IOVANCE BIOTHERAPEUTICS, INC. 10-K

Item 7A. Quantitative and Qualitative Disclosures About Market Risk Interest Rate Risk Our exposure to market risk is limited primarily to interest income sensitivity, which is affected by changes in the general level of U.S. interest rates, particularly because a significant portion of our investments are in interest bearing cash accounts consisting of short-term debt securities issued by the U.S. government. The primary objective of our investment activities is to preserve principal. We adhere to an investment policy that requires us to limit amounts invested in securities based on credit rating, maturity, industry group and investment type and issuer, except for securities issued by the U.S. government. We do not have any derivative financial instruments or foreign currency instruments. At December 31, 2020, we had $562.1 million invested in short-term marketable securities with a maturity date of less than one year. As such we believe that we are not exposed to any material market risk. If interest rates had varied by 1% in the year ended December 31, 2020, the fair value of our investment portfolio would increase or decrease by approximately $2.6 million. Inflation Risk Inflation has not had a material effect on our business, financial condition or results of operations during the years ended December 31, 2020, 2019, or 2018. ​ Item 8. Financial Statements and Supplementary Data Financial Statements are referred to in Item 15, listed in the Index to Financial Statements as a part of this Annual Report on Form 10-K, and are incorporated herein by this reference. ​ Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure None. ​