Fair Value Through Other Comprehensive Income (FVOCI) is one of the classifications under the International Financial Reporting Standards (IFRS 9) for financial assets. Under this classification, financial assets are measured at fair value, and changes in their value are not immediately recognized in profit or loss. Instead, these changes are recorded in a separate component of equity called Other Comprehensive Income (OCI). This accounting treatment is particularly relevant for financial instruments such as equity instruments that are not held for trading. For example, a company may hold shares in another company as an investment and classify them under FVOCI. If the market value of these shares fluctuates, the changes are recognized in OCI, and they do not impact the profit and loss statement unless the assets are sold. By using FVOCI, organizations can manage fluctuations in asset values without immediately affecting their profit or loss. For instance, a company might state, 'These securities are classified as FVOCI and their valuation changes are reflected in OCI.' This approach aligns with certain investment strategies where holding assets is not solely for short-term gain. The FVOCI principle is pivotal in ensuring the financial statements reflect a fair representation of the financial assets held by a company.