This International Standard defines and describes codes for an internationally valid system to classify financial instruments. The classification system applies to financial instruments negotiated internationally as well as to domestic instruments. The term "financial instruments" refers not only to classical securities; it also covers the innovative financial products that have recently emerged in different markets — a trend that is expected to continue in the future. This International Standard is intended for use in any application in the trading and administration of securities in international securities business. Insofar as the trading and the administration of securities do not affect other countries, the application of this International Standard remains at the discretion of the responsible national bodies, such as stock exchanges, banks, brokers, and other institutions active in the securities field.