{
    "fund_name": "iShares MSCI Japan USD Hedged UCITS ETF",
    "type": "ETF",
    "ucits": true,
    "replication_method": "physical",
    "leverage": false,
    "derivatives": true,
    "swaps": true,
    "inverse": false,
    "complex_factors": [
        "Currency hedging using FX forward contracts",
        "Use of financial derivative instruments (FDIs) for direct investment purposes",
        "Counterparty risk from derivative instruments"
    ],
    "classification": "non-complex",
    "supporting_data": "The ETF primarily uses physical replication for equity securities and employs FX forward contracts for currency hedging, which is a common practice in hedged ETFs. While derivatives are used, they are for efficient portfolio management and hedging rather than for leverage or complex strategies. The fund's risk profile is rated 6, which is moderate, and the underlying investments are in liquid, transparent Japanese equities. The use of derivatives is disclosed transparently, and the fund's structure is straightforward, making it suitable for retail investors. The PRIIPs KID and factsheet confirm the physical replication method and the hedging strategy, reinforcing the non-complex classification.",
    "confidence": 90
}