{
    "type": "ETF",
    "ucits": true,
    "replication_method": "physical",
    "swaps": true,
    "derivatives": true,
    "leverage": false,
    "inverse": false,
    "complex_factors": [
        "Swaps",
        "Derivatives",
        "Emerging Markets Exposure",
        "Optimized Sampling"
    ],
    "classification": "complex",
    "supporting_data": "The VanEck Quantum Computing UCITS ETF is a UCITS-compliant ETF that primarily uses physical replication by investing directly in the underlying equity securities of the MarketVector\u2122 Global Quantum Leaders Index. However, the KIID and PRIIPs KID explicitly state that the Fund may also invest in financial derivative instruments (FDIs) including futures, options, and importantly, swaps (including equity swaps and swaps on the Index). The presence of swaps, even if used for replication or hedging, triggers a complexity classification under MiFID II. The documents mention both equity swaps and index swaps, but do not clarify if these are funded or unfunded swaps, nor do they indicate leverage usage. There is no indication of leverage above 1:1, inverse or leveraged exposure, or capital protection features. The Fund invests more than 20% in emerging markets and uses optimized sampling when full replication is not practical, which adds some complexity. The risk profile is medium-high (level 5 out of 7), consistent with the use of derivatives and emerging market exposure. The PRIIPs KID includes a comprehension warning that the product is suitable only for investors with sufficient knowledge and understanding, reinforcing the complexity. No performance fees or complex fee structures are noted, and ongoing charges are moderate (0.55%). The Fund does not use leverage or inverse strategies. The use of swaps and other derivatives as an inherent part of the investment strategy, rather than solely for risk management, mandates classification as complex under MiFID II. Therefore, despite physical replication being the primary method, the derivative and swap usage, combined with the medium-high risk profile and emerging market exposure, lead to a 'complex' classification."
}