A possible asset that arises from past events and whose existence will be confirmed only by the occurrence of one or more uncertain future events, which are not wholly in the control of the accounting entity. Under Financial Reporting Standard 12, an entity should not recognize a contingent asset unless the appropriate economic events can be expected. In these circumstances a brief description of the nature of the contingent asset should be given together with, where practicable, an estimate of its financial effects. The relevant International Accounting Standard is IAS 37. Compare contingent liability.