2011 Annual Report - BDO

from 0.0% to 9.13% per annum in 2011 and 2010.Except for derivatives and securities purchased under reverse repurchase agreements, theamounts presented have been determined directly by reference to published price quoted inan active market. The fair value of derivative financial assets is determined through valuationtechniques using net present value computation.The outstanding balances of the securities purchased under reverse repurchase agreement in2011 and 2010 are due within three days after the end of the reporting periods. The carryingamount is a reasonable approximation of fair value since these securities have short-termmaturities.The Bank recognized net trading gains on financial assets at fair value through profit or lossamounting to P188,771,359 and P95,855,152 in 2011 and 2010, respectively, which are includedas part of Trading and Securities Gain – net in the statements of income.The total interest earned on financial assets at fair value through profit or loss amounted toP249,711,258 in 2011 and P210,359,586 in 2010.6. AVAILABLE-FOR-SALE SECURITIESThis account is composed of the following:2011 2010Debt securitiesGovernment securities P 2,543,747,845 P 2,369,886,758Other debt securities 678,671,538 1,987,547,902Equity securitiesQuoted 155,000 155,000Not quoted 5,500,100 5,500,1003,228,074,483 4,363,089,760Allowance for impairment ( 118,087,852 ) ( 138,587,869 )As to currency, this account is composed of the following:P 3,109,986,631 P 4,224,501,8912011 2010Foreign currency P 3,093,975,043 P 3,234,636,067Peso 16,011,588 989,865,824P 3,109,986,631 P 4,224,501,891www.bdo.com.ph 81