{
    "type": "ETF",
    "ucits": true,
    "fund_name": "iShares Broad $ High Yield Corp Bond",
    "replication_method": "physical",
    "leverage": false,
    "derivatives": false,
    "swaps": false,
    "inverse": false,
    "complex_factors": "",
    "classification": "non-complex",
    "supporting_data": "The iShares Broad $ High Yield Corp Bond UCITS ETF aims to track the ICE BofAML US High Yield Constrained Index by investing primarily in fixed income securities (sub-investment grade corporate bonds) that make up the index. The fund uses physical replication with an optimised sampling approach, investing directly in underlying bonds rather than synthetic replication or swap-based structures. The KIID and PRIIPs KID documents confirm the use of physical bonds and only mention derivatives in the context of limited use for efficient portfolio management (e.g., FX forwards), not as an inherent part of the investment strategy. There is no mention of swap agreements, total return swaps, or counterparty exposure related to synthetic replication. The fund does not employ leverage, inverse or amplified exposure, nor does it have capital protection or structured product features. The risk profile is moderate (risk level 3-4), consistent with direct exposure to high yield bonds, and there are no complexity flags such as contingent convertible bonds or complex structured products. The monthly factsheet confirms the physical nature of the portfolio, with nearly 1,900 holdings of USD-denominated high yield bonds, no leverage, and no synthetic elements. Securities lending is used but does not increase complexity under MiFID II. Costs are straightforward with a TER of 0.20%, no performance fees, and no swap fees. Overall, the fund exhibits a clear, linear relationship to the underlying index performance, invests in liquid, transparent securities, and does not use derivatives as a core investment tool. Therefore, under MiFID II criteria, this ETF is classified as non-complex."
}