A financial instrument is a tradable asset of any kind; either cash, evidence of an ownership interest in an entity, or a contractual right to receive or deliver cash or another financial instrument.
According to IAS 32 and 39, it is defined as "any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity".
Read more about Financial Instrument: Categorization, Measuring Financial Instrument's Gain or Loss
Famous quotes containing the words financial and/or instrument:
“For the merchant, even honesty is a financial speculation.”
—Charles Baudelaire (1821–1867)
“You sir, will bring down that renowned chair in which you sit into infamy if your seal is set to this instrument of perfidy; and the name of this nation, hitherto the sweet omen of religion and liberty, will stink to the world.”
—Ralph Waldo Emerson (1803–1882)