FINANCIAL INSTRUMENTS

6 Months Ended

12 Months Ended

Jun. 30, 2024

Dec. 31, 2023

Fair Value Disclosures [Abstract]

FINANCIAL INSTRUMENTS

5. FINANCIAL INSTRUMENTS

The financial instruments are key management insurance policies. The fair value of the key management insurance policies are determined by reference to the surrender cash value of the insurance policies at the end of each of the reporting periods, which is primarily based on the performance of the underlying investment portfolio together with the guaranteed minimum returns of 1.5% per annum. The fair value measurement of the key management insurance contracts has been categorized as a Level 3 fair value based on the inputs to the valuation technique used and is positively correlated to the surrender cash value that is valued by the policy underwriter at the end of each reporting period. There is no change in both valuation approach and valuation technique. The financial instrument is pledged with a bank to secure bank loan (Note 9).

The following table shows a reconciliation from the opening balances to the ending balances for Level 3 fair value:

	December 31, 2023		June 30, 2024
	SGD’000		SGD’000
As of January 1,		245		245
Addition		-		303
Change in fair value recognized in profit or loss		-		(49	)
As of December 31/June 30		245		499

5. FINANCIAL INSTRUMENT

The Financial instrument is key management insurance policy. The fair value of the key management insurance policy is determined by reference to the surrender cash value of the insurance policy at the end of each of the reporting period, which is primarily based on the performance of the underlying investment portfolio together with the guaranteed minimum returns of 1.5% per annum. The fair value measurement of the key management insurance contract has been categorized as a Level 3 fair value based on the inputs to the valuation technique used and is positively correlated to the surrender cash value that is valued by the policy underwriter at the end of each reporting period. There is no change in both valuation approach and valuation technique. The financial instrument is pledged with a bank to secure bank loans (Note 9).

The following table shows a reconciliation from the opening balances to the ending balances for Level 3 fair value:

	2022		2023		2023
	SGD’000		SGD’000		USD’000
As of January 1,		243		245		186
Change in fair value recognized in profit or loss		2		-		-
As of December 31,		245		245		186