{
    "fund_name": "Invesco Cybersecurity UCITS ETF",
    "type": "ETF",
    "ucits": true,
    "leverage": false,
    "derivatives": false,
    "swaps": false,
    "inverse": false,
    "replication_method": "physical",
    "complex_factors": [],
    "classification": "non-complex",
    "supporting_data": "The Invesco Cybersecurity UCITS ETF is classified as non-complex under MiFID II regulations based on the following key observations: 1. The ETF uses physical replication to track the S&P Kensho Global Cyber Security Screened Index, holding the underlying securities directly. 2. While the KIID mentions that derivatives may be used for risk management, reducing costs, or generating additional capital, this is explicitly stated as being for efficient portfolio management purposes rather than as a core strategy. 3. There is no evidence of leverage, inverse exposure, or synthetic replication methods that would typically trigger a complex classification. 4. The underlying assets are straightforward equity securities of companies in the cybersecurity sector, with no indication of illiquid or hard-to-value instruments. 5. The risk profile, while rated at level 7 (higher risk), is primarily due to the sector concentration and small-cap exposure rather than structural complexity. 6. The fund's objective and strategy are clearly disclosed, with a transparent index-tracking approach. 7. There are no capital protection mechanisms, structured features, or contingent return formulas that would indicate complexity. 8. The costs and charges are straightforward, with a single ongoing charge of 0.35% and no performance fees. The use of derivatives is explicitly limited to risk management and cost reduction, which does not meet the threshold for complexity under MiFID II. The physical replication method and the lack of leverage or synthetic exposure further support the non-complex classification.",
    "confidence": 95
}