TCI NIB Annual Report 2018 & 2019

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 21. Financial instruments, continued (a) Credit risk, continued Debt securities at FVOCI NIB’s debt securities at FVOCI (2018: debt securities – available-for-sale) are allowed only with counterparties that have a credit rating that is acceptable the Investment Committee. Given their credit ratings, management does not expect any counterparty to fail to meet its obligations. At March 31, 2019 no loss allowance was recognised on debt securities at FVOCI (2018: debt securities – available-for-sale). NIB considers that its debt securities at FVOCI (2018: debt securities – available-for- sale) have low credit risk based on the external credit ratings of the counterparties. Other financial assets At the reporting date, NIB held financial assets with the following TCI entities: 2019 2018 CIBC US$ 20,448,639 15,562,943 Cash at banks – savings and current accounts – 4,322,933 Short-term investment 2,250,548 2,241,672 Scotiabank Cash at banks – savings and current accounts 5,000,000 5,000,000 FortisTCI Limited 300,000 450,000 Fortis bonds 10,509,579 10,509,579 US$ 38,508,766 38,087,127 TCIG Treasury bonds – at par TCI Bank (gross of change in fair value) Cash and cash equivalents are placed with counterparties that are TCI regulated FINANCIAL entities. Management does not expect the counterparties to fail to meet their STATEMENTS obligations. 2019 The following summarises financial assets held with TCI Bank at March 31, 2019 and 2018 including those deemed to have suffered a reduction in fair value: 2019 2018 Reduction in Reduction Gross fair value Gross in fair value Other receivables US$ 98,084 97,012 98,084 97,012 Long-term deposits US$ 10,411,495 7,808,621 10,411,495 9,717,395 10,509,579 7,905,633 10,509,579 9,814,407 147 55

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 FINANCIAL 21. Financial instruments, continued STATEMENTS (b) Liquidity risk 2019 Liquidity risk is the risk that NIB will encounter difficulty in meeting obligations arising 148 from its financial liabilities that are settled by delivering cash or another financial asset, or that such obligations will have to be settled in a manner disadvantageous to NIB. NIB’s policy for managing liquidity is to have sufficient liquidity to meet its liabilities, including estimated payments of benefits, as and when due, without incurring undue losses or risking damage to NIB’s reputation. NIB’s financial assets include long-term receivables which are generally illiquid. In addition, NIB’s deposits with TCI Bank are now subject to restrictions over their future redemption. NIB also holds a TCIG issued debt security investment which is exposed to redemption restrictions (note 9(b)). Consequently, NIB may not be able to quickly liquidate some of its investments in these instruments in order to meet its liquidity requirements. NIB’s U.S. equity securities are considered to be readily realisable as they are listed on United States stock exchanges. NIB’s overall liquidity risks are monitored on a regular basis by the Investment Committee. At the reporting date there were no significant concentrations of liquidity risk. NIB ensures that it has sufficient liquid financial assets comprising cash and cash equivalents to meet its current financial liabilities. NIB’s management believe the placing of TCI Bank into liquidation has not affected NIB’s ability to meet its current financial liabilities. The following are the contractual maturities of non-derivative financial instruments, including estimated interest payments and the impact of netting agreements: 2019 Carrying Contractual Under 1 1-2 years 2-4 years More than 4 Amount cash flows year US$ years US$ US$ US$ US$ US$ Cash and cash equivalents 32,723,761 32,723,761 32,723,761 –– – Contributions and other receivables 4,736,873 4,736,873 – Financial assets measured at FVOCI 4,736,873 –– 68,571,763 Long-term receivables 271,385,469 296,665,395 8,031,029 207,699,810 12,362,793 7,184,500 (current and non-current) 5,355,917 8,534,500 Long-term deposits 424,000 412,000 514,000 – 2,602,874 2,602,874 (current and non-current) 2,602,874 –– – Accounts payable and accrued (840,138) (840,138) 75,756,263 expenses 315,964,756 344,423,265 (840,138) –– 47,678,399 208,111,810 12,876,793 56

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 21. Financial instruments, continued (b) Liquidity risk, continued 2018 Carrying Contractual Under 1 2-4 years More than 4 Amount cash flows year 1-2 years years US$ US$ US$ US$ US$ US$ Cash and cash equivalents 24,751,772 24,751,772 24,751,772 –– – Contributions and other receivables 3,479,874 3,479,874 3,479,874 –– – Short-term investment 4,322,933 4,404,697 4,404,697 –– – Available-for-sale financial assets 4,467,804 207,520,963 10,531,814 51,010,885 Long-term receivables 254,874,198 273,531,466 7,441,500 (current and non-current) 5,526,750 8,982,500 440,000 428,000 673,000 694,100 Long-term deposits 694,100 694,100 – – – Accounts payable and accrued – (1,584,354) (1,584,354) (1,584,354) –– 59,146,485 expenses 292,065,273 314,260,055 35,959,793 207,948,963 11,204,814 At March 31, 2018, due to the uncertainties regarding the status of NIB’s assets held at TCI Bank, NIB management considered it appropriate to recognise the maturity period of assets held at TCI Bank, net of the current portion, as greater than four years for liquidity disclosure purposes. (c) Market risk Market risk is the risk that changes in market prices, such as interest rates and equity FINANCIAL prices, will affect NIB’s income or the value of its holdings of financial instruments. STATEMENTS The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return on risk. 2019 NIB’s strategy for the management of market risk is driven by NIB’s investment objectives as reflected in its IPS. NIB’s market risk is managed on a regular basis by the Investment Committee. NIB may not invest in margin transactions, acquisition of shares that would permit the portfolio to exercise control over the issuer, uncovered speculative positions, direct investments in physical commodities, futures contracts and options and derivative investments. (i) Interest rate risk NIB’s operations are subject to the risk of interest rate fluctuation to the extent that interest-earning assets mature or reprice at different times or in differing amounts. Risk management activities are aimed at optimising net interest income, given market interest rate levels consistent with NIB’s strategies. 149 57

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 21. Financial instruments, continued (c) Market risk, continued (i) Interest rate risk, continued At the reporting date, the interest rate profile of NIB’s interest-bearing financial instruments was: Cash flow sensitivity analysis for fixed rate instruments 2019 2018 Fixed rate instruments: US$ – 4,322,933 Financial assets 55,357,651 Short-term investment – 39,766,983 Financial assets measured at FVOCI Available-for-sale financial assets 5,355,917 5,526,750 Long-term receivables – – (current and non-current) US$ 60,713,568 49,616,666 Financial liabilities FINANCIAL A change of 100 basis points in interest rates for fixed rate instruments at the STATEMENTS reporting date would have increased/(decreased) income in the statement of income, expense and reserves by US$607,136/(US$607,136) (2018: 2019 US$496,167/(US$496,167)) assuming all other variables remained constant. 150 While long-term deposits held at TCI Bank were interest bearing, following TCI Bank being placed into provisional liquidation on April 9, 2010, and liquidation on October 29, 2010, interest has ceased to accrue on these amounts. These have therefore been excluded from the above analysis. NIB’s investment portfolio is permitted to utilise derivatives for hedging and income enhancing strategies. However, derivatives are not used to expressly employ leverage or other speculative strategies. Therefore, unless a specific type of security is allowed by the IPS, the Investment Manager must seek permission from the Investment Committee to invest in derivative instruments. Cash flow sensitivity analysis for variable rate instruments 2019 2018 Variable rate instruments: US$ 31,806,307 24,002,853 Financial assets US$ – – Cash and cash equivalents 31,806,307 24,002,853 Financial liabilities 58

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 21. Financial instruments, continued (c) Market risk, continued (i) Interest rate risk, continued Cash flow sensitivity analysis for variable rate instruments, continued A change of 100 basis points in interest rates for variable rate instruments at the reporting date would have increased/(decreased) income in the statement of income, expenses and reserves by US$318,063/(US$318,063) (2018: US$240,029/(US$240,029)) assuming all other variables remained constant. NIB’s interest rate risks are monitored on a regular basis by the Investment Committee and third party investment managers. (ii) Price risk Price risk is the risk that the fair value of the financial instrument will fluctuate as a result of changes in market prices other than those arising from interest rate risk, whether caused by factors specific to an individual investment, its issuer or factors affecting all instruments traded in the market. NIB’s procedures require price risks to be monitored on a regular basis by the Investment Committee and third party investment managers. NIB’s policy over concentration of its investment portfolio profile, based on its IPS, was as follows at March 31: Asset Class 2019 2018 FINANCIAL Cash and money market instruments 0–10% 0–10% STATEMENTS Non U.S. equities 5–30% 5–30% Fixed income 10–40% 10–40% 2019 Hedge Funds 5–15% 5–15% U.S. equities 6–15% 6–15% 6–15% 6–15% Large cap value 0–05% 0–05% Large cap growth 0–05% 0–05% Mid cap growth 2–08% 2–08% Small cap core 0–10% 0–10% Convertibles 0– 8% 0– 8% Private equity Commodities 151 59

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 21. Financial instruments, continued (c) Market risk, continued (ii) Price risk, continued The following table sets out concentration of the investment portfolio held by NIB at March 31: Asset Class According to IPS 2019 % Amount Cash and money market instruments US$ 22,699,187 7.3% Non U.S. equities 67,318,896 21.8% Fixed income 62,036,890 20.0% Hedge Funds 32,699,549 10.6% U.S. equities 28,120,290 9.1% Large cap value 28,164,269 9.1% Large cap growth 11,486,556 3.7% Mid cap growth 10,542,978 3.4% Small cap core 23,504,461 7.6% Convertibles 17,666,248 5.7% Private equity 1.7% Commodities 5,222,196 100.0% US$ 309,461,520 Asset Class According to IPS 2018 % Amount Cash and money market instruments US$ 17,804,615 6.2% Non U.S. equities 73,060,584 25.3% Fixed income 50,434,684 17.4% Hedge Funds 27,791,367 9.6% FINANCIAL U.S. equities STATEMENTS Large cap value 32,174,162 11.1% Large cap growth 30,815,071 10.7% 2019 Mid cap growth 11,886,204 4.1% Small cap core 10,272,747 3.5% Convertibles 20,630,218 7.1% Private equity 9,025,463 3.1% Commodities 5,576,911 1.9% US$ 289,472,026 100% NIB kept its asset allocation within ranges recommended by the IPS at March 31, 2019 and March 31, 2018. 152 60

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 21. Financial instruments, continued (c) Market risk, continued (ii) Price risk, continued The investment portfolio held by NIB at March 31, 2019 and March 31, 2018 was presented in these financial statements as follows: 2019 2018 Cash and cash equivalents US$ 10,020,947 6,943,530 Cash at investment managers US$ Cash at banks – savings and 22,699,187 17,804,615 current accounts – 4,322,933 – Short-term investment 271,385,469 Financial assets measured at FVOCI – 254,874,198 Available-for-sale financial assets 5,526,750 Long-term receivables 5,355,917 289,472,026 309,461,520 In compliance with internal investment guidelines cash held with investment managers is considered by NIB as part of financial assets measured at FVOCI (2018: available-for-sale financial assets) (note 5). Effective April 1, 2011 the long term deposits held with TCI Bank were, for IPS reporting purposes, written down to zero. The balance reported per the financial statements of US$2,602,874, net of loss allowance, (note 10) at March 31, 2019 (2018: US$694,100) has therefore been excluded from the above tables. (iii) Fair value The following table sets out the carrying amounts and fair values of financial FINANCIAL assets, including their levels in the fair value hierarchy. It does not include the STATEMENTS fair value information for short-term financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation of 2019 fair value. Due to their short-term nature, the carrying amounts of NIB’s certain financial assets and liabilities approximate their fair value. 153 Carrying Level 1 2019 Level 3 Amount US$ US$ Fair Value US$ Level 2 – US$ – – Financial assets measured at FVOCI: 216,027,818 165,787,214 50,240,604 5,205,917 Equity securities 43,174,852 – 43,174,852 Government securities 12,182,799 12,182,799 – Debt securities – 5,205,917 Long-term receivables, net of current 5,205,917 –– portion –– – Long-term deposits, net of current 276,591,386 165,787,214 105,598,255 portion 61

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 21. Financial instruments, continued (c) Market risk, continued (iii) Fair value, continued Carrying Level 1 2018 Level 3 Amount US$ US$ Fair Value US$ Level 2 – US$ – – Available-for-sale financial assets: 215,107,215 178,561,612 36,545,603 Equity securities 30,718,692 – 30,718,692 5,376,750 Government securities 9,048,291 – 694,100 Debt securities – 9,048,291 5,376,750 – 6,070,850 Long-term receivables, net of current 694,100 – portion 178,561,612 – 260,945,048 76,312,586 Long-term deposits Observable prices or model inputs are usually available in the market for listed debt and equity securities. Availability of observable market prices and model inputs reduces the need for management judgement and estimation and also reduces the uncertainty associated with determining fair values. Availability of observable market prices and inputs varies depending on the products and markets and is prone to changes based on specific events and general conditions in the financial markets. The fair value of investment in private equity funds is determined using unadjusted net asset value (level 2 valuation). The unadjusted net asset value is used when the units in a fund are redeemable at the reportable net asset value at, or approximately at, the measurement date. FINANCIAL If the inputs used to measure the fair value of an asset or liability fall into STATEMENTS different levels of the fair value hierarchy, then the fair value measurement is categorised in its entirety in the same level of the fair value hierarchy as the 2019 lowest level input that is significant to the entire measurement. 154 NIB’s equity securities at FVOCI (2018: equity securities - available-for-sale) are listed on US and non-US stock exchanges. For such investments, a five percent increase in value at the reporting date would have increased other comprehensive income in the statement of income, expenses and reserves by US$10,801,391 (2018: US$10,755,361) and an equal change in the opposite direction would have decreased other comprehensive income in the statement of income, expenses and reserves by US$10,801,391 (2018: US$10,755,361). The method applied to determine the fair value of long-term receivables at the reporting date was a discounted cash flow model. This valuation model considers the present value of expected payment, discounted using a risk- adjusted discount rate. 62

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 21. Financial instruments, continued FINANCIAL STATEMENTS (c) Market risk, continued (iii) Fair value, continued The value of NIB’s investment holdings with TCI Bank has been reduced by management’s best estimate following TCI Bank entering provisional and then full liquidation. A 10% decrease in the provision on the gross, non-secured, non-equity, balance would have increased the change in fair value and net income in the statement of income, expenses and reserves for the year by US$1.75 million (2018: US$1.75 million). 22. Capital management Under the Regulations NIB is required to maintain the following reserves: (a) The minimum level of the Long-term Benefit Reserve shall be equivalent to the expenditure for benefits under the Long-term Benefit Branch during the three previous financial years. (b) The minimum level of the Short-term Benefit Reserve shall be equivalent to one- fourth of the expenditure for benefits under the Short-term Benefit Branch during the two previous financial years. (c) An Employment Injury Benefit Reserve shall be constituted to finance injury benefit, disablement grant, death grant and medical care by transferring thereto annually as much of the excess of income over expenses of the Employment Injury Benefit Branch as is needed to maintain the level of the Employment Injury Benefit Reserve at one-half of the amount paid for the said benefits in the two previous financial years. The Employment Injury Benefit Reserve at March 31, 2019 and 2018 was determined as follows: Paid benefits Required 2019 reserve at 2019 2018 March 31, 2019 Injury benefit US$ 383,258 328,245 355,752 Death grant – 2,390 1,195 Accrued employment – – 216,791 injury costs (note 13) US$ 383,258 330,635 573,738 63155

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 22. Capital management, continued Paid benefits Required 2018 2017 reserve at March 31, 2018 Injury benefit US$ 328,245 606,002 467,124 Death grant 2,390 – 1,195 Accrued employment – – 495,058 injury costs (note 13) US$ 330,635 606,002 963,377 At March 31, 2019 NIB management decided to include in the Employment Injury Benefits Reserve the accrued employment injury costs of US$216,791 (2018: US$495,058) as these were the expected amounts that would ultimately be paid from this reserve. During the year ended March 31, 2019 US$389,512 was transferred to the Disablement and Death Benefit Reserve from the Employment Injury Benefit Reserve (2018: US$108,879) so as to maintain the required reserve for Employment Injury Benefit at March 31, 2019 and March 31, 2018. There was no change to NIB’s management of capital during the years ended March 31, 2019 and 2018. NIB has complied with the above regulatory imposed capital requirements at the year-end. NIB is not subject to any externally imposed capital requirements. 23. Actuarial review Actuarial present value of promised retirement benefits FINANCIAL NIB has elected to apply IAS 26 for retirement benefits which requires the actuarial STATEMENTS present value of promised retirement benefits to be recognised on the statement of financial position, in the notes to the financial statements or in an accompanying actuarial 2019 report. NIB has chosen to disclose the actuarial present value of promised retirement benefits in the notes to these financial statements. 156 The 9th actuarial review of NIB was conducted by Trinity Consulting Ltd. (the Actuary) at March 31, 2019 and a report issued on July 25, 2019 (the 8th actuarial review of NIB was conducted by the Actuary at March 31, 2016 and a report issued on March 9, 2017). NIB provides retirement and other benefits to qualifying beneficiaries. A summary of these benefits is disclosed at note 3(e)(iv) to these financial statements. NIB currently finances the reserves (the Fund) by considering expected cash inflows from contributors and cash outflows to beneficiaries over an extended period, alongside the assets that have accumulated to date from contributions exceeding benefit payments. The actuarial present value of promised retirement benefits has been calculated on an accrued benefits basis using a current salary approach. 64

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD FINANCIAL STATEMENTS Notes to Financial Statements, continued 2019 Year ended March 31, 2019 23. Actuarial review, continued Actuarial present value of promised retirement benefits, continued Under this methodology the actuarial present value of promised retirement benefits at March 31, 2019, the date of NIB’s latest actuarial review, was US$636 million (March 31, 2016: US$459 million). The next actuarial review is scheduled to be conducted as at March 31, 2022. The key assumptions and methods used in this calculation were as follows:  Inflation – 2.1% per annum (2016: 2.3% per annum)  Discount rate – 4.5% per annum (2016: 4.5% per annum)  Average retirement age – 65 years old (2016: 65 years old)  Other than in death, all active insured persons at March 31, 2019 are assumed to reach age 65 (2016: age 65) and qualify for a retirement pension  Mortality rate – United Nations rates for Latin America with adjustments for the TCI experience (2016: United Nations rates for Latin America with adjustments for the TCI experience). The calculation of the actuarial present value of promised retirement benefits is sensitive to the key assumptions and methods used. The Fund had total reserves of US$282 million at March 31, 2019 (2016: US$191 million). At March 31, 2019 there was therefore a shortfall of US$354 million (2016: US$268 million) between the total reserves of the Fund of US$282 million (2016: US$191 million) and the actuarial present value of promised retirement benefits of US$636 million (2016: US$459 million. The Directors are examining ways in which this shortfall can be addressed. All key assumptions remained the same for the actuarial present value of promised retirement benefits calculations at March 31, 2019 and at March 31, 2016 with the exception of the inflation rate, which decrease from 2.3% to 2.1%. There would be no significant impact on the actuarial present value of promised retirement benefits at March 31, 2019 if the inflation rate assumption had remained the same. If the discount rate had increased from 4.5% to 5% the actuarial present value of promised retirement benefits at March 31, 2019 would have decreased by US$61 million to US$575 million. 65157

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 23. Actuarial review, continued Actuarial present value of promised retirement benefits, continued The actuarial present value of promised retirement benefits at March 31, 2019 and 2016 can be classified as follows: Vested Unvested Total At March 31, 2019 US$ 122,300,000 513,400,000 635,700,000 At March 31, 2016 US$ 80,500,000 378,500,000 459,000,000 Vested benefits are benefits, the rights to which, under the conditions of National Insurance (Benefit) Regulations, are not conditional on continued employment. The conditions for the promised retirement benefits to become vested are as follows: (a) An insured person other than a temporarily resident employed person has attained the age of sixty-five years; and (b) has retired from insurable employment or shows to the satisfaction of NIB that the insured person is no longer substantially employed in insurable employment; and (c) satisfies the relevant contribution conditions; I. that not less than one hundred and fifty contributions (three years) have been paid by the insured person; and II. that not less than five hundred contributions (ten years), including those referred to above, have been paid by or credited to the insured person. The actuarial present value of long-term benefits, other than retirement benefits FINANCIAL The actuarial present value of long-term benefits, other than retirement benefits, was STATEMENTS quantified by the Actuary at March 31, 2017, 2018 and 2019 and recognised in NIB’s financial statements in accordance with IAS 37, as follows: 2019 Present value at Change reporting date during the year At March 31, 2019 US$ 37,158,000 1,038,000 At March 31, 2018 US$ 36,120,000 3,840,000 At March 31, 2017 US$ 32,280,000 1,880,000 The change in present value of long-term benefits, other than retirement benefits, of US$1,038,000 during the year ended March 31, 2019 (2018: US$3,840,000) was recognised in the statement of income, expenses and reserves. 158 66

TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD Notes to Financial Statements, continued Year ended March 31, 2019 23. Actuarial review, continued The actuarial present value of long-term benefits, other than retirement benefits, continued The details of the actuarial present value of long-term benefits, other than retirement benefits, at the reporting date was as follows: Long-term benefit branch 2019 2018 Change Invalidity pension US$ during the year Survivors’ benefit US$ Non-contributory old aged pension US$ 12,819,000 Employment injury benefit branch 15,120,000 12,933,000 (114,000) Employment injury benefit 13,995,000 1,125,000 Total 3,837,000 31,776,000 3,950,000 (113,000) 5,382,000 30,878,000 898,000 37,158,000 5,242,000 140,000 36,120,000 1,038,000 The key assumptions and methods used in this calculation of present value of other long- FINANCIAL term benefits for 2019 and 2018 were as follows: STATEMENTS  Inflation – 2.1% per annum (2018: 2.3% per annum) 2019  Discount rate – 4.5% per annum (2018: 4.5% per annum)  For widows/widowers pension – assume to be paid for life (2018: assume to be paid for life)  For orphan pension – assume to be paid until age of 21 (2018: assume to be paid until age of 21)  For invalidity pensions NIB is liable for insured persons who are invalid and less than sixty years of age.  For employment injuries NIB is liable for the period the insured person is incapacitated. 24. Contingent liabilities In the ordinary course of its activities NIB is a party to several legal actions. NIB is contingently liable for costs and damages in the event of any adverse finding by the TCI court (the Court) in relation to any of these legal actions. However, it is not possible to predict the decision of the Court or estimate the amount of such awards, if any. Accordingly, no provision has been made in these financial statements regarding these legal proceedings. Management is of the opinion that the resolution of these matters will not have a material impact on NIB’s financial statements. 159 67

FINANCIAL TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD STATEMENTS Notes to Financial Statements, continued 2019 Year ended March 31, 2019 160 25. Commitments NIB has committed to contribute capital to the following private equity funds: (a) In 2015 NIB committed to contribute US$2.5 million to the capital of Strategic Value Special Situations Feeder Fund III, L.P. (Strategic Value Fund), a private equity fund. This obligation to contribute capital to the Strategic Value Fund is irrevocable, unconditional and not subject to any defense, counterclaim or offset of any kind whatsoever. At March 31, 2019 NIB had a remaining contribution commitment to the Strategic Value Fund of US$225,000 (2018: US$225,000). (b) In 2016 NIB committed to contribute US$5 million to the Portfolio Advisors Private Equity Fund 2015 (Offshore), L.P. (2015 Portfolio Advisors Fund), a private equity fund. This obligation to contribute capital to the Portfolio Advisors Fund is irrevocable and can only be withdrawn or cancelled with the consent of certain partners in accordance with the terms and conditions stipulated in the 2015 Portfolio Advisors Fund’s partnership agreement. At March 31, 2019 NIB had a remaining contribution commitment to the 2015 Portfolio Advisors Fund of US$1.16 million (2018: US$1.61 million). (c) In 2016 NIB committed to contribute US$5 million to the NB Strategic Co. – Investment Cayman Partners III LP (NB Strategic Fund), a private equity fund. This obligation to contribute capital to the NB Strategic Fund is irrevocable and can only be withdrawn or cancelled with the consent of certain partners in accordance with the terms and conditions stipulated in the NB Strategic Fund’s partnership agreement. At March 31, 2019 NIB had a remaining contribution commitment to the NB Strategic Fund of US$1.43 million (2018: US$2.91 million). (d) In 2018 NIB committed to contribute US$5 million to the Portfolio Advisors Private Equity Fund 2015 (Offshore), L.P. (2017 Portfolio Advisors Fund), a private equity fund. This obligation to contribute capital to the Portfolio Advisors Fund is irrevocable and can only be withdrawn or cancelled with the consent of certain partners in accordance with the terms and conditions stipulated in the Portfolio Advisors Fund’s partnership agreement. At March 31, 2019 NIB had a remaining contribution commitment to the 2017 Portfolio Advisors Fund of US$2.92 million (2018: US$5 million). (e) In 2018 NIB committed to contribute US$5 million to the Pretium Residential Real Estate Fund II Offshore, L.P. (Pretium Fund), a private equity fund. This obligation to contribute capital to the Pretium Fund is irrevocable and can only be withdrawn or cancelled with the consent of certain partners in accordance with the terms and conditions stipulated in the Pretium Fund’s partnership agreement. As at the date of approval of these financial statements At March 31, 2019 NIB had a remaining contribution commitment to the Pretium Fund of US$368,200 (2018: US$5 million). 68