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FoR BetteR RetuRns Annual Report 2022 145

notes to the
financial statements
for the year ended 31 december 2022

1. CORPORATE INFORMATION
retirement fund (incorporated) [KWap] was established on 1 march 2007 under the retirement fund act 2007
(act 662) with a launching grant of rm27.0 million from the federal government of malaysia.
the principal responsibility of KWap is to manage the retirement fund (the fund) established under section 13 of
retirement fund act 2007 (act 662) towards achieving optimum returns on its investments. sources of the fund are
primarily annual contributions from statutory bodies, local government and agencies, receipts of the government’s
portion of contributions to the employee provident fund, and others as well as investment income. the fund is
invested in asset classes in accordance with the strategic asset allocation and investment policies and guidelines
upon the recommendation of KWap’s investment panel and approval of the board. the fund shall be applied towards
assisting the federal government in financing the government’s pension liability.
effective from 1 november 2015, KWap was officially appointed as an agent to the government for the overall pension
management and payment operation.
the principal activities of KWap’s subsidiaries, associates and joint ventures are set out in note 10, note 11, and
note 12 respectively. there were no significant changes in the nature of the principal activities of the group and of
KWap during the financial year.

KWap is a statutory body, incorporated and domiciled in malaysia. the registered office and principal place of business
of KWap is located at level 36, integra tower, the intermark, 348 Jalan tun razak, 50400 Kuala lumpur.

the financial statements for the group and KWap for the financial year ended 31 december 2022 were accepted and
approved by the board of KWap on 29 august 2023.

2. SIGNIFICANT ACCOUNTING POLICIES

2.1 Basis Of Preparation
the financial statements of the group and of KWap were prepared in accordance with the malaysian financial
reporting standards (mfrs), international financial reporting standards (ifrs) and the retirement fund act
2007.

the financial statements of the group and of KWap were prepared under the historical cost convention,
unless otherwise indicated in this summary of significant accounting policies.

the financial statements were presented in ringgit malaysia (rm) being the functional currency of the group and
of KWap whereby all values are rounded to the nearest thousand unless stated otherwise.