{
    "type": "ETF",
    "ucits": true,
    "leverage": false,
    "derivatives": false,
    "swaps": false,
    "inverse": false,
    "replication_method": "physical",
    "complex_factors": [],
    "classification": "non-complex",
    "supporting_data": "The iShares Edge MSCI USA Quality Factor UCITS ETF is a physically replicated fund that directly holds the underlying equity securities of its benchmark index. While the KIID mentions the potential use of financial derivative instruments (FDIs) for direct investment purposes, this appears to be for efficient portfolio management rather than as a core strategy. The fund does not exhibit leverage, inverse exposure, or synthetic replication. The risk profile is primarily driven by equity market risks and factor focus risks, which are clearly disclosed. The fund's structure, investment approach, and risk profile are consistent with non-complex instruments under MiFID II.",
    "confidence": 95,
    "counter_argument": "The mention of derivative usage could be seen as a potential complexity indicator. However, the context suggests these are used for EPM (efficient portfolio management) rather than as a primary investment strategy. The physical replication method and straightforward equity exposure outweigh this consideration.",
    "risk_level": "The fund has a risk rating of 6 out of 7, which is relatively high but typical for equity-focused ETFs. This risk level is primarily due to market risks rather than structural complexity."
}