{
    "type": "ETF",
    "ucits": true,
    "fund_name": "HSBC MULTI FACTOR WORLDWIDE EQUITY UCITS ETF",
    "investment_objective": "Long term capital growth",
    "primary_asset_class": "Equity",
    "geographic_focus": "Global including emerging markets",
    "replication_method": "physical",
    "swaps": true,
    "derivatives": false,
    "leverage": false,
    "inverse": false,
    "complex_factors": [
        "Use of total return swaps up to 10% of assets (expected <5%)",
        "Active management with deviation from benchmark",
        "Securities lending up to 30% (expected <25%)",
        "Counterparty risk from swaps and securities lending",
        "Use of derivatives for investment and efficient portfolio management"
    ],
    "classification": "complex",
    "supporting_data": "The Fund is a UCITS ETF investing primarily in equities globally with an active multi-factor strategy. It uses physical replication of equities but may invest up to 10% of its assets in total return swaps and contracts for difference, though expected not to exceed 5%. The Fund also uses derivatives for efficient portfolio management and investment purposes. Securities lending is employed up to 30% of assets (expected <25%). The KIID and PRIIPs documents disclose counterparty risk related to derivatives and swaps, and derivatives risk warnings. The Fund is not leveraged and does not use inverse or leveraged exposure. The risk and reward indicator is high (6/7) reflecting volatility and derivative usage. The presence of total return swaps and contracts for difference, even at limited levels, introduces synthetic elements and counterparty risk, which under MiFID II rules classifies the ETF as complex. The derivatives are inherent to the investment strategy rather than solely for risk management, so 'derivatives' is false but 'swaps' is true. No capital protection or structured features are present. The PRIIPs KID shows a medium risk rating (4/7) but this is lower than the KIID's 6/7, reflecting different methodologies. The monthly factsheet confirms active management, multi-factor stock selection, and derivative usage consistent with the KIID. No leverage or inverse exposure is present. The Fund is UCITS compliant. Overall, the synthetic element from swap usage and counterparty risk drives the complex classification despite physical equity holdings and no leverage.",
    "risk_level_assessment": "The Fund's risk and reward indicator is 6 out of 7, indicating high risk and volatility consistent with the use of derivatives and active management. The PRIIPs KID shows a medium risk (4/7) but includes warnings on counterparty risk, investment leverage risk, and derivatives risk. This aligns with the MiFID II complexity assessment that the Fund is complex due to derivative and swap usage and associated risks, despite no leverage or inverse exposure."
}