APEX SUPPLEMENTARY PENSION PLAN

Notes to the Financial Statements

Year ended December 31, 2022

11. Financial instruments (continued):

(b) Associated risks (continued):

(iii) Interest rate risk:

Interest rate risk is the risk that future cash flows of a financial instrument will fluctuate because of changes in market interest rates. To properly manage the Plan’s interest rate risk, appropriate guidelines on duration for the long-term bond fund are set and monitored. The Plan’s investment in the long-term bond fund is sensitive to interest rate movements. An immediate hypothetical 100 basis point or 1% increase in interest rates, with all other variables held constant, would impact fixed income investments by an estimated loss of $2,906,279 (2021 - $3,791,766).