{
    "type": "ETF",
    "ucits": true,
    "fund_name": "Amundi Smart Overnight Return UCITS ETF GBP Hedged Acc",
    "investment_objective": "To reflect the performance of the euro short-term rate (\u20acSTR) compounded rate and minimize tracking error versus the Benchmark Index",
    "primary_asset_class": "Money Market / Short-Term Interest Rates",
    "geographic_focus": "Euro Area (benchmark \u20acSTR) with GBP hedged share class referencing UK SONIA",
    "replication_method": "synthetic",
    "swaps": true,
    "derivatives": false,
    "leverage": false,
    "inverse": false,
    "complex_factors": [
        "Synthetic replication via total return swaps",
        "Use of interest rate swaps and currency swaps for hedging",
        "Counterparty risk due to swap counterparties",
        "Indirect replication methodology",
        "Currency hedging strategy"
    ],
    "classification": "complex",
    "supporting_data": "The ETF uses an indirect replication method involving total return swaps and other derivative instruments (currency forwards, currency swaps, interest rate swaps) primarily for hedging currency and interest rate risks. The KIID explicitly mentions counterparty risk and collateral management to mitigate this risk. The replication is synthetic, not physical, exposing investors to counterparty risk and derivative-related risks. The PRIIPs KID confirms the use of derivatives and classifies the product as low risk (risk level 1), but the presence of total return swaps and synthetic replication triggers MiFID II complexity classification. The factsheet confirms synthetic replication and swap usage, with no leverage or inverse exposure. The fund is UCITS compliant but the synthetic structure and swap usage make it complex under MiFID II. There is no leverage or capital protection, and the risk profile is low, but complexity arises from the derivative instruments inherent in the replication strategy and counterparty exposure. No contingent bonds or structured capital protection features are present. Costs are low and straightforward, with no performance fees. The product is intended for investors with basic knowledge but the synthetic replication and swap usage require understanding of counterparty and derivative risks, supporting the complex classification."
}