{
    "type": "ETF",
    "ucits": true,
    "replication_method": "synthetic",
    "swaps": true,
    "derivatives": true,
    "leverage": false,
    "inverse": false,
    "complex_factors": [
        "Synthetic replication via total return swaps",
        "Counterparty risk exposure",
        "Use of derivatives integral to strategy"
    ],
    "classification": "complex",
    "supporting_data": "The AMUNDI MSCI WORLD UCITS ETF uses an indirect replication method via total return swaps (financial derivative instruments) to achieve exposure to the MSCI World Index. The KIID and PRIIPs KID explicitly state that derivatives are integral to the investment strategy, with total return swaps delivering index performance against the assets held. The fund is UCITS compliant but synthetic replication and swap usage introduce counterparty risk, which is disclosed as a material risk. There is no leverage or inverse exposure, and the underlying assets are large and mid-cap equities from developed markets, which are liquid and transparent. The risk profile is moderate (4/7), reflecting market and counterparty risks. Costs are straightforward with no performance fees, but swap usage implies derivative costs. The synthetic replication and swap counterparty risk are key complexity drivers under MiFID II, making the ETF complex despite the absence of leverage or structured capital protection. The PRIIPs KID does not include a comprehension warning but confirms the integral use of derivatives. The factsheet confirms synthetic replication and no leverage, with a very low tracking error and a straightforward equity index benchmark. Overall, the complexity arises from the synthetic replication via total return swaps and associated counterparty risk rather than leverage or complex underlying assets."
}