NVFH 2020 Integrated Annual Report

Independent
Auditor’s Report
Independent Auditor’s Report
To the Shareholders of
NVest Financial Holdings Limited
Report on the Audit of the Consolidated and Separate Financial Statements
Opinion
We have audited the consolidated and separate financial statements of NVest Financial Holdings Limited (the group and
company) set out on pages 72 to 125, which comprise the consolidated and separate statements of financial position as at 29
February 2020, and the consolidated and separate statements of profit or loss and other comprehensive income, consolidated
and separate statements of changes in equity and the consolidated and separate statements of cash flows for the year then
ended, and notes to the consolidated and separate financial statements, including a summary of significant accounting policies.
In our opinion, the consolidated and separate financial statements present fairly, in all material respects, the consolidated
and separate financial position of NVest Financial Holdings Limited as at 29 February 2020, and its consolidated and separate
financial performance and consolidated and separate cash flows for the year then ended in accordance with International
Financial Reporting Standards and the requirements of the Companies Act of South Africa.
Basis for Opinion
We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities under those
standards are further described in the Auditor’s Responsibilities for the Audit of the Consolidated and Separate Financial
Statements section of our report. We are independent of the group and company in accordance with the sections 290 and
291 of the Independent Regulatory Board for Auditors’ Code of Professional Conduct for Registered Auditors (Revised January
2018), parts 1 and 3 of the Independent Regulatory Board for Auditors’ Code of Professional Conduct for Registered Auditors
(Revised November 2018) (together the IRBA Codes) and other independence requirements applicable to performing audits
of financial statements in South Africa. We have fulfilled our other ethical responsibilities, as applicable, in accordance with
the IRBA Codes and in accordance with other ethical requirements applicable to performing audits in South Africa. The IRBA
Codes are consistent with the corresponding sections of the International Ethics Standards Board for Accountants’ Code
of Ethics for Professional Accountants and the International Ethics Standards Board for Accountants’ International Code of
Ethics for Professional Accountants (including International Independence Standards) respectively. We believe that the audit
evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the
consolidated and separate financial statements of the current period. These matters were addressed in the context of
our audit of the consolidated and separate financial statements as a whole, and in forming our opinion thereon, and we
do not provide a separate opinion on these matters. We have determined that there are no key audit matters in respect
of the separate financial statements. The following key audit matters relates to the consolidated financial statements.
Key audit matter
Valuation of land and buildings and investment property
(consolidated financial statements) – note 4 and 6
The carrying value of investment property amounted to
R274,255,654 and the carrying value of land and buildings
amounted to R65 136 185.
How our audit addressed the key audit matter
The audit procedures we performed included, amongst
others, the following:
• We considered management’s assessment of
COVID-19 being a non-adjusting event after the
reporting period, by considering the timing of the
announcement of COVID-19 as a global pandemic
by the World Health Organisation, as well as the
timing of the first reported case in South Africa.
BDO South Africa Incorporated
Registration number: 1995/002310/21
Practice number: 905526
VAT number: 4910148685
National Executive: PR Badrick • HN Bhaga-Muljee • DF Botha • E Singh • BJ de Wet • HCS Lopes (Johannesburg Office Managing Partner)
SM Somaroo • ME Stewart (Chief Executive) • IM Scott • MS Willimott
The company’s principal place of business is at 52 Corlett Drive, Illovo, Johannesburg, where a list of directors’ names is available for inspection. BDO South Africa
Incorporated, a South African personal liability company, is a member of BDO International Limited, a UK company limited by guarantee, and forms part of the
international BDO network of independent member firms.
NVest Financial Holdings Limited | INTEGRATED ANNUAL REPORT 2020 67