Fair Value of Financial Instruments Not Measured at Fair Value on a Recurring Basis in the Balance Sheet

9 Months Ended

Sep. 30, 2013

Fair Value of Financial Instruments Not Measured at Fair Value on a Recurring Basis in the Balance Sheet

11. Fair Value of Financial Instruments Not Measured at Fair Value on a Recurring Basis in the Balance Sheet

Following are descriptions of the valuation methodologies used for estimating the fair values of financial instruments not recorded at fair value on a recurring basis in the balance sheet; these financial instruments are carried at historical cost or amortized cost on the balance sheet.

• Short-term financial assets: Short-term financial assets include cash and cash equivalents, restricted cash, accrued interest, other receivables and deposits with service providers. These assets are carried at historical cost. The carrying amount approximates fair value due to the short term nature of the instruments.

• Short-term financial liabilities: Short-term financial liabilities include accrued interest payable and other accrued expenses, and payables to member investors. These liabilities are carried at historical cost. The carrying amount approximates fair value due to the short term nature of the instruments.