The management of the Bank’s liquidity portfolio is performed by the Financial Management Division under rules determined by the ALCO.
| As of December 31, | ||
| 2017 | 2016 | |
| MCh$ | MCh$ | |
| Financial investments for trading | 485,736 | 396,987 |
| Available for sale investments | 2,574,546 | 3,388,906 |
| Encumbered assets (net) (1) | (268,330) | (205,703) |
| Net cash (2) | (37,628) | 16,259 |
| Net Interbank deposits (3) | 768,595 | 1,335,017 |
| Total liquidity portfolio | 3,522,919 | 4,931,466 |
(1) Assets encumbered through repurchase agreements are deducted from the liquidity portfolio.
(2) Cash minus reserve requirements. As is presented in Note 4 the reserve requirements are established by the monthly average reserves that the Bank must maintain in accordance with regulation governing minimum reserves.
(3) Includes overnight deposits in Central Bank, domestic banks and foreign banks.