Financial instrument

A security or other contract giving the holder of the financial instrument a claim on another party.

For financial reporting purposes, IAS 32 defines a financial instrument as any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

See also

• Equity instrument
• Financial asset
• Financial liability
• Financial markets
• IAS 32
• IFRS 9
• Initial coin offering
• Security
• Usance