{
    "complex": false,
    "leverage": false,
    "derivatives": true,
    "swaps": false,
    "inverse": false,
    "replication_method": "physical",
    "ucits": true,
    "type": "ETF",
    "complex_factors": [],
    "classification": "non-complex",
    "supporting_data": "The iShares $ Floating Rate Bond UCITS ETF (MXN Hedged) is classified as non-complex under MiFID II for the following reasons: 1) It uses physical replication (as confirmed in the fact sheet) with only limited derivative usage for hedging purposes (FX forwards for currency hedging). 2) There is no leverage, inverse exposure, or synthetic replication. 3) The underlying assets are straightforward investment-grade floating rate bonds with short maturities (average 1.86 years). 4) The fund's risk profile is rated as low-to-medium (risk level 2), and the risks are clearly disclosed. 5) The fund is UCITS-compliant, which inherently limits complexity. While derivatives are used for currency hedging, this is a standard practice in many ETFs and does not materially alter the fund's risk profile or make it harder for retail investors to understand. The fact sheet confirms the fund uses a 'sampled' physical replication method, which is a common and transparent approach. The absence of complex structures like swaps, leverage, or contingent bonds further supports the non-complex classification.",
    "confidence": 95
}