This provision excludes ‘financial assets’, which are defined as financial assets for accounting purposes. The paragraph goes on to set out a non-exhaustive list of assets to be regarded as financial assets.
A financial asset is defined in the FRS102 Glossary as any asset that is:
•an equity instrument of another entity;
•a contractual right: (i) to receive cash or another financial asset from another entity, or (ii) to exchange financial assets or financial liabilities with another entity under conditions that are potentially favourable to the entity; or