{
    "fund_name": "Invesco JPX-Nikkei 400 UCITS ETF",
    "type": "ETF",
    "ucits": true,
    "leverage": false,
    "derivatives": true,
    "swaps": true,
    "inverse": false,
    "replication_method": "synthetic",
    "complex_factors": [
        "Unfunded Swaps",
        "Counterparty Risk",
        "Synthetic Replication"
    ],
    "classification": "complex",
    "supporting_data": "The ETF uses unfunded swaps to achieve its investment objective, which introduces counterparty risk and complexity. The KIID explicitly states that the Fund will use unfunded swaps to exchange the performance of securities held by the Fund for the performance of the reference index. This synthetic replication method, combined with the use of derivatives, makes the ETF complex under MiFID II regulations. Additionally, the risk category is 6, indicating higher risk, and the presence of counterparty risk from swap agreements further supports the complex classification.",
    "confidence": 90,
    "risk_level": 6,
    "counterparty_risk": true,
    "hedging": true,
    "benchmark_complexity": "moderate",
    "additional_notes": "While the ETF does not use leverage or inverse strategies, the use of unfunded swaps and synthetic replication introduces complexity that requires specialist knowledge to understand. The counterparty risk and the potential for tracking error due to swap pricing spreads are significant factors in this classification."
}