{
    "type": "ETF",
    "ucits": true,
    "replication_method": "physical",
    "leverage": false,
    "derivatives": false,
    "swaps": false,
    "inverse": false,
    "complex_factors": "High Yield Fallen Angels Bonds, ESG Paris-Aligned Index, Optimisation Sampling",
    "classification": "non-complex",
    "supporting_data": "The Tabula Global High Yield Fallen Angels Paris-aligned Climate UCITS ETF is a UCITS-compliant ETF that tracks the Bloomberg MSCI Global Corporate Fallen Angels Paris-Aligned Index. The ETF primarily invests in a portfolio of high yield corporate bonds downgraded from investment grade, focusing on issuers in developed markets. The replication method is physical, using an optimisation sampling strategy rather than full replication, but there is no indication of synthetic replication or use of funded or unfunded swaps. The documents mention that Financial Derivative Instruments (FDIs) may be used for direct investment purposes but the use is expected to be limited and primarily for risk management, not as an inherent part of the investment strategy, so derivatives are marked false. There is no leverage, inverse or amplified exposure. The risk profile is moderate (risk level 3-4), consistent with high yield bond risk but no capital protection or structured features are present. Counterparty risk is disclosed but limited, related to safekeeping and possible derivatives counterparties, not indicating significant complexity. Costs are straightforward with a 0.50% ongoing charge and no performance fees or swap fees. The PRIIPs KID includes a comprehension warning stating the product is 'not simple and may be difficult to understand,' but this is primarily due to the nature of high yield fallen angel bonds and ESG Paris-aligned index complexity rather than structural complexity such as leverage or synthetic replication. The factsheet confirms direct replication and no use of swaps or leverage. Therefore, under MiFID II criteria, this ETF is classified as non-complex despite the inherent credit risk and ESG screening complexity, as it does not use synthetic replication, leverage, or complex derivatives as a core part of its strategy."
}