{
    "type": "ETF",
    "ucits": true,
    "fund_name": "Amundi MSCI World II UCITS ETF EUR Hedged Dist",
    "investment_objective": "Replicate the USD-denominated MSCI World Net Total Return Index (net dividends reinvested), representative of large- and mid-cap companies in developed countries, with currency hedging to EUR.",
    "primary_asset_class": "Equity",
    "geographic_focus": "Global Developed Markets",
    "replication_method": "synthetic",
    "swaps": true,
    "derivatives": false,
    "leverage": false,
    "inverse": false,
    "complex_factors": [
        "Swaps",
        "Currency Hedging"
    ],
    "classification": "complex",
    "supporting_data": "The Fund uses indirect replication via OTC total return swaps (financial derivative instruments) to achieve its investment objective, explicitly stated in both the KIID and PRIIPs KID. The Fund is UCITS compliant but employs synthetic replication rather than physical replication. The use of OTC swaps introduces counterparty risk, which is disclosed and capped at 10% exposure per counterparty. The Fund also employs a monthly currency hedging strategy to reduce EUR/USD exchange risk, adding complexity. There is no leverage or inverse exposure. The underlying assets are large- and mid-cap equities from developed markets, which are liquid and transparent. The risk profile is medium (4 out of 7), reflecting equity market risk and derivative counterparty risk. Costs are straightforward with no performance fees, but swap usage implies derivative costs embedded in the ongoing charges. The factsheet confirms synthetic replication and counterparty risk with Morgan Stanley and Soci\u00e9t\u00e9 G\u00e9n\u00e9rale as swap counterparties. The complexity arises primarily from the synthetic replication via swaps and currency hedging, which may not be easily understood by retail investors, fulfilling MiFID II criteria for a complex financial instrument despite the absence of leverage or structured capital protection features."
}