{
    "fund_name": "HSBC MSCI USA UCITS ETF",
    "type": "ETF",
    "ucits": true,
    "leverage": false,
    "derivatives": true,
    "swaps": true,
    "inverse": false,
    "replication_method": "physical",
    "complex_factors": [
        "Derivatives for investment purposes",
        "Total return swaps",
        "Contracts for difference"
    ],
    "classification": "complex",
    "supporting_data": "The ETF uses derivatives not only for efficient portfolio management but also for investment purposes, including total return swaps and contracts for difference, which introduces additional complexity. The KIID explicitly states that the Fund may invest up to 10% of its assets in total return swaps and contracts for difference, which are considered complex instruments under MiFID II. Additionally, the risk disclosures highlight the potential for unexpected behavior of derivatives and the amplification of gains/losses due to leverage effects, even if the primary replication method is physical. The presence of these elements, combined with the potential for significant tracking error and counterparty risk, warrants a 'complex' classification.",
    "confidence": 85,
    "counter_argument": "The ETF primarily uses physical replication and has a straightforward investment objective of tracking the MSCI USA Index. The derivative usage is limited to 10% of assets and is not the primary method of replication. However, the explicit mention of using derivatives for investment purposes and the potential risks associated with swaps and leverage effects outweigh the simplicity of the physical replication method.",
    "risk_level": 6,
    "risk_profile": "The ETF is classified in risk category 6 due to high historical fluctuations, and the use of derivatives introduces additional risks such as counterparty risk and potential tracking error."
}