{
  "url": "https://openlegislation.uk/eu-regulation-2004-2086/annex-3/division-3/division-4",
  "json_url": "https://openlegislation.uk/eu-regulation-2004-2086/annex-3/division-3/division-4.json",
  "legislation": "eur/2004/2086",
  "legislation_title": "Commission Regulation (EC) No 2086/2004 of 19 November 2004 amending Regulation (EC) No 1725/2003 on the adoption of certain international accounting standards in accordance with Regulation (EC) No 1606/2002 of the European Parliament and of the Council as regards the insertion of IAS 39 (Text with EEA relevance)",
  "legislation_url": "https://openlegislation.uk/eu-regulation-2004-2086",
  "path": "annex/3/division/3/division/4",
  "kind": "division",
  "number": null,
  "heading": "Financial Assets and Financial Liabilities Held for Trading",
  "text": "AG14. Trading generally reflects active and frequent buying and selling, and financial instruments held for trading generally are used with the objective of generating a profit from short-term fluctuations in price or dealer’s margin.\nAG15. Financial liabilities held for trading include:\n(a) derivative liabilities that are not accounted for as hedging instruments;\n(b) obligations to deliver financial assets borrowed by a short seller (ie an entity that sells financial assets it has borrowed and does not yet own);\n(c) financial liabilities that are incurred with an intention to repurchase them in the near term (eg a quoted debt instrument that the issuer may buy back in the near term depending on changes in its fair value);\nand\n(d) financial liabilities that are part of a portfolio of identified financial instruments that are managed together and for which there is evidence of a recent pattern of short-term profit-taking.\nThe fact that a liability is used to fund trading activities does not in itself make that liability one that is held for trading.",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/eur/2004/2086/annex/3/division/3/division/4",
    "retrieved_at": "2026-11-01T14:55:04.811990+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}