{
    "type": "ETF",
    "ucits": true,
    "fund_name": "UBS (Irl) Fund Solutions plc - MSCI ACWI SF UCITS ETF (hedged to CHF) A-acc",
    "investment_objective": "Capital appreciation by tracking the MSCI ACWI Net Total Return Index (equity index) with currency hedging to CHF",
    "primary_asset_class": "Equity",
    "geographic_focus": "Global (Developed and Emerging Markets)",
    "replication_method": "synthetic",
    "swaps": true,
    "derivatives": false,
    "leverage": false,
    "inverse": false,
    "complex_factors": [
        "Synthetic replication via total return swap",
        "Counterparty risk exposure to UBS",
        "Use of collateralized swap with government bonds and cash"
    ],
    "classification": "complex",
    "supporting_data": "The ETF uses a fully funded total return swap with UBS AG as counterparty to synthetically replicate the MSCI ACWI index performance. The fund invests in financial derivative instruments (FDIs) with UBS as counterparty, swapping the index performance for the performance of securities held by the fund. The swap is collateralized with G10 government bonds, supranational bonds, and cash. The KIID and PRIIPs KID both highlight significant counterparty risk and derivative exposure inherent in the swap structure. The fund is UCITS compliant but the synthetic replication and counterparty exposure classify it as complex under MiFID II. There is no leverage or inverse exposure. The risk/reward indicator is 5 in the KIID (higher risk) but 4 in the PRIIPs KID (medium risk), reflecting the derivative and counterparty risks. The fund does not use derivatives for risk management only; derivatives are an inherent part of the investment strategy. No capital protection or structured features are present. Costs are straightforward with a TER of 0.21% and no performance fees. The complexity arises mainly from the synthetic replication via swaps and the associated counterparty risk, which may not be easily understood by retail investors. The underlying index is broad and liquid, but the synthetic structure and swap counterparty risk drive the complex classification."
}