3 1 D e c e m b e r 2 0 1 8 C O N T ’ D 18. OTHER INVESTMENT Group and Company 2018 2017 RM RM Equity securities: - Unquoted shares outside Malaysia - - (a) Equity securities which are not held for trading for which the Company has irrevocably elected at initial recognition to recognise at fair value through profit or loss. This is strategic investments for which the Company considers this classification to be appropriate and relevant. (b) Unquoted shares of the Group are categorised as Level 3 in the fair value hierarchy. Fair values of investments in unquoted shares are estimated based on the estimation of value in use. (c) The following table shows a reconciliation of Level 3 fair values of other investments: Group and Company 2018 RM Balance as at 1 January - Addition 2,117,588 Fair value changes (2,117,588) Balance as at 31 December - (d) There is no transfer between levels in the hierarchy during the financial year.