{
    "type": "ETF",
    "ucits": true,
    "replication_method": "physical",
    "leverage": false,
    "derivatives": false,
    "swaps": false,
    "inverse": false,
    "complex_factors": "High Yield Bonds, ESG Screening, Active Management",
    "classification": "non-complex",
    "supporting_data": "The Fidelity Global HY Corp Bond Research Enhanced PAB UCITS ETF is a UCITS-compliant fixed income ETF investing primarily in high-yield, sub-investment grade corporate bonds globally. The fund uses physical replication of underlying bonds aligned with a Paris-aligned ESG benchmark. The KIID and PRIIPs KID documents indicate that derivatives may be used only for efficient portfolio management and currency hedging, not as an inherent part of the investment strategy, thus derivatives are not considered a complexity driver. There is no mention of synthetic replication, swap agreements, or counterparty risk exposure. The fund does not employ leverage, inverse or amplified exposure. The risk profile is moderate (risk level 3 out of 7 in PRIIPs KID), which is lower than the KIID risk rating 5, but both indicate moderate risk consistent with high yield bond exposure rather than complexity. Costs are straightforward with a single ongoing charge of 0.35%, no performance fees, and no complex fee structures. The monthly factsheet confirms no use of swaps or synthetic replication, and the portfolio consists of approximately 295 bonds with an average maturity of 6.1 years and average credit rating around B+/BB-. The benchmark is a Solactive Paris Aligned Global Corporate High Yield USD Index, which is transparent and does not involve complex derivatives or contingent bonds. No capital protection or structured features are present. There are no warnings or comprehension alerts in the PRIIPs KID indicating complexity. Overall, the fund\u2019s structure, replication, and risk disclosures support a non-complex classification under MiFID II."
}