{
    "type": "ETF",
    "ucits": true,
    "fund_name": "Amundi US Treasury Bond 7-10Y UCITS ETF GBP Hedged Dist",
    "investment_objective": "To reflect the performance of the Bloomberg Barclays US Treasury 7-10 Year Index, representing US Treasury bonds with maturities between 7 and 10 years, while minimizing tracking error.",
    "primary_asset_class": "Bond",
    "geographic_focus": "United States",
    "replication_method": "physical",
    "swaps": true,
    "derivatives": false,
    "leverage": false,
    "inverse": false,
    "complex_factors": "Swap usage for currency hedging",
    "classification": "complex",
    "supporting_data": "The ETF physically replicates the Bloomberg Barclays US Treasury 7-10 Year Index primarily by direct investment in underlying securities, with possible sampling replication. The fund is UCITS compliant and has a low risk rating (3/7). There is no leverage or inverse exposure. However, the fund uses a daily currency hedging strategy involving OTC swaps with counterparties Morgan Stanley Bank AG and Societe Generale to hedge GBP currency risk. The factsheet confirms the use of OTC swaps with counterparty exposure capped at 10% of total assets. Although derivatives are used solely for currency risk management and not as an inherent part of the investment strategy, the presence of swap agreements and counterparty risk exposure triggers MiFID II complexity classification. There is no capital protection or structured product features. The risk profile is medium-low, but the swap usage and counterparty risk elevate the complexity classification. Costs are straightforward with no performance fees, and ongoing charges are low (0.06%). The PRIIPs KID does not include a comprehension warning but notes market liquidity risk and currency hedging risk. Overall, the key complexity driver is the use of OTC swaps for currency hedging, which under MiFID II rules classifies the ETF as complex despite physical replication and low leverage.",
    "risk_level": 3
}