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EC World Real Estate Investment Trust ANNUAL REPORT 2016
Report on the Audit of the Financial Statements
Opinion
In our opinion, the accompanying consolidated financial statements of EC World REIT (“ECW”) and its subsidiaries (the
“Group”) and the statement of financial position of ECW present fairly, in all material aspects, the consolidated financial
position of the Group and the financial position of ECW as at 31 December 2016, the movements in Unitholders’ Funds
of ECW and the Group and the consolidated total return, consolidated amount distributable, consolidated cash flows
and investment properties portfolio statement of the Group for the financial year ended on that date in accordance
with the recommendations of Statement of Recommended Accounting Policies 7 “Reporting Framework for Unit
Trusts” issued by the Institute of Singapore Chartered Accountants.
What we have audited
The financial statements of ECW and the Group comprise:
•
Consolidated Statement of Total Return of the Group for the financial year ended 31 December 2016
•
Statement of Financial Position of ECW and the Group as at 31 December 2016
•
Consolidated Distribution Statement of the Group for the financial year ended 31 December 2016
•
Statement of Movements in Unitholders’ Funds of ECW and the Group for the financial year ended 31 December
2016
•
Consolidated Statement of Cash Flows of the Group for the financial year ended 31 December 2016
•
Investment properties protfolio statement of the Group for the financial year ended 31 December 2016
•
the notes to the financial statements, which include a summary of significant accounting policies and other
explanatory information
Basis for Opinion
We conducted our audit in accordance with Singapore Standards on Auditing (SSAs). Our responsibilities under those
standards are further described in the
Auditor’s Responsibilities for the Audit of the Financial Statements
section of
our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
opinion.
Independence
We are independent of the Group in accordance with the Accounting and Corporate Regulatory Authority (“ACRA”)
Code of Professional Conduct and Ethics for Public Accountants and Accounting Entities
(“ACRA Code”) together with
the ethical requirements that are relevant to our audit of the financial statements in Singapore, and we have fulfilled our
other ethical responsibilities in accordance with these requirements and the ACRA Code.
Our Audit Approach
As part of designing our audit, we determined materiality and assessed the risks of material misstatement in the
accompanying financial statements. In particular, we considered where management made subjective judgments;
for example, in respect of significant accounting estimates that involved making assumptions and considering future
events that are inherently uncertain. As in all of our audits, we also addressed the risk of management override of
internal controls, including among other matters consideration of whether there was evidence of bias that represented
a risk of material misstatement due to fraud.
INDEPENDENT AUDITOR’S REPORT
to the Unitholders
OF EC WORLD REIT
(Constituted under a Trust Deed in the Republic of Singapore)