{
    "success": true,
    "data": {
        "ucits": true,
        "type": "ETF",
        "leverage": false,
        "derivatives": true,
        "swaps": true,
        "inverse": false,
        "replication_method": "synthethic",
        "complex_factors": "Synthetic replication using swaps. The CSI500 index methodology could also be complex.",
        "classification": "complex",
        "supporting_data": "The Xtrackers CSI500 Swap UCITS ETF uses swaps to replicate the performance of the CSI500 index. This method of synthetic replication, which uses derivative instruments is central to achieving its investment objective. This approach introduces counterparty risk and the potential for collateral issues, making it difficult for retail investors to fully understand the fund's structure and associated risks. Additionally, ESMA (ESMA35-36-1640) and the MiFID II guidelines emphasize that the use of derivatives for replication purposes, is a significant factor in determining the asset's complexity. Therefore, it is categorized as complex because its structure, the derivatives-based replication method, and the risks associated with this method are not easily understood by retail investors with basic financial knowledge. The KID document (Key Investor Information Document) details the synthetic method used by the fund and also states that the fund is exposed to market movements in a single country which may be adversely affected by political or economic developments. Risk and reward profile is category 6 of 7 on the risk scale. The document also explains the risk of counterparty default. The index is calculated in CNY on a real-time basis. The index is reviewed and adjusted every 6 months. The fund also holds derivative contracts with counterparties. The fund is likely to be assessed under MiFID II rules as a complex investment due to the reliance on swaps for replication."
    }
}